I have made good money selling directories on flippa. It is completely practical to sell one directory every week for $500+. Your initial investment on this directory can range from $20 to $250. Obviously, the more you invest initially, the higher the directory will sell for and more money you will generate through it. However, there are a few risks with investing more money initially. Let's look at te specifics now.
Step 1: Get a domain name
You can register a fresh domain name at Godaddy or you can buy a domain name. I'll give examples of both now:
Option1¬Register a brand new domain name Directory¬source.com¬I registerd this domain name on Godaddy. About two months later I sold it for $575. Have a look at the auction here: https://flippa.com/2645100¬51¬000¬alexa¬and¬60¬month¬adsense¬and¬selling¬links¬no¬reserve¬3¬day¬auction
In two months the website generated me around $120. So my net profit was: $575+$120¬$10¬$30¬$40= $615. Over here, $10 is the domain registration fee, $30 is the flippa success fee, and $40 is for featuring the link on front page of flippa. Not bad, eh.
Just make sure that the domain you register sounds like a directory name. Some examples are: general-directory.com, gen¬directory.com, abc¬directory.com etc.
Option 2¬Buy a domain name Agfined.com¬I bought this domain for $150 and sold it for $675. Here is the auction: https://flippa.com/2641276¬premium¬pr5¬directory¬130¬month¬profit¬from¬multiple-sources The profit is about the same as the one above, so I won't do the calculations. The only difference is that instead of $10 registration fee, I paid $675 for buying the domain.
So, why buy a domain? Well, this domain had a PR5, had good inbound links, and was registered a while ago. All of these facotrs make it very attractive to the buyer and catch his/her attention immediately. Also, because of the high PR status I generated more income from it. I sold more featured links for more money ($9.99) and also could have sold text links. The only problem is that your domain might not sound like a directory at all. However, you sould market it as a brand name.
Where to buy a domain from? Try here: http://forums.digitalpoint.com/forumdisplay.php?f=59 Here's another good one: https://auctions.godaddy.com/
And make sure you have a look at this one too: http://upname.com/. Go to their top pagerank domains section.
Step 2: Install the directory on your site
I personally use phpld: www.phplinkdirectory.com. It runs on php obviously, so make sure your hosting supports the latest version of php. I personally use stablehost and have never had any problems. This might take you a while to figure out. Once installed, here a few things you'll need:
Changing Website Contents Simple. Go to System>> Template Manager>> Edit current template files in your admin area. In the templates you should see header, footer, sidebar etc. You can add adsense, analytics or change other stuff from here. Code like adsense or statcounder code has to go in the {literal} tag. If you're having trouble I can do this for you once.
Changing Price of Links Go to Link Types>> Available Link Types>> Configure Link Type (Pencil Symbol). Make the regular link free and feature link between $4.99 ¬$17.99 depending on the pagerank of your directory.
Step 3: Generate Traffic
For most websites, generating traffic is the toughest part. However, not for directories! Simply announce your directories at 2 or 3 forums like digital point. And then, submit it to the following directory list (IMPORTANT):
http://www.directorycritic.com/ http://www.vmoptions.com/
That should be all! In two weeks, you will love your alexa.
Step 4: Generating Income
In some cases the website traffic will be enough to sell the site for a good price. Buy claiming income sound triple your site's value. You're already generating income from featured links. If you have a good pagerank, try http://www.text¬link¬ads.com/. Also try selling text links on dp: http://forums.digitalpoint.com/forumdisplay.php?f=58
Also give a shot to products like directory maximizer.
Adsense I have recently figured out adsense. Most directories can't generate a cent through adsense but mine can. Most directories enable adsense through widgets. But we won't do that. We'll use the literal tag ¬Read step 2. Try placing adsense in different spots, not just the right bar or on top of page. Think about your audience. Most just want to submit their link and leave. They will only click on the ad if they think it will benefit their website.
SEO Most directories barely gets any traffic from search engines. Aim for certain low¬competition directory related keywords. Try building backlinks and getting pagerank. Pagerank can give good authority to directories. To increase or keep PR, you have to get back links. Previously, submitting articles has worked for me. Try something on fiverr if you do not want to submit manually or not even write the article yourself. Try social bookmarking, building profile links, and though I've never tried it maybe posting blog comments could work too. There's probably many other ways too...
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