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Transcript for video
Your website sucks now fix it – #2 Web Economics The advantages of being #1
Welcome to episode 2 of your Website Sucks now fix it. I created this series specifically for small business owners and Internet entrepreneurs trying to keep up with an ever changing barage of technical and well not so technical issues. As an Internet veteran with company that does over a ,000,000 a year I know a thing or two about what it takes to make money online. In the first video we went over the basic principals of what it takes to make a website successful. In this video we are going to go over the economics of running a website and why it’s so important to be in the number 1 position.
Lets go over some numbers
for this example we are going to choose the keyword “San Diego banners” if we check google’s keyword tool we can see that it gets approx 1900 searches every month. Next lets look at the distribution of click through rates for the first page results. These number are widely debated in the search engine optimization world but one thing everyone can agree on is the first position gets a lot more clicks than position #2 and and 3. Now let’s pretend that the average sale is 0 and the average conversion rate is 2%.
First page result would receive 1064 visitors representing $ 2128 of revenue each month
the second page would receive 247 visitors representing 4 per month
the third page would receive 171 visitors representing 2 per month
Let’s put that in perspective. The site with the #1 position will make 536 the site with the 2nd result will make 26 and the site with the third result 04.
Now we know the conversion rates and averages sales are never going to be identical but you can clearly see that if you are going to be on the web the only person that’s really making money is the person with the #1 position.
Choosing keywords and target business.