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How to make money Online.....

Overview

When considering your options, you should take into account not only your personal behaviors and interests but also the type of business model that you want to get involved in. Here are some key questions:

- How much initial capital do you have to invest? - How much ongoing capital do you have access to? - Are you looking for an increase in long term wealth or is immediate cash flow your priority - How much time are you willing to invest initially? - How much time are you willing to invest on an ongoing basis? - What level of complexity are you comfortable with you? - What are specific short, medium and long term goals?

As a summary, map out where you want to be and then ensure that your chosen option has a business model that fits into this.

Summary of Online businesses

On the upside:

" Can be low capital " Can be run remotely " Access to global markets " Easy distribution if information based

On the downside:

" Getting traffic can make or make the business " It still needs to be a proper business to be an ongoing success " Easy for others to copy

Simpler than an offline business but you still need something that has a value proposition for your customers!! There are still multiple elements to consider and to learn if you are new to the game.

Getting traffic to your online business is the most common hurdle, alongside people not completing their market research before they launch. Remember to deliver a value proposition that people are interested in and willing to take action.

Below are some of the different types of internet business you can get involved in:

Ebay

The major appeal with EBay is the size of the client base who are ready to buy. There are now more searches on ebay than on google. Combine this with the fact that people use Google predominantly for information where as people go to eBay to buy and you have a powerful case.

It is also easy to get going as there are no websites to build, you can get traffic to your products, and there are multiple business models to choose from.

It is becoming a complex area on its own. In terms of using this channel as an ongoing revenue stream, you have to:

" Find a market area where you can sell product at a higher price than you can source it " Find a market where the competition is not too strong  avoid too many eBay pros " Determine how you are going to handle the sourcing and distribution side

On the upside:

" Potentially low capital unless you are looking to source bulk products " Ontap market of buyers " Ability to automate large elements " Ability to work at home

On the downside:

" Typically requires some regular management " Sourcing and delivery can be troublesome " Sustainability in question depending on who you ask " eBay fees

Example: stores.ebay.com.au/entertainment-house

Affiliate Marketing

Effectively, this arena is where people get commissions from online businesses who they help drive prospects to either on a $/lead or a commission per sale You can make a lot of money, but to be success you need to get a little techie.

On the upside:

" No product required " Can start tomorrow, low cost entry " Definitely money being made

On the downside:

" Ever changing tech landscape means you have to be continually adapt and your success may disappear overnight " Not your products so less passionate than other avenues " You do not build the relationships with the customer " Reduced profits than if it is your own product " A little sharky.

Example: ebooks.com Directory These sites are a portal that direct people to other sites. It can be very broad or niche e.g. sailing directory. A fee is charged to be in the directory On the upside:

" No product required " Consistent cashflow

On the downside:

" Complicated to build " Can be hard to get traction and traffic to get people to pay to list in the site " You do not build the relationships with the customer

Example  Dlook.com.au Aggregator This is a site that looks to consolidate an industry and assists buyers by enabling them to compare different options available in the market. The aim is for the consumer to then buy through the site with a commission being charged on the way through. Very popular in the travel sector for comparing flights, hotels etc. On the upside:

" No product required " Some sites have been exceptionally successful (e.g. webjet)

On the downside:

" Complicated to build and set up " Can be hard to get traction and traffic " You do not build the relationships with the customer Example: webjet.com.au Online Store Simply a store that is online where people transact through credit cards or PayPal. You need to find a product and sort out distribution and promotion. Some do very well, but like any store, you have to get the right products at the right price and get people to the store. Tends to be very price focused as it is hard to differentiate online compared to the offline environment On the upside:

" You own the product and the customer " Ability to grow a substantial business

On the downside:

" Complicated to build and set up " You need to manage the sourcing and distribution of product

Example  dstore.com.au E-Book E-books have been a very profitable sector for many internet marketers simply because you own the product, it has high margins and distribution is automatic and free. You need to do your research to find the right market and also need to know traffic generation techniques that are cheap enough not to erode your margins. Books can be sold in their entirety or chapter by chapter to increase the perceived value. These websites can also be great for building up lists for future upsells On the upside:

" You own the product and the customer " Easy to distribute

On the downside:

" You need to find and test a good market " One off sales Examples: ebooks.com (directory of ebooks)

Membership Sites These are typically sites where you pay a monthly fee to access products / information. They provide ongoing revenue, but rely heavily on the ongoing value proposition to retain members On the upside:

" Ongoing revenue streams " Relationship can be built direct with the client

On the downside:

" You need significant content or product to make the membership worthwhile " Continual value add is required to sustain membership Example: www.KeysToSuccessClub.com

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