The common sense in website and blog monetization is to increase web traffic to the blog or website if you want to increase income. The logic behind it is that increase traffic means more people will buy your products/services and click on/view your ads.
Unfortunately, while the logic above is entirely true, increasing traffic is not as easy as most of us think. While increasing traffic counts is easy – just buy a cheap, poor quality traffic package from a traffic resellers – it is targeted traffic that really matters. The problem is, it’s darn hard to acquire this kind of traffic without spending much money.
You need to devise and employ various tactics and strategies to increase targeted traffic to your site, such as link baiting, writing exceptional articles, submitting articles, guest posting, link exchange, placing ads on related sites, etc. Not only the hassles, doing those is also costly.
But don’t lose heart; there are actually ways to increase your site’s revenue and make more money online without the need to focus on increasing your web traffic.
Path #1: Improve conversion
Now, let’s think from the other, most important but often underrated side: Instead of increasing web traffic, how about increasing conversion rate?
If you make money from on-site ads, conversion means clicked ads in PPC (pay-per-click) advertising, action taken in CPA (cost-per-action) advertising. If you sell products/services online, conversion means the purchased products/services.
Consider this illustration:
Assume Site XYZ is getting 100,000 visitors a month, with 1% conversion rate. Also assume that each conversion can be translated into $5. Now, let’s assume that increasing 1,000 visitors a month would cost you $100 a month or $0.1 per visitor acquisition cost (a monetary value of hiring SEO specialists and generating quality content) – this is relatively cheap.
So, initially, Site XYZ is generating 1% x 100,000 x $5 = $5,000/month in gross profit.
Increase traffic by 20% will get you: 120,000 x 1% x $5 = $6,000/month in revenue. Minus that with $2000 (20,000 x $0.1) will leave you with $4,000/month in gross profit – actually a drop in profit.
What if we focus our effort to increase conversion by 20%? 100,000 x 1.2% x $5 = $6,000/month in gross profit (nothing to subtract for.) How come?
Here’s the wonder of increasing conversion rate – apart from your effort in finding ways to increase it, it costs you almost nothing (unless you hire someone else to help your site convert better.)
A real case study: On one of my blogs, I discard a Google AdSense ad unit sized 728×90 leaderboard below the top navigation bar, and create an 336×280 ad unit on top-left, instead (still below the top navigation bar.) The result: I MORE THAN DOUBLE the conversion rate, thus doubling my blog’s income – all without any increase in traffic or pay anything to achieve this.
The key in improving conversion is testing, testing, testing. Different location, different size and different color can yield different results. You, again, test your ads and don’t be afraid to improvise.
Path #2: Add more income streams
Unless the way you make money from your site is by funneling traffic to a single call to action – i.e. the use of squeeze page and sales letter to sell your digital product – you might want to choose the other path: Add more income streams.
More streams don’t mean slapping banners all over your site. It means multiple ad types – banner ads, text link ads, in-line text links, CPA offers (e.g. completing a survey to get a product), and many more.
I have successfully increased one of my busy blogs’ income by 20% adding more varieties to the ads I display on-site.
The key success factor in this is that to display your ads in such a way that it is less intrusive.
Many site owners, especially blog owners resent displaying ads on their site. Many even feel the need to let their sites visitor know that they are selling or reviewing something for monetary benefits. While this could be a wise move, some simply do this because of the guilt they feel in monetizing their sites!
Why feel guilty? You HAVE to make money out of your web property in one way or another. Sharing useful and important information for free in exchange of displaying ads that may appeal readers/visitors is already good enough for many of us. If you notice the state of the Internet – it’s full of scams, spams and junks.
Providing some value with a hope that you’ll make something out of it is one way to reward yourself; without reward, you won’t last long doing your thing – just ask those site owners who have given up making money online, blaming the system as if it’s not their fault that they can’t make any out of their sites.
Increasing site revenue