Online advertising revenue is one of many income sources for small business websites.
Depending on the business model that you choose internet ads can become your major source of revenue. If you have decent traffic you can rent out some spaces on your site to advertisers — directly or through an affiliate network.
Affiliate programs are an example of advertising revenue sources. In this business model advertisers conduct their marketing campaigns directly through affiliates or indirectly through an affiliate network.
If you act as an affiliate, you can direct traffic to the advertisers’ websites and get rewards based on a measurable campaign result such as a sale or a sign up.
Let’s have a look at common online advertising revenue business models…
Online Advertising Revenue Payment Schemes
There are different advertising revenue models online. Each of the models requires your website visitors to either click on an ad or do a desired action. To generate most revenue you’ll need to find a model that is more appealing to your target audience.
Here are some of the business models and their payment schemes:
1. Pay Per Impression.
Advertisers measure the cost for showing an ad message to one thousand viewers (Cost per Mille or Cost per Thousand). They pay you for the exposure — impressions — of the ad message to your target audience.
2. Pay Per Click.
An advertiser pays an advertising broker or you each time a visitor clicks their ad message (Cost per Click). They don’t pay their host — the broker or you — for the listing.
They only pay when your visitor clicks on their ad message and is redirected to their website.
3. Pay Per Action.
An advertiser only pays for their ad message a visitor has performed a desired action (Cost per Action) — such as, a purchase or a form submission.
This is a pay-for-performance model where the advertiser doesn’t pay anything if their ad doesn’t get results.
Sources Of Online Advertising Revenue
1. Promoting affiliate programs are the best online revenue source.
If your website reviews a certain product, simply join Commission Junction and apply for an advertiser that sells the product. Once approved you’ll want to direct ready-to-buy visitors to your advertiser’s site so they can buy the product.
Alternatively, you can generate leads for your advertiser, if the program requires you to do so.
2. Placing contextual ad on your web pages.
A contextual advertising network like Google Adsense allows your site to display ads that are relevant to your content page and fit the behavior of individual visitor.
When a visitor finds your web page they’ll view the ad messages and are following the link to your sponsor’s website.
While there are many other online advertising revenue sources but the two suggestions above are a good start.
Try them out and promote one business model or two that best suits the needs of your target audience. Once you find ad revenue sources that work drive more traffic to the programs that make money.