How To Make Money Online In 10 Steps: Steps 6-10

MAKING-MONEY-ONLINE-Steps-1-through-5

» Related: Part I of E-book: How To Make Money Online in 10 Quick Steps

Step 6 – Unleash the Artist in You

Step 7 – Respect My Authority!

Step 8 – Affiliate

Step 9 – Innovate

Step 10 – Analyze and Evaluate

Conclusion

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Re-Introduction

Allow me to re-introduce the “How To Make Money Online” in-depth guide with this publishing of the second half of the e-book.

If you have not yet done so, please read Part I  in order to better absorb the information presented in proper order.

Though the book itself is valuable no matter what chapter you pick up, it is best, especially for beginners, to read the steps presented in chronological order.

Without further adieu, let us jump back into it and continue our ascent to making some serious bucks online!


how to make money online step 6 unleash the artist in you

How To Make Money Online: Step 6 – Unleash the Artist in You

When you get to designing and implementing your own website, which can be very easy to do, it is easy to get carried away. Just remember that you don’t have to include or add something just because it’s there. Just because there are 16 million colors to choose from on the html color pallet, does not mean that you need to use all of them in your design. Use what you need to get the site to where you want it, and not one kilobyte more.

Security

The biggest pitfall business owners who are trying to get into Internet marketing to online sales is that they jump at the opportunity of free. This is the right thing to do, but you must do so with a cautious eye.

There are numerous free options out there but many of them do not work well and you could land up flushing away all your hard work at the end. You will be better off to source for the themes from credible providers, especially ones that have a strong track record.

Security is another aspect of theme choices that is often overlooked. Free themes are enticing, but can sometimes be a security nightmare. If you manage a blog that’s just purveying information the downside is not as dire, however, if your site is collecting user names and credit card information, be certain that your site will be the target of hacks. Security is, therefore, a significant issue.

Simplicity

While it is enticing to load up one’s site with all the bells and whistles, especially I with all the free ones, it is not a good idea to do that. Remember take what you need and not a byte more.

Themes have one purpose, which is to present your content attractively and complement your message. Once the theme does that, it does not need to do any more.

Whether it is aesthetics, language, navigation, or functionality, the one key factor that you must keep in mind, is that the site must be simple. Simplicity is your mantra from start to finish.

Selling

There is a saying in marketing and sales and it’s abbreviated by ABC, which stands for Always Be Glossing. It applies to salesmanship and it applies to web design and online marketing.

Don’t forget, you have the greatest opportunity ever experienced to be able to sit and convince your target customer while he invites you into his home as he surfs your website. DO NOT waste that golden opportunity. You must always be selling, but without being annoying. To do that you must present your message clearly.

How does one sell without sounding like a snake oil salesmen? Well you need to give the user all the facts. That is where content comes in. This is also where your authority on the subject comes in as well. We will discuss that in the next chapter.

While you are unleashing the artist in you, consider this: There are various formats of engagement on the web. You can engage your customer (or potential customer) in any number of ways. The most prevalent in mindshare among netizens of today are blogs. We discussed that earlier as well. But besides blogs, there are also websites.

A blog is short for web log. Meaning it’s something that you use like a journal and sequentially enter posts and over time you have a log of information stored on that blog. The nature of the blog is that one person shares his experience, opinion etc etc with the rest of the world… “Hello World, here is what I know…”

But a website is totally different from that. It’s more formal and more geared towards a product and non-persons. Microsoft can have a website, where all the areas of the company, its products and its services are listed. However it will also have a ‘softer’ side – it’s CEO’s blog, or like Google’s Matt Cutt’s blog. It’s hard to personalize a website but it’s easy to keep the warmth on a blog. There are lesser rules.

Keep that in mind as you venture onto the online world. You have websites on one hand and blogs on the other. But it doesn’t stop there. The internet is the purveyor of goods, services and information. The format of the information presented can be packaged in a number of ways. Blogs talk about experiences, and close with a soft sell.

Websites present technical and hard information in a formal setting and close with a harder sell. Then there are other formats like forums, and shopping malls that aggregate products and just act as a venue to host products. Each serve a different mindset.

So before you decide if its gong to definitely be a blog, or definitely a website. Think about how you want to present yourself to the world at large. And once you do that, how you design your site becomes easy. Remember, keep it simple, keep it secure and always be selling.


how to make money online step 7 respect my authority

How To Make Money Online: Step 7 – Respect My Authority!

In the last chapter we mentioned in passing the matter of your authority. We are going to take an entire chapter to tell you, and convince you, why this is important and why you should keep tabs on your authority online.

