Making Money with a Directory Site Part 1

Provide yourself a way to make money and you will.  There are so many ways to monetize domains, and as an industry whole – we are missing the boat on this.  Per click is easy, I understand, however anything worth having, is worth working for . . .

So begins our adventure into making more money with your domains by increasing the net of options you cast to make money from a single visitor.

Our focus in this series is going to be the Directory Site.  Whether you are using our service, or have your own directory out there . . . this will apply.  This is not just a pitch to sell more of our Directory sites.

The basic ways of making money with a Directory based site fall into the following categories:

• Directory Listings
• Premium Listing Placement
• In Listing Upgrades
• Contextual Advertising (Adsense and the like)
• Outside Ad Sales
• Newsletter & Offer Mailings

Directory Listings

Directory listings are at the monetization core of any directory site.  This is the ability of allowing a client come in and place their business, website, service listing on your site for a set fee per period.  You are providing a type of “Yellow Pages” method of advertising that is very targeted and normally converts very well.  Add to the fact that there is a huge trend in local businesses moving their ad budgets from local print to local online advertising – the directory is making its comeback.

What to Charge?
Just like in any business model, a little competitive research needs to be done to determine current pricing standards.  Generally they range from $5 – $10 per month, to hundreds a year.  This is all dependant on the following:

• Current pricing trends
• Competition
• Traffic and Link Value

The appealing benefit of charging for listings is that it is a stable recurring source of income.  Let’s say you charge $10 a month for a listing.  Every month you sign up just 10 clients.  You now have a $100 a month baseline before anyone has even clicked an ad.  As you increase your member base, your bottom line increases tremendously.

How to Sell Listings
Time to get your hands dirty!  So you have figured out what you want to charge – now how do we get people to sign up? The following techniques will help you build a quality advertiser base:

• Automated listing creation and checkout.  Make it easy for them to advertise with you.
• Offer a basic listing for free.  Give it restrictions and make sure they see how tasty the next level of listing up can be.
• Show some numbers.  Why should they advertise here?  A simple media kit can give you a fantastic look of professionalism and a convenient way of getting to the point.
• Get on the phone!  Dust off your salesman 101 book and give a few related business a call.  This method works really well with business and service type listings . . . huge lead bases out there and it only takes  a few successful calls to make it worth while.

When you are dealing with smaller advertising amounts, it is a heck of a lot easier to close them.  Many business will give you a try, and that is all you need.  Follow up with strong customer service and you will have advertisers for a long time!

That is gonna wrap up today’s portion.  Tomorrow we will go into maximizing the money you make off your listings by offering premium placement and upgrades!

If you would like to learn more on a certain portion of this or have any questions, please do not be afraid to contact us.

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