How to earn money online

This is for those who asked me how to earn money online. A large part of the income people make online comes from ads on their websites. Some people also earn money selling email addresses, filling out surveys, or answering emails. In this article, I will only talk about the money you can make from ads.

General Information

Basically, there are 3 types of advertising:

  1. CPC – Cost per Click (Get paid when somebody clicks on an ad on your homepage)
  2. CPM – Cost per Thousand (Get paid every time an ad is shown 1,000 times)
  3. CPA – Cost per Action (Get a commission when somebody buys through one of your links)

Cost per Click Ads

Everybody can sign up for CPC Ads. The most popular CPC agency is Google AdSense. The only real requirement is that your website works properly and doesn’t provide illegal or adult content. It doesn’t matter how many daily visitors you have. You just copy the ad code onto your site, and every time somebody visits, Google reads your content and selects the right ad for your page. For example, if you are writing about cell phones, an advertisement for cell phones will appear. Every time somebody clicks on the ad, you earn money. Depending on the topic, you will earn between $0.05 and $1 per click. Topics like books and smileys are usually cheaper than topics like jewelry and mortgages. Don’t even try to click on your ads yourself, because Google will find out and remove you from the program. The opposite of Google AdSense is Google AdWords, where you can publish your own ads.

Cost per 1,000 Impression Ads

If you sign up as a CPM publisher, you will earn money regardless of whether somebody clicks on the ad or buys something. To get accepted by CPM agencies, you will need a certain number of daily visitors, typically between 200 and 1,000 per day. The most popular and recommended CPM agency is called Fastclick (recently converted to ValueClick – www.valueclickmedia.com). When you try to sign up with a CPM agency, make sure your website is not just a forum and that you have a privacy policy.

Cost per Action Ads

CPA agencies only pay you when somebody clicks on an ad and then buys something. This doesn’t happen very often, but the commissions you get when somebody buys are much higher than the cost of a simple click. That’s why you should have many visitors if you plan to sign up with a company like Commission Junction.

Links and Agencies

  • AdSense (Earn money every time somebody clicks on an ad – mixes in a few CPM ads)
  • AdWords (Advertise your own website – pay for every visit or every 1,000 ad impressions)
  • ValueClickMedia.com (Fastclick = ValueClick – only CPM ads)
  • Commission Junction (Most popular CPA agency)

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