First of all, what is authority? Who awards it and who gets it? How is it measured and who certifies it? To really understand authority online, you need to do away with those kinds of questions and have a change of heart. The web belongs to the people and those are the same people you are selling to.

Authority is deemed by the popularity you receive from the people. The best way to measure anything on the web is via a democratic show of hands, or more appropriately, a show of clicks. Your popularity goes a long way to determine your worth. But it’s not a popularity contest.

How is popularity measured and awarded? There are two ways that it all boils down to. The first is the number of links you receive. Incoming links are a credible measure of the number of people linking to you. Search engines see the incoming link as a measure of how important the content it is. There is no other way they can gauge who is popular or relevant in a field.

Why care about search engines?

You should care about search engines. It’s not a do or die, but you should care because they are the nexus between you and everyone in your target market who can click a mouse.

Whatever you are selling, or intend to sell, requires a willing buyer on the other end of that transaction. There is nothing more indicative of a willing buyer than someone who takes the trouble to log on, and search for a particular product. It is even better than having store at the mall.

In the mall, no doubt there is tons of foot traffic, but the one’s that actually buy are the ones that specifically come to your store to look for something. Think about it, when you go to the store to pick up a tub of ice cream, you’re there for the ice-cream. Other than the ice-cream vendor, everyone else’s offering is irrelevant to you except for a possible impulse purchase.

In an internet environment you are in line to serve a motivated buyer. The fact that he has searched out the product or service you are offering, says a lot. He is in the market. That’s the good part of all this. The other good thing is that there are loads of people like this, all searching for some product or another, with yours being one of them.

The part that gets tricky is that there are many people offering the same product or service you are. You need to distinguish yourself, define your offering and make the case of why anyone should buy from you rather than the other guy.

This is why ranking on the search results is important. People hardly look passed the first few listings before they click on one and proceed to their competitor’s website.

Once one of the ways to be ranked that high is for you to be an authority in the relevant area. For instance, if you were selling cookbooks, you should be someone who is well respected in the culinary field. This respect is measured by how much your online work is referred to, i.e. linked to.

The more other chefs or blogs link to you, the more street credibility you get. Google, Yahoo or Bing, cannot possibly keep individual track of every possible business, service and person, so they rely on algorithms.

These algorithms use robots to scour the internet scouring for words and terms then calculate how popular those words and terms are. Basically they look at your site and evaluate it on a number of factors. Make sure you sign up for a google webmaster account when you set your site up.

It helps to make sure that you do not make any unnecessary rookie errors. If your site is fairly well designed and has fairly good traction it will start to rank if you adhere to the SEO principles.

One point to note: Do Not try to game the system. If you try anything funny, you will get sandboxed and your site will be in electronic oblivion. You can bet your last dollar on that.

If you ever engage an SEO consultant to improve your rankings, do make certain they are reputable and do not use Black Hat techniques. There will be short term gain, but that gain will only result in catastrophe within days.

 


how to make money online step 8 affiliate marketing

How To Make Money Online: Step 8 – Affiliate

The Internet is a vast landscape that has a diverse population. From culturally diverse netizens to varied demands it is a market place that is both rich in its spectrum of demand, and it is rich. Affiliate marketing is designed to permeate and pervade every strata of society.

It is a forgone conclusion that even though you would like to sell your wares to every person connected to the net, you will not be able to because of the nature of the Internet. Its beauty is also its greatest challenge for marketers. The Internet and the content that ultimately drives it is based on the principle of user demand.

Unlike television, there is no way to push specific information to the consumer. But that’s a good thing. If you sold golf balls, you could sell them to someone as far away as Mongolia, but would you be able to target them effectively? No. But a person who specializes in the Mongolian market could. He would take your product and feed it to the market that he knows best.

Look at it this way, you profit from only what you sell. If you don’t sell, you don’t profit. So the larger your market, the more you sell, the more you profit. Affiliates increase your potential market size.

Imagine if you sold those golf balls and merely relied on people to search specifically for your product and arrive at your site. That strategy would work for a short time if you were a major brand.

But, as anyone in marketing will tell you, you need active marketing and the way to do that is to either have a dedicated marketing team to go out to every corner of the world evangelizing your product or to have affiliates do essentially the same thing.

The first would be cost prohibitive and would make you uncompetitive in your offering. This makes the second prospect more appealing.

What are affiliates and what is affiliate marketing?

Affiliates are the bridge between product developers and product consumers. For their effort they get a small percentage of the selling price when they successfully make a sale. It’s like a sales commission.

