The Formula for a Profitable Website

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Today I’m going to give you the formula that will help you to make any website profitable.

This is the secret to building a profitable website and it only comes down to two components.

It doesn’t matter what kind of website you have, this is the formula that works on anything from an e-commerce website to a blog, and anything in between.

The Profit Formula

The two components that you need:

Traffic + conversion.

Sounds really simple, right?

Think about all the products and training courses out there designed to teach people how to monetize websites and make money on the Internet.

It all really only comes out to these two components; get traffic to your website and convert that traffic into customers.

The most popular mechanism for achieving that is of course the sales funnel.


What does the Funnel do?

The funnel allows you to move somebody from not knowing you, not knowing a thing about you, to trusting you enough to give you their credit card details.

So traffic + conversion = profit.

There are two main ways to get traffic to your website.

You can buy it through advertising, or you can get it organically through hard work.

Organically includes things like content marketing, social media marketing, and outreach marketing.

This means you can either buy your way into a niche or you can work your way in.


Buying Traffic vs Working for Traffic

Personally, I recommend that you do both.

For example, right now, today you might run an advertising campaign – while in the background you keep building your content, increasing the position on the search engines, and building an authority website.

Once they land on your website you should have system in place to convert those visitors into customers.

That system is built around automation, usually building an email list.

It can also be a retargeting campaign.

How you convert visitors into customers will depend on the type of website you have and your business model, but the two components that mentioned previously, the traffic + conversion formula is the same across every single website.

When it comes to driving traffic to your site, the more sources that you have, the better.

This lets you protect your business from external changes.


Protecting your Business

Let’s say that you are relying on SEO, and you get the majority of your traffic from Google.

That’s a bad situation to be in because if when Google makes a change to the algorithm (as we’ve seen them do countless times already), that change could have an impact on you.

In some cases businesses are severely damaged as a result of algorithm updates.

That means you have to diversify your traffic sources.

And particularly if you’re in the information business you also want to diversify your income streams too.

So, offer multiple products, use multiple business models and diversify so you’re making money in multiple ways.

And that’s about it.

It all really boils down to traffic + conversion.

Get traffic by either working your way in, or buying your way in – and I suggest you do both.


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