Adsense Re-Investment
By: John Elder posted in Adsense
Hello good people!
Well the bump in Adsense earnings over the last few days has quieted down a bit. Yesterday it brought in only $69 in Adsense earnings, which is still great compared to the post Panda $35 a day I was seeing last month, but it’s definitely a dip from the $80-97 I saw earlier in the week.
That’s not necessarily a bad thing, often times earnings go in a sort of zig zag, up and down pattern like that…I can’t tell you how much I earned in Amazon commissions for yesterday because Amazon hasn’t updated yesterdays reports yet. They do that every once in a while, the reporting system just seems to go down for a couple days.
Well it’s almost Thanksgiving here in the U.S. and I’m sure everyone is either busy preparing for the holiday tomorrow, or putting in a frantic last day of work before taking a few days off to spend with friends and families…so I’ll make today’s article short so you can get on with enjoying your pumpkin beer…uh, I mean pie, pumpkin pie. Yeah.
Today I want to talk about something fundamental to growing an Adsense empire. Re-investment.
What is Reinvestment?
Basically, there are two ways to grow an Adsense empire. Start out strong, or build your way up. Building an Adsense empire takes money. Specifically, it takes a lot of money to buy domain names. Web hosting is a relatively fixed expense, but domains are variable – meaning the more you buy the more you spend.
If you’ve got the cash, then buying domain names in bulk right away is the way to go…but if, like most people, you don’t have the cash or credit to purchase 2,000 domain names in one afternoon – reinvestment is essential.
How does it work?
It’s pretty simple. Basically you buy as many domain names as you can. Maybe it’s ten…maybe it’s fifty…maybe a hundred. With Godaddy constantly running sales of .info domain names for $.67 cents each, one hundred domain names is doable for nearly anyone (100 domains at .67 each costs just $67 total).
Then you build sites and launch your empire. Then you wait.
The waiting is the hardest part. And initially it’s going to take two months…one month to earn Adsense revenue, then another month for Google to pay you what they owe you because they always pay one month later.
The trick is to then RE-INVEST a portion of your earnings back into your empire and designate it towards buying more domain names…and thus growing your empire from profits.
How much should you reinvest?
That just depends on your circumstances. Some people need the income that they earn from Adsense to live off of and find it hard to re-invest any. Some people still have regular jobs to live off of and can re-invest it all in order to ramp up quickly and grow their empire so that it’s strong enough for them to quit their day job.
It just depends.
Personally, if I started out with 100 sites and they earned, say, $2,000 in the first month…I’d reinvest every penny of it to buy new domains. If you catch a Godaddy .67 .info sale, $2,000 will buy you almost 3,000 domain names….that’s what we call scale!
The important thing is that you look at your own circumstances, make a re-investment plan, and stick to it. Maybe you’ll decide to go slowly and reinvest 20% of your earnings towards buying new domain names each month. Maybe 50% for the first few months and 5% a month after that.
Whatever you decide, it should be constant and continuous. I can’t stress enough how important it is to not ever stop adding new sites to your Adsense empire because if you’re always adding sites, it’s really hard for Google to squash you…
Keep on building!
-John
The Marketing Fool!