This commission is paid upon success only. So there is no loss on your part. You do not have to incur the large costs of marketing to diverse consumers. You only have the cost of preparing sales material and providing it to your affiliate.

The sales affiliate model has its own quirks that you need to watch out for. There is a bit of a catch 22 that is endemic in this structure. Most of the successful affiliates want a larger share of the cut, most of the cheaper affiliates are not that good.

You will have to find a middle ground and think about this before you settle on a pricing model.

Just because you are online and feel that it seems like the old West, with few rules, don’t be naive. The rules here are the rules of nature, meaning you have to relent to supply and demand. To do really well you have to attract the strongest participants which includes giving them a larger piece of the pie.

If you sell electronic goods, where your margins are high, consider being generous with high performing affiliates and you will be rewarded with access to their network.

The biggest benefit of the affiliate program is that established affiliates are a great source of marketing feedback. They are also to an existing market. One that does not need to be developed by you.

As such, once you have an experienced affiliate network, your access to market is rapid and comes with high built in conversion rates.

How do you find affiliates?

A few years ago this concept was a great idea but lacked a coherent and credible solution. That’s changed now. It was next to impossible to find affiliates on your own. It still is. But to solve that there are now affiliate management programs that can act as credible intermediaries to the affiliates.

There are many affiliate programs out there, more than even I imagined. But the ones you should concern yourself with fall into two categories.

The first category are companies that have a ready network of affiliates that you can connect with. These are the companies I have used and continued to use till today:

  1. Linkshare
  2. ShareASale
  3. Commission Junction

I also use Clickbank for electronic products. All of them are effective and highly recommended. They are easy to sign on to and have highly effective customer service, when you need assistance.

The second category are the companies that will create and manage your own affiliate program. This one is a little more involved, but it’s something you want to keep in your mind for when you get a little bigger and have a little higher sale volumes.

What these companies do is tie you up to run your own affiliate programs where there is no need for the middle man like Linkshare or ShareASale. This way you save on the commissions paid.

Now this is only worth it if you have a large volume of sales. You can even have affiliates market your affiliate program and pay them to bulk up the number of affiliates handling your product.

What a lot of people also fail to realize in establishing an affiliate relationship and giving high commissions, is that it works in their favor as far as rankings go to. When you give out high commissions for your customer acquisition strategy, you are benefiting the entire ecosystem.

You reap the greatest benefit because affiliate marketing is the highest conversion channel, second only to email marketing (if you have a good email list.)


how to make money online step 9 innovate

How To Make Money Online: Step 9 – Innovate

Right up to this point in this book you have read about how to go about piecing together a profitable online marketing operation. But if you are expecting to just make it big by doing it step by step, you are only partially right. There are two more things that you need to do once you get to this point.

The Internet is a formidable ally if you keep up with the times. For this you need to innovate. Less than a decade ago, a website strategy with a blog would get you noticed. Today, if you didn’t have a social media in your arsenal, you would fail. You need to innovate. Today the big thing is Twitter and Facebook, what about tomorrow.

You need to keep in touch. Look at it this way, under the flurry of publicity for how good things like Facebook, Twitter, Pinterest, YouTube and all the other social sites are there is one undeniable truth about what they are.

They are all channels. Think of the Internet as the Interstate highway. If there was only the highway, travelers would be able to get from Maine to Florida on I-95 but they would not be able to exit at any point if there were no state roads and local roads.

The Internet is the superhighway and Twitter, Facebook and such are the same as the local roads. In the future there will be other forms of channels and you need to be on the lookout for them.

One channel that is coming up, and you should keep your eyes open for them, is the mobile revolution. Some say it’s already here, but you need to understand, it’s still nascent. There is a long way to go.

Marketing, and that includes online marketing is constantly evolving. With the onset of the mobile revolution, marketing has gone from being B2B, or Business to Business, to being peer to peer. We are able to sell directly without the need for specialized retailers. This is something you need to watch for in your efforts to keep current.

Whether it is advances in hardware, developments in applications or popularity of portals, the Internet ecosystem is one that is constantly changing and benefiting those who watch it closely. This also includes changes in browser technology and website security. Keep a look out for trends and find out what your competitor is doing at all times.


how to make money online step 10 analyze and evaluate

How To Make Money Online: Step 10 – Analyze and Evaluate

Your final step in this journey, before you take flight is to understand the benefits of analyzing and evaluating your offering, your channel and your ecosystem. The timescale to manage these vary according to the element, but you should make plans to constantly keep an eye on all your assets and how they are performing.

