Lesson #20: When and How to Buy Ads

Most of the marketing we are doing for our sites involve free and very low cost strategies. However, there are ways to purchase traffic. For our sites, this probably wonʼt make sense for reasons we will soon discuss. Just consider this lesson as a basic primer on when, where, and how you can purchase more traffic for your site if you ever choose to do so.

Buying Traffic Does Not Make Sense (For Us)

For our sites, they simply do not make enough money per visitor to justify purchasing expensive advertisements. You could not break even if you bought ads. Our sites are not designed to work that way. They are structured to make money from free, targeted, profitable traffic. To put it another way, you would have a hard time earning $1 from your site by purchasing $1 in advertisements.

Think about it. Much of our revenue is coming FROM ads that other people place on our site, right? So there is no real way we could buy ads and then turn around and make more money from ads on our site. The math doesnʼt add up.

For example, you might buy 100 clicks for $0.50 each ($50), but only 10% will click on one of the ads on our site, also making us $0.50. This means we turned $50 into $5.

So, why even bring up the concept of purchasing ads? Because it can work… for some websites. As you get into more complex profit models, like offering downloadable info products, or even more complex affiliate programs, buying traffic can definitely be a profitable way to increase your sales. For now, just soak in this material, check out some of the examples and be aware of what is out there for future reference.

Buying PPC Ads

PPC Ads…sound familiar? This method of buying traffic is exactly the reverse of what you are doing right now to make money with Google Adsense. You are making money by selling clicks on your site. On the other side of this equation is an advertiser payingmoney to buy those clicks from you. If you had something to advertise, you, too, could purchase clicks from other sites.

This service is managed by Google under a program called ADWORDS. It allows you to buy traffic from Google.com (the “sponsored results” on the top and right side) and also from website owners like us.

For example, you would go to AdWords, create an ad about your site that sells candles, and tell Google that whenever someone types in Candle on Google.com and clicks on your ad, you are willing to pay them $0.50. You also have the option of telling Google to display this advertisement on other websites (like the ones we own) that talk about candles. This process is where Google makes 99% of itʼs money, by the way.

Note the difference here. AdWords is what you use to buy advertising through Google. AdSense is what we are using right now to make money from other peopleʼs ads. Try to keep these two straight.

Since this is just an introductory lesson on buying advertisements, we wonʼt get into the technical details of how this works. Visit http://google.com/adwords to learn more if you are curious.

Buying Private Ads

This is the basic process of going to a website and asking to buy either a link or a banner somewhere on their site. When you think of buying ads, this is probably what came to mind. Let me explain this process through an example:

Letʼs say that I wanted to get more subscribers to this course in ToMakeMoneyWeb.com. I might go to http://johnchow.com/ and I think that many of his visitors would be interested in this type of course. So I find his advertising page here: http://www.johnchow.com/advertise/ and see his prices. Right now, I can buy one of the small squares in his sidebar for $500 per month which is seen by 200,000 unique visitors. I would take this into consideration and maybe purchase one of these ads. He also has a bunch of other text link options that I might consider.

The important elements to watch out for when buying an ad like this are: Relevance (will this audience want to buy my products?), Traffic (how big is the audience?), and Price (how much does it cost to reach this audience?).

Buying Blog Reviews

This is one area that may be viable right now. Simply because 1) it is cheap and 2) it is another way to build backlinks that help you climb up the search results.

Blog Reviews are fairly self explanatory, they are when an advertiser pays a blogger between $5-20 to write a quick review of their site and post this to their blog, of course, including a link back to our site.

The most well-known network that manages blog reviews is http://PayPerPost.com. Much like the other ad networks we have discussed, they have bloggers on one side who want to earn revenue and then advertisers on the other side who would like to buy a review on some of these blogs.

The minimum deposit with PayPerPost is $50 and the average review costs about $5-10. I have used this service quite heavily for some of my sites and found that it can deliver strong results. I wouldnʼt rely on this technique totally, but it can be a great supplement to article marketing and the other techniques mentioned in previous lessons. It may be worth trying out for your site if you are looking for other affordable ways to build links.

Making Money By Purchasing Ads

Let me give you an example of how all of this might work, of how you might be able to make money by buying ads given what we know so far. Forget how this might apply to the site we have been creating in this course, think of this as a totally separate scenario…

Letʼs say that you go to Azoogle (remember, this is an affiliate network where you can make a commission by selling other peopleʼs products). You find a program that will pay you $45 for signing up someone to a free trial of a teeth whitening product. Cool.

Follow closely: You want to make that $45, but you donʼt have a website about Teeth Whitening, so where do you find these people who will sign up?! What you do is go to Google AdWords and tell them that you are willing to pay $0.50 for every teeth whitening visitor they send you. But, instead of directing the visitors to your site (remember you donʼt even have one), you direct them straight to the site that will pay you $45.

Letʼs say that 1 out of every 10 people that visit this site will sign up for the free trial. This means that if you buy 100 clicks for $0.50 each, you will get 10 people to sign up, making you $450 on your $50 investment. WOW!

So the process is: someone searches Google for Teeth Whitening > They click on your ad (costing you $0.50) > They order the teeth whitening product (you make $45). Itʼs that simple.

There are dozens of make money online eBooks, you know, the ones that promise that you will make a bazillion dollars before next week if you just buy their $199 system. What I just described in 3 paragraphs is exactly that they will teach you. So I just saved you the time and money. Youʼre welcome.

Before you get too excited, however, what I described above does not work anymore. It did 10 years ago, but now the markets are simply too competitive and expensive. In  essence, we will be buying clicks that cost $5 and you will only get 1/50 to convert to the product. Meaning you lose tons of money. I just wanted to give you this example to show you a scenario when someone might be able to purchase an advertisement and make money from it.

Previous Lesson: Link Building Techniques That Work

Next Lesson: Leveraging Yourself – How to Outsource

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