Revenue forecast Internet website?
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Hi guys- We are in the process of creating a business plan for a Website. Right now we need to forecast the financial aspect to see if it is worth it. However we have had a lot of difficulty finding out how much revenue we can make with advertisment considering we do not know how many visitors we are going to get, so my first question is do you know if there is a table or something we can use to see the average you can earn depending on the amount of viewers with the different ways of advertising? the website will have different categories so it is not hard to identify the target audience,we think to be able to get at least minimum 10 000 viewers a day considering the research we have done. Also for any other financial aspects and advice where we could find the information would be a lot of help (thus including programming/design average cost) I do understand it is very hard without more information but we just lookign for an average example... Hope you can help :)
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Answer:
I would not be surprised to hear that only one in 10,000 sites get 10,000 viewers a day, that is an extremely high ambition, content creation and site promotion by SEO or paid advertising are probably greater expenses than the actual programming of a site. Sorry I know of no ready made data like you are looking for, there are just too many factors, I recall seeing an estimate of 1/2 cent per visitor ad revenue. Another way to appraise the potential cost of such a site is to view it from an investor's point of view, there are virtual real estate investors who specialize in buying existing proven money earning sites, which may be a "fixer upper" with a potential of higher earnings with the right optimization, Typically sale price negotiations for such a site might start at 10X the monthly earning of the site. You can find some traffic/earnings figures on sites for sale at Flippa.com. Getting a site to appear on the first page of search results, ideally in the first position will attract the most free traffic (90% of search clicks on on page 1) it's extremely difficult to get a site on a popular topic or a general site to rank that highly, small tim operators instead target small niche subjects with small search volume and less quality competition, that will be easier to rank for. Some of the premium ad networks require sites to have 500,000 visitors a month minimum in order to show their ads, which translates to 16,666 visitors a day.
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