Your web assets like your blog, website, and social media should all be tied to an analytic dashboard like Google Analytics. This is different from Google Webmaster. Webmaster is just to monitor and help you develop a good web presence.

With Analytics you get to look at your sites performance with users. You can also ties your dashboard accounts to a one stop site like Cyfe. Cyfe makes it simple for you to monitor a wide variety of metrics from various providers and you can do it all with your iPhone or iPod from a beach in Bali.

When you analyze your data there are numerous areas to look at and once you get enough websites in your stable, you will realize that it can be a full-time job just look at each one of them. But if you are at that point, it’s a good problem to have.

For this purpose you can either get something like Cyfe or you can get a programmer to code you a fresh dashboard for your iPhone. You can try oDesk.com of Freelancer.com. There are numerous programmers that you can get with a fair budget.

When you are analyzing the data, it can seem overwhelming with the numerous data points. But do not get into the habit of being mechanical about it. When you know your product, and you know your channels, what you are looking for are two issues. One is absolute, the other is relative.

The absolute numbers and data are for monitoring purposes. Here is where you look at overall sales, overall visitors, and overall interest in terms of demand. Here is where you measure conversions. All these are absolute numbers.

Then there are relative numbers. Relative numbers are ones that compare two absolutes. For instance if you want to compare two sales channels like email marketing and affiliate marketing. Both have absolute numbers that you can compare to get an idea of efficacy.

You should also look at how much you spend for each channel and understand your acquisition cost for each customer.

Acquisition cost for each customer is one of the major metrics you need to keep on top of. If it costs you a hundred bucks to set up an email marketing program and this results in one thousand email addresses. That means your gross acquisition cost is $0.10 per potential customer.

But you need to drill further. From here you need to apply conversion rates. Off those 1000 emails, you have to monitor how many make a purchase within 24hours of receiving a call to action. Off these 1000 emails, if only 10 of them make a purchase, then what you are left with is a 1% conversion rate.

Of those 10 who buy your product, you can now calculate your cost by dividing the initial cost to acquire the total list, which was $100. That means each customer cost you $10. That is your net customer acquisition cost.

If you are only profiting (gross) $1 form each sale, then there is a problem with your pricing structure or your cost structure. Your gross profits from the product need to be higher than your customer acquisition cost, especially if your item is a one off purchase.

However, if you can reuse this customer, let’s say 15 times, then you will end up making $15 over time from just this one person after a one-off cost of $10.

These examples give you the logic behind the calculation, and you need to apply it to your own scenario. As time goes by, you will also be able to extract information on how much you can sell to each person.

Your product line is two dimensional in terms of features and solutions. You can sell lipstick to an email list and extract 10% conversion, then sell them mascara and extract 11% conversion. In this scenario you have sold them two different products.

You can also send them an email two months down the road for another lipstick. The acquisition cost of each converting email is something that you will have to value according to this logic and compare it across the various channels you manage.

There are numerous other ways you can monitor, analyze and evaluate your performance. The reason, I am not listing formulas for you here is because I don’t use formulae myself. I use logic to calculate what I need to understand.

When you analyze your data, using formulae to extract and crunch can become overwhelming and daunting. Pull what you need from your data and let the rest be. There is such a thing as overdoing it.

You have costs on one hand and revenues on the other. All you have to do is factor effort into the picture and look at all your numbers on a per unit passes like in the example above. Cost per customer, cost per acquisition, cost per sale, revenue per sale, profit per campaign.

Reduce everything to manageable numbers and pay attention to providing quality and gaining more customers during the rest of your free time.


Conclusion

This book should get you thinking. After all that is what you need to make money online. You must look at that computer, laptop, or mobile device in front of you as the new and amazing way to make money online.

We have just given you the ten steps you need to get to a point in your life of where you want to be – financially independent.

As you walk through these ten steps, keep focused on what it is you would like to offer the world. All you need is in front of you. As long as you have a computer and an internet line, you’re in business.

Everything you need you can find online. All you need to bring is your unique vision and your product. If you don’t have a product, that’s fine too, there are a number of affiliate programs, like the ones above where you can market other producer’s items.

There are numerous ways to win this battle, you just have to find the way that suites your liking and your ability.

On that note, I leave you, my friend, go out there and make some money! And don’t worry, there is plenty to go around for us all. Best of luck to you!

P.S.

If you are now ready to choose a host for your website or need help on how to choose the best one for you, take a look at this in-depth web hosting guide to assist you on your journey. Cheers!