Friday, September 3, 2010

Starting a Online Business – Does Not Have To Be Difficult.

June 12, 2009 by Cecil Heim  
Filed under Business Articles

Starting a online business is in fact very easy. Anybody with basic computer skills can start a web business. In this article we will have a closer look at one of the options available and the steps you will take when starting a online business.

There are many ways to earn money on the internet. The most popular is by selling some product or other. The product can be your own or someone else’ which you sell for a commission.

If you are in the beginning stages of starting a online business. You most likely do not have a product of your own. So I am going to get you started by selling other peoples products.

For starters you are going to need a product to sell. ClickBank has 1000’s of products in a wide range of categories to choose from. And you can open an account at no cost. Once your account has been confirmed. Have a look at the “getting Started” section to understand how the service works.

Next step is to open an Google Adwords account. This account will be used to advertise the products you choose. As well do necessary Keyword research. But more on that later. There is a nominal setup fee. You really cannot do anything further without the account. So the cost involved is well worth it.

When your Adwords account is set up. Do a bit of reading to get the feel of how the system works. But here are the basics. The Adwords system is keyword driver. You bid for the keywords you want to use for your ad. In other words. Let say someone does a search for widgets. If you have placed your ad and used widgets as one of your keywords. The chances are pretty good that you ad will be seen. However the popularity of the keyword will determine the bid amount to get the ad on page one of Google.

Now to find a product. Go to the market place in ClickBank. You will see that there are lots of categories to choose from. In the beginning, it may be advisable to choose a category that you do have some knowledge in. Then select 5 to 10 products that pay commissions in the region of $20 or more.

Now you need to find out if the products have a chance of being viable. To do this we will be using Google Adwords Keyword tool. First thing, go to the keyword tool and enter the exact title of the product you want to sell and ask Google to suggest keywords.

Have a look at how many searches there are for your keyword or product. If there are less than 3000 searches per month, you may want to try another product. Now have a look at the competition and minimum estimated bid. The more the competition the higher the bid.

But keep in mind that someone entering the search phrase “how to knit gloves” wants to know how to knit gloves. It is then reasonable to assume that out of every 100 clicks on your ad at least one sale should be made. And working on a 100% profit. It means that if the minimum bit is suggested at .10c you will break even on that one sale. Any additional sales are all clear profit.

What I have explained above does not sound as if you will make a lot of money. But do the above with 20 or 30 different products at $300 plus profit per product per month. Not too bad as a pastime.

Let’s continue. Now look at the other suggested keywords to find, on the same basis as above, keywords that closely describe the product. Include these keywords in your keyword list. You do not need 100’s of keywords. 5 or 6 that are closely related to the product that have a low minimum bid are ideal.

Now for the ad. If “How to knit Gloves” for example is the product, then that would be the title. Simple. For the body of the ad, have a look at the competition ads for your keyword. Use the top ones and change them slightly so that your ad is the same but slightly different.

That is all there is to it. Run your ad. Let me warn you though. You need to continually monitor your sales expenses against income made. If you do not do this. The Adwords game can become a very expensive exercise. But if you continually check which keywords and ads are making money and which are not. You should not have any problems when starting a internet business.

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