I never understood how they make money
EOJ 10-12
"can a dotcom owner make money through Internet advertising?" 42
"some sit owners prefer to use hits rather than click throughs" 43
"advertisers can pick several keywords that their target customers might use and then display their ads every time those words are used in the search" 44
My uncle is a major web marketer. (In fact, he's one of those people responsible for pop-up ads). I never understood how he made money. All I knew is that he sat at his computer in his home office for most of the workday, and can afford to live in an ocean-front home in Daytona Beach. I finally asked him about his job once, and this is what he told me:
"I deal with ads on web pages. Companies pay websites to host ads. Every time a person comes from the origin website to the product website, it is assumes that this will result in bigger revenue for the product website.
It is assumed that if a person clicks on an ad, they are going to be converted into a customer. I never understood how sites like google and youtube have made billionaires out of their creators. I mean, both the services they offer are free: but, since both sites are extremely popular, the dotcoms see users as a marketing demographic. Millions of people use google and youtube every day. I was already on both before 11 am. Even the facebook creator is rich.
The google setup is genius. Each keyword =$$$, because the preferred and assumed sequence is:
keyword: wine--->Napa Valley wine ad----->Napa Valley site--->online purchase.
I don't know about everyone else, but I can count the times I've clicked on an online ad on one hand. I tend to ignore them, so the whole internet billionaire thing is still a grey area with me.
This is how I see it: theoretically, the ads should translate to bigger revenue for the companies. But, how many people just click and then leave? I still don't really get it.
I mean, each time a product is sold, shouldn't some profits go to the ad hoster? That seems logical.
But from how I see it and how the book explained it, the hoster profits come just when a person clicks on the ad, regardless of whether they actually buy anything. (???)
"can a dotcom owner make money through Internet advertising?" 42
"some sit owners prefer to use hits rather than click throughs" 43
"advertisers can pick several keywords that their target customers might use and then display their ads every time those words are used in the search" 44
My uncle is a major web marketer. (In fact, he's one of those people responsible for pop-up ads). I never understood how he made money. All I knew is that he sat at his computer in his home office for most of the workday, and can afford to live in an ocean-front home in Daytona Beach. I finally asked him about his job once, and this is what he told me:
"I deal with ads on web pages. Companies pay websites to host ads. Every time a person comes from the origin website to the product website, it is assumes that this will result in bigger revenue for the product website.
It is assumed that if a person clicks on an ad, they are going to be converted into a customer. I never understood how sites like google and youtube have made billionaires out of their creators. I mean, both the services they offer are free: but, since both sites are extremely popular, the dotcoms see users as a marketing demographic. Millions of people use google and youtube every day. I was already on both before 11 am. Even the facebook creator is rich.
The google setup is genius. Each keyword =$$$, because the preferred and assumed sequence is:
keyword: wine--->Napa Valley wine ad----->Napa Valley site--->online purchase.
I don't know about everyone else, but I can count the times I've clicked on an online ad on one hand. I tend to ignore them, so the whole internet billionaire thing is still a grey area with me.
This is how I see it: theoretically, the ads should translate to bigger revenue for the companies. But, how many people just click and then leave? I still don't really get it.
I mean, each time a product is sold, shouldn't some profits go to the ad hoster? That seems logical.
But from how I see it and how the book explained it, the hoster profits come just when a person clicks on the ad, regardless of whether they actually buy anything. (???)
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Jeremy Barrick on I never understood how they make money: Ingenious. I wish I could get
Dennis G. Jerz on I never understood how they make money: Just as an advertiser pays a p
Dennis G. Jerz on I never understood how they make money: Just as an advertiser pays a p
Just as an advertiser pays a print newspaper for space in the paper, an online advertiser pays a webmaster for space on the site. But since it's possble to track "click-throughs," it's possible to tell whether a person started at one site, clicked to another site, and made a purchase there. It's also possible that if you fill in your mailing information on Amazon.com, then use Google to visit YouTube and watch a video by a particular artist, The Machine that is the internet knows that someone who lives at your address likes this particular artist. And if the artist's label realizes that suddenly a whole lot of people who live in your area are listening to this particular artist, that might give them a reason to have the artist go there for a concert -- thereby getting money from you when you buy a concert ticket. That's just an example, but my point is that even if the record label doesn't learn much of value from the knowledge that someone living at address X likes artist Y, the label may be willing to pay for information that makes them target their ads more effectively. Why do you think Facebook encourages people to mention their favorite movies, books, and singers, but not their favorite foods, subatomic particles, or Greek gods?
Ingenious. I wish I could get a hold of a gig like that. It seems that they like to bait and hook people.