Arbitrage. For some reason I have been seeing this word a LOT lately in a number of different topics i read on. Its been cropping up in my daily SEO reading, online marketing reading, web2.0 reading, business, management, everything! (yes, I read a lot of stuff every day).
I guess I am late to the game, but it wasn’t until last week that I caught wind of ppc arbitrage. Apparently there is a TON of money in it for those who are clever enough to build upon its principles. From what I gather, the concept is simple: you create a link filled page to get lots of high paying contextual ads. You then buy cheap clicks on something popular. So the theory I guess is buy 1000 clicks for $50, then hope you get 50 clicks to your site generating $3+ per click. So you net a $100 profit. I am probably glossing over the details (mainly because I didn’t do much research on it yet), but that is the gist of it.
In case you were wondering I’ve started posting my blog posts to both here and webimpresario. Mainly because I wanted something on here, and not sure what I’m going to ultimately do with that blog. I still love talking about business and the web, but now there are so many places to talk about it, not sure where it would be best served. So we’ll see what emerges as the best place to talk about stuff over the next few weeks.
So I was just reading along through my feed reader (Sage, the plugin for firefox), and noticed Jason Calacanis mentions getting his newest blog to 2M pageviews in 2 months (fantastic btw), but it made me wonder about revenues. Lets say a site generates 2M pageviews, like styledash, has 9 ads on the page, and somehow can sell out their inventory at a full rate of $2/CPM, that means the site generated $36k or so in the second month. Over the course of a year if they maintain this 2M pageviews, they will have generated $432k. My question is twofold: 1. how much does it cost to pay for the postings that are required for something like this, and 2: are these sites making much of an impact on the AOL ... Continue reading
So I was just reading along through my feed reader (Sage, the plugin for firefox), and noticed Jason Calacanis mentions getting his newest blog to 2M pageviews in 2 months (fantastic btw), but it made me wonder about revenues. Lets say a site generates 2M pageviews, like styledash, has 9 ads on the page, and somehow can sell out their inventory at a full rate of $2/CPM, that means the site generated $36k or so in the second month. Over the course of a year if they maintain this 2M pageviews, they will have generated $432k. My question is twofold: 1. how much does it cost to pay for the postings that are required for something like this, and 2: are these sites making much of an impact on the AOL ... Continue reading
