Internet Marketing Business Forum

petzx · 07-15-2009, 08:25 PM

I know some people make money by posting ads in their websites. Some even say you make money for each click on the ad.

But exatly how does that generate money for them and how does it work? What does a click do anyway? Do they still get paid even if the viewers don't buy anything?

Stargate SG-1 · 07-15-2009, 08:30 PM

First, nobody makes money unless someone clicks a popup/ad and buys something.
Companies pay a service to have their ad on thousands of sites, as a banner or popup. As long as people click the ad/popup, the service company can show, statistically, that some people are interested in the product, even if they don't buy anything. A few of the ones that click the ad will eventually buy something.
Example:
1000 sites with ad/popup. Company pays $10.00 1 cent each.
100 people click on the ad, but don't buy anything.
10 people give their email address, but don't buy yet.
3 people buy something. Say $50.00 for the item.
Company makes $150.00 from $10.00 in advertising.
And that's only 3 out of 1,000 sales.
The Company will also make $1.00 or so for selling the 100
email addresses to affiliate companies.

07-15-2009, 08:25 PM	#1 (permalink)
petzx Status: Junior Member Join Date: Jul 2009 Posts: 1	Exactly how do popups & ads make money (or affiliates)? I know some people make money by posting ads in their websites. Some even say you make money for each click on the ad. But exatly how does that generate money for them and how does it work? What does a click do anyway? Do they still get paid even if the viewers don't buy anything?

Thread Tools
Show Printable Version Email this Page
Display Modes
Linear Mode Switch to Hybrid Mode Switch to Threaded Mode

07-15-2009, 08:30 PM	#2 (permalink)
Stargate SG-1 Status: Junior Member Join Date: Jul 2009 Posts: 1	First, nobody makes money unless someone clicks a popup/ad and buys something. Companies pay a service to have their ad on thousands of sites, as a banner or popup. As long as people click the ad/popup, the service company can show, statistically, that some people are interested in the product, even if they don't buy anything. A few of the ones that click the ad will eventually buy something. Example: 1000 sites with ad/popup. Company pays $10.00 1 cent each. 100 people click on the ad, but don't buy anything. 10 people give their email address, but don't buy yet. 3 people buy something. Say $50.00 for the item. Company makes $150.00 from $10.00 in advertising. And that's only 3 out of 1,000 sales. The Company will also make $1.00 or so for selling the 100 email addresses to affiliate companies.