4 Powerful Business Models for Making Money Online

There are many ways to sell your products online and make money from adverts and Adsense, but no matter what your online business is about, you need to stick so some simple and basic rules.

Powerful Business Model 1: Spread Freebies

Nothing spreads over the internet faster than freebies. People link to them in forums, share useful info and download links with friends, they stumble it, they use it themselves… Freebies are the best model to spread the word about your business in the most effective way. While it works for most business models, it might not work for beginner hosting companies, who will have their harddisk space filled in no time with free accounts without any hope any of them will upgrade in the future. However, if offering free designs, software, plug ins, and even graphics, will help you greatly. Naturally, freebies themselves don’t bring in any money, but they draw in continues, genuine traffic and potential clients.

Powerful Business Model 2: Good Timing

It’s very important to start selling a product while it’s still “in”, so to speak. If you were to open a ring tones site now, the chances it will fail are huge, because you can’t impress anyone with ring tones now, let alone there are way to many of them already and the downloading ringtones mania is pretty much over. Always remember that if you are entering the market, you should either offer a ‘timeless product’ or, if you are just trying to ride on the wave of a temporary hit, do it exactly in time, and not when the tide is over.

Powerful Business Model 3: Your website is your FACE

Would you rather sign an important deal with a 14-years old boy in a torn t-shirt and crappy shoes, or a well established business man, in top quality suite and a suitcase? Of course this is a misleading mistake, because the 14-years old boy could be a “bad” son of a millionaire and underneath his dirty clothes have more brain than the business man, who hired a suite and a limo just to sign the deal (and you have no idea how popular this technique is in the business world!). But, most of us do judge the book but its cover. It doesn’t matter who you are in the “real” life, because online — only your website represents your appearance. If it looks superb and professional, it would gain significantly more trust and bring you clients. People TRUST good looking websites, and that it’s a fact.

Powerful Business Model 4: Affiliate with the Big Names

I’ll give you an example. Since I have many websites, some of them promote hosting through affiliate sales (i.e. I get commission off the sale). Within 1 month I made a very simple observation: referring clients to a big hosting company like Yahoo is by far easier and more profitable than referring clients to a small host that no one knows about, even if it’s a cheaper and better deal. The logic is simple, when you hear a well known and established name that already gained public trust over the years, it’s much easier to make money by referring them clients, than to start and advertise an unknown host (that might not even be here tomorrow). Don’t do the hard work, team up with the big sharks. Big sharks never get eaten by other fishes.