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Choosing the Right Strategy for your Online Business Pay

bacaartikeldisiniaja -- In the old days of the Internet (1993), there were 284 locations across the World Wide Web. According to Bill Clinton, only eight of them ended up with .com or .net when he took office.As of January 1, 2003, 171 million domains were hosted by him. was used. In 1995 Altavista was the largest search engine database, classifying much of the Internet. 


Currently, Google and FASTsearch own the largest databases. But none of them cover 10% of the internet. It is estimated that over 8,000,000 websites are added to the Internet every day. No search engine can keep up with this pace. How does your website stand out?


 How do you get the traffic you need to succeed? There are many ways to approach the subject of marketing your online business, but this article will focus only on the online tools and methods that will accelerate your success. With that in mind, we'll look at paid inclusion ads and paid placement (or pay-per-click) ads.


Some search engines such as AltaVista, Inktomi, Looksmart, and FAST use a paid inclusion model. This means that the website operator must pay a fee to be listed in order to ensure that it can be found in the index of that particular search engine. 


comparable to what they pay to be listed on the yellow pages. These charges vary from month to month to yearly. Looksmart charges $0.15 per click in addition to the listing fee.


Commissioning of Paid Inclusion Services does not include a placement guarantee. Even if your website isn't properly optimized, if you're paying for admission, you're guaranteed to be indexed and listed somewhere in that search engine. 


If you want to be successful on paid search engines, you need to optimize your website. Without proper optimization that includes analysis in terms of all the elements that search engines are looking for, paid inclusion services will not bring the desired benefits to website owners.


When properly coordinated with a comprehensive search engine optimization program, paid inclusion programs deliver strong results.


Eligible Traffic, Customers, and Associated Traffic.

Pay-per-click advertising is the process by which website owners make their websites appear on certain search engines such as Google. B. The overture is placed at a predefined position.


Search engine placement is always a pay-per-click solution. Advertising websites are permitted to buy ads only on content-related search queries, but these are not sorted by relevance, but purely by bid value. Pay-per-click services allow advertisers to bid on each visitor directed to a website based on the number of clicks their ad receives. 


Pay-per-click search engine placements need to be realistic in that they are online auctions. Advertisers compete for a fixed position in the search results list. The advertiser with the highest bid wins the top spot on the list. All advertisers need to bid according to their budget and know their return on investment (ROI) in order to determine how much to spend on acquiring new customers.


How Do I Know Which Strategy Is Right For My Website?

For those advertisers where the ROI is sensible or worthwhile, pay per click search engines are valuable customer acquisition tools. But is it right for you? While it can be expensive, here's a way for you to easily determine the ROI for your online business, and determine if it is the right choice for you. Take out a sheet of paper, and at the top of the sheet mark down the average price of the goods you sell - we'll use $100.00 for the purpose of the example. From that number, make some simple and basic calculations, outlined here:


  • $100.00  Sale Amount        
  • -$ 50.00  Cost of Goods        
  • -$  5.00  Transaction Cost (bank charges, credit card)        
  • -$  8.50  Shipping Fees (This assumes you're delivering a product, it needs a box, label, and has a delivery cost.        
  • -$ 10.00  Customer support costs - time on phone, email, etc... supporting and processing the transaction. What's 1 hour of your time worth?         
  • $ 26.50 = Margin

Assuming this margin is correct for your website, is a Pay per Click campaign right for you? You'll need to look at your stats to judge this properly. You need to determine how many of your visitors are converting into buyers.


 IF your website has a 4% conversion rate, and your category is moderately competitive, you will probably need to budget at least $1.00 per click to get spot #3. Spot #3 is important because more often than not it's the top 3 spots per page of search engine results that are reserved for Pay per Click advertisers.


Assuming your website gets into the top three spots, here's how the math works if you get 100 clicks in a month. Since it's all percentage based, the same holds true if you get 25 clicks or 10,000 clicks.


100 clicks @ $1.00 per click = $100.00 cost      4% conversion = 4 sales = 4x $26.50 (margin on sale) = $106.00                                                   Profit =  $ 6.00


So, if the above were true, and IF the pay per click advertisement sent you 100 visitors per month, you would make only $6.00. Would you make much less having spot #4 instead of spot #3 ? If it meant one less sale a month, that would be worth it. 


You would make $70.00 more by selling less! Does spot #3 get much more traffic than relevant results in spots 4 through 10? Not at all for spot # 4, 5, 6, and only a little bit more for spot #'s 7-10. Remember, people usually look at the title or site description to see if it is relevant. Pay per Click is worth the money if your website is not found under any relevant queries in the top 20, but its value drops quickly if a website is found easily in the free listings within the search engines.

Is Pay for Inclusion Less Expensive?

If we use the same calculation as above, and your website had 4 sales from a pay for inclusion engine where you paid $39.00 per year, or $3.25 / month, your profit would have been $103.25.


What About The Cost Of Search Engine Optimization?

Search engine optimization does not have to be expensive. You can do the work yourself, but you need to ensure that it makes sense to do so. By this I mean, is doing it yourself a cost efficient, business proposition? Any time that you as an individual put into search engine optimization is time that you take away from business fundamentals and essentials. It's time away from customer support, content creation, service, administration, product research, other marketing, etc... What is that time worth? It's got to be part of the ROI calculation too. More and more people are choosing to outsource this work. It's estimated that 70% of online businesses will outsource non-core operations this year. 


It only makes sense. It's smart business to focus on what you know and do well and to hire others to support you in the other areas. Not many smart businessmen write their own contracts - they get their lawyer to do it. They want to ensure it's done right. Doing it right in the first place saves money in the long run. Outsourcing means getting someone else to do the work for you, properly. It does not mean getting someone to tell you what to do, or how to do things.


What's Right For Your Website?

In the long run, a website operator that has a well optimized website will beat out a non-optimized website that concentrates on Pay per Click advertising for customer acquisition every day of the year. He may make fewer sales in a year, but he will make more profit from each sale. If the website is properly optimized, it will enjoy better placement in more search engines. This means it will survive, and prosper in the long run.

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