The Five Kinds of Online Business Models to Choose From in Starting an Internet Business |

As soon as you start talking about business models it is very easy to go off on a tangent trying to split very fine hairs over what is a separate model and what is really just a variation of an existing model and what exactly “business model” means anyway and on and on until you forget your point in the first place.I am going to keep it simple and just break down the online business world into five business models. There is no benefit to getting more complicated and it won’t add anything to the discussion.You should also realize that a lot of online businesses use a blend of these models to make money and one isn’t exclusive of the others.The point of understanding the differences is that based on which is going to be your primary business model for the business you are working on will then determine a large part of the rest of your strategy and decisions such as your site design, content volume, marketing plan and so on.

Advertising: The online advertising business model is about producing content people come to see and then alongside that content you show them ads for which you get paid.* Pros: easiest, cheapest to start* Cons: requires a lot of traffic to make any decent moneyAffiliate Marketing: With affiliate marketing you sell someone else’s product or service in exchange for a cut of the price paid by the buyer. Usually you sell the product via a website you own and often using paid advertising to drive traffic to your website but there are many variations.* Pros: easy to start, can pay very well* Cons: need to pick the right niche, learn conversion skillsProduct Creation: The online product creation business model is where you sell via digital delivery a product you created yourself. This could be an ebook, podcast, video series, graphics package or something similar.* Pros: can be very profitable even in small volumes* Cons: time consuming, more complicated to get goingE-commerce: This is selling physical goods through an online portal. An e-commerce business model doesn’t require that you own or stock the goods (as in dropshipping) but it does require that you present yourself as the merchant (unlike affiliate marketing) and that the goods are tangible.* Pros: big markets, repeat customers, can be competitive from beginning* Cons: takes more time, money than any other online business to startOnline Service Business: This is just what it sounds like- a service ordered and delivered digitally either on a one time basis or a recurring basis. This might be a website design service, an article writing service, a website hosting business or an autoresponder service to list a few examples. The main feature of the online service business relative to any other service business is that the entire transaction is completed via the web- ordering and delivery of the work product.

* Pros: very profitable repeat business with low overhead once established* Cons: takes time to build volume, can be complicated to start depending on serviceI realize this doesn’t cover every single possible case and there might be a few times where a business doesn’t really fit but I think it covers 98% or more of all online businesses and it certainly is clear enough to give you an idea ow what type of online business you are going to pursue.

Four Essential Elements Of Every Successful Online Business |

Every successful online business has four essential elements in common.If you want to know how to make money online, or how to start a successful online business you have to know what these essential elements are.If you are an online marketer you know them to be as follows:1. Domain Name2. Hosting Account3. Squeeze Page4. Autoresponder.The first essential element for a successful online business is a Domain Name.No matter what product or service you may be marketing online, whether that be through email marketing or network marketing, you have to have your own domain name if you want to become a success online. Your first priority is to advertise yourself – brand yourself – through your own domain name. If you don’t control the domain name that your business is advertised on, you don’t control the business, the leads generated in that business, the content of that website, or anything else associated with that business. You are not an owner, you are an affiliate or simply hired help. But if you have your own domain name, you control the entire business including the content, the leads generated, the marketing material, and everything else associated with that domain name and business. You can grow it, you can build it, you can expand it, you can profit from it to all ends. Get a domain name sooner rather than later.

The second essential element of a successful online business is a hosting account.You need your own hosting account so that you can control every aspect of the business through the cpanel. Controlling your own hosting account allows you to change the website as you see fit and in response to changing market conditions or profitable opportunities that arise over time. You can add a domain name or a sub-domain name, you can add another marketing tactic or tweak a current one. Having your own hosting account will allow you the maximum freedom to control this crucial aspect of your business and you need to get this control sooner rather than later. With control comes options, and with options comes the freedom to do what you want with your website. Change it any way you like. Add content, add an email series, add some other sales material, or do anything else that will add to your business. Get your own hosting account immediately.The third essential element of a successful online business is a squeeze page.You need to set up a good squeeze page to capture your visitor’s name and email address. That is how you build a list and a good list is worth gold to the owner who has invested time and resources in developing it. Studies show that a good list will produce one dollar a month per subscriber for the list owner if that list is treated well. In other words, if you have a list of 5,000 subscribers you can expect a monthly income of about $ 5,000 just by treating your list properly. A good squeeze page that converts visitors into subscribers is the secret to expand your business. Get a good squeeze page and send all traffic to it so that you can start to build your list and you can begin to mine your own gold.The fourth element of a successful online business is an autoresponder.This is your 24-7 assistant that works day in and day out from sun up to sundown and after without any breaks, any vacations, or without taking any sick leave. An autoresponder is worth gold to the owner who knows how to use it effectively. The autoresponder will deliver your pre-prepared email messages to each subscriber at the pre-selected intervals that you have established and will make sure that each subscriber gets the exact same message at the exact same time that you determine so that your sales copy gets delivered to the subscriber’s inbox telling them about your business. It will keep sending them your messages until they decide to opt-out of your list, or they buy what you are selling. Studies show that it takes about seven messages from an autoresponder before any prospect will decide to purchase what is being sold, so your email series of messages should be at least seven and possibly more, say, ten if you want to maximize your chances of making the sale. Get yourself an autoresponder. You need one sooner rather than later.

There you have it. The four essential elements of any successful, online business. If you want to start making money online, or if you want to start an email marketing campaign then you need to do it properly so that you can get the best results for your efforts.