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Battle Of The Hostings
There are literally thousands of hosting solutions on the internet right now, from the free ones at www.geocities.com to the ones who charge you an arm and a leg. After filtering out the sharks, the copy cats & other crap, finally I...
Email Marketing for Website Owners
When you own a website, you can do a lot more with it besides being up and running on the Internet. One powerful website “add-on” is the ability to collect the email addresses of visitors to your site, and “stay in touch” with current and...
Free Traffic
Copyright 2005 East Tech LLC
If you're an online marketer and own a website, you know what free traffic means. You also know there's really no such thing as free. There are free traffic exchanges that allow you to get free traffic to your website...
Improving the Link Popularity Of Your Site
Link popularity, i.e. the number of sites which are linking to your site, is an increasingly important factor as far as search engine placement is concerned. Other things remaining the same, more the number of links to your site, higher will be its...
The Latest Affiliate Marketing Trends
---------------------------------------- Major Players in the Affiliate Marketing Industry like Commission Junction, Linkshare & BeFree are losing an armada of potential affiliates! ---------------------------------------- If you're actively...
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What should I sell On-Line
One of the first things you will have to decide when setting up an Internet business is whether you want to sell a product or a service, both of which have their advantages and disadvantages.
Products:
Advantage: unlimited income potential because you are not constrained by time, the way you are with a service (the more product you sell the more income you make - especially when you are automated).
Disadvantage: requires stocking and shipping (or drop-shipping from a supplier).
Disadvantage: generally requires you filling large amounts of orders to make a reasonable living, unless you have a product with a very high profit margin.
Services:
Advantage: it is easier to make a profit quickly because the entire price of a service is paid to you (except for any overhead).
Advantage: services can generate a great residual income because the client may want to hire your services again and again.
Disadvantage: you are limited to a modest income because you can provide only so many services each day (unless you hire employees to perform services for clients).
In my opinion, selling a
product online has, by far seen the biggest profit potential in the long run. Once you get a successful product, you can automate the system and move on to new products that will generate multiple streams of income.
If you need immediate cash flow, providing a service is the fastest way to produce instant income... but it will never pay off as big, in the long run, as selling a product with a high profit margin.
If you sell a service, think about how you can transform it into a product. One of the best examples I can think of is regarding the people who submit websites to search engines. Because the competition got so fierce and their business began to suffer, some wrote and sold reports revealing how search engines work and tricks for getting sites listed higher etc. The reports were priced at $20 -$100, and the entrepreneurs in our example found new markets to tap.
I hope this helps in your future marketing decisions.
About the Author
David Bell is Manager, Online Marketing, at http://www.wspromotion.com/ , a leading Search Engine Optimization services firm and Advertising Agency.
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