The $1.00 Way To Make Money
Almost every time someone sees me playing tennis during the middle of the workday or as I’m leaving or returning from traveling with my family, I invariably get this question asked to me…
“What do you do for a living?”
The internet marketing lifestyle is golden. The freedom and flexibility that comes with success in your internet business is the real value in this “job”.
It’s also what eludes 95% of those who attempt to start an internet business.
What I want to do in this lesson is explain two core steps for making a lot of money on the Internet. But first, let me explain the basic formula for making money online (or offline for that matter).
To make money you need an offer and a buyer.
That’s all you need. You need to offer something for sale and you need someone to buy it. That’s the formula. It doesn’t matter what kind of business you’re in, that’s how revenue is generated. You need a transaction to take place.
Now, let’s look at two core steps that are involved…
1. FIND SOMETHING THAT WORKS TO GENERATE INCOME. Whether you’re promoting an affiliate link, selling your own infoproducts, hosting auctions, flipping websites, generate ad clicks or any of a dozen other ways to make money, you need to find something that works to generate income. (NOTE: As we will look at below, this can be ANY amount of income … even $1.00!)
2. REPEAT IT ENOUGH TIMES TO REACH YOUR SALES GOAL. Take your sales goal and divide it by your profit per transaction and you’ll get the number of customers you’ll need in order to reach the income level you are interested in. Don’t make this more complicated than it needs to be. What you need to aim at is simple: duplication. Once you make money – ANY amount of money, even $1.00 – it’s simply a matter of duplicating that process over and over again.
SIDEBAR: When I first starting an internet business back in 1999 something interesting happened to me. I made my first sale online which was for a whopping $12.95 (barely enough to buy a pizza!) Heck, I had to hand key in the order on the credit card machine that I used for my sports card shop because I didn’t have an online order processor. But I remember dancing with my wife in the bedroom of our small house. Why? Because I realized even then the soundness of the steps I’m explaining to you today. I made $12.95 … now all I had to do was repeat that over and over again to reach the income level I desired.
My first full year I made over $100,000 selling those low-cost products.
I found something that worked to generate income. I repeated it enough times to reach my sales goal. I connected an offer and a buyer. I got transactions. Ten years later I’m still operating by that same strategy.
Now let’s talk about YOU.
Let’s look at some quick models of income generation to see how this works. Let’s assume that your goal is to make $1,000,000 (one million dollars) during the next 12 months. Let’s see how you can do this…
1. The $1.00 Way.
There was a well known news story a while back about a guy who sold one million pixels of advertising on his website at $1.00 each. The result was a whopping one million dollars in revenue. While this is the most difficult way to do it (simply because you need to find more customers than the average person can find), it is possible. The principle is the same: find something that works to generate income and repeat it enough times to reach the goal.
2. Ad Sites That Generate $10.00 Per Day.
Another option is to create a content site that generates income through clicks through one of the popular advertising networks such as Google Adsense®. If you setup a site that generates just $10.00 per day in revenue in one year you’d make $3,650. How would you apply the strategy we’ve talked about today? You’d setup 274 of these ad sites for different niches in order to generate the one million dollars based on $10.00 per day for each of them.
3. Membership Site That Earns $5,000 Per Month.
What about a membership site? The beauty of membership sites is this: a customer pays you money month after month for as long as they remain an active member. You need LESS customers to make a similar amount of money. So, if you have a membership site that earns $5,000 per month it will yield $60,000 per year. Again, what’s the practice? You’d need 17 membership sites in order to generate one million dollars in the next year with similar numbers.
4. An eClass That Earns $25,000 Per Month.
Offering a 4-week eclass with personalized coaching at $997-$1997 per student enrollment is another option. Obviously, the higher the cost, the less customers you’ll need to find. If you have an eClass that pulls in $25,000 per month, it would yield $300,000 per year. Just FOUR eClasses with these results would tip the one million dollar mark quite nicely.
5. A Product Launch That Pulls In $500,000.
Let’s suppose you create a great product, get a bunch of great partners lined up to promote it and pull off a great launch that yields $500,000 in revenue. Principle at work? Repeat it just TWICE and you’ve a cool million dollars coming in.
And these are just a few of the options that are available to you.
No matter what you’re price point (and, as a general rule it IS easier to find less customers who spend more money than it is to find more customers who spend less money) the way to make money is the same in all regards:
You need an offer and a buyer.
You need to find something that works to generate revenue and then repeat it enough times to reach your sales goal.
That’s how you make money.
Now, there is a RIGHT way to do this and a WRONG way to do this. There are some GOOD decisions to be made and some BAD decisions to be made. There are IMPORTANT steps to take in the process and there are TIME/MONEY WASTING steps to take in the process.
If you need some personal, hand-holding from a ten year full-time veteran, this is your chance to make sure you get it all right. For the FINAL TIME I will be offering my popular Six-Figure Formula eclass at http://www.SixFigureFormula.com I will be permanently “retiring” it after the current class and it will not be offered again.
If you’d like me to personally help you create a plan to build an internet business, then drop by for all the details at http://www.SixFigureFormula.com There are ONLY 50 SPOTS AVAILABLE and this will be the last time I do the class. Join me today.
May 19th, 2010 at 1:40 pm
This was interesting information…I agree with the info posted as I’m in the process of putting together some similar deals. In addition to sites with Adsense I really like the idea of the 100% commission deals where people build MY list, and they keep all the money. Nice info Jimmy, thanks for the good post! Craig PS. I like your blog theme too! Looks very nice
May 19th, 2010 at 1:44 pm
Hi Jimmy,
Great post thanks.
For a while now I have been looking at the big picture too much and allowing it to appear too big a possibility.
You have brought me back to ground and I can now see again that by working out how many customers I need to reach my goal, makes the process look so much easier.
Thanks again
Jonathan
May 19th, 2010 at 1:49 pm
Jimmy, You always have such interesting advice to offer. Thanks for sharing!
May 19th, 2010 at 1:51 pm
Gracias por este post. Saludos desde España.
May 19th, 2010 at 1:59 pm
Jimmy, that is really a great post and you have always been one to really simplify things for everyone. That is vitally important in the internet marketing world. Thanks.
All the best,
Glen Wayne
May 19th, 2010 at 2:10 pm
Dear Jimmy,
I have read your articles and reports. They have been always very straight forward and blunt in the face kind. Iam sure whoever joins you for the coaching sessions will get a great benefit 1000X the time investment and money.
you are the guy to learn from.
all the best
jayant hudar
May 19th, 2010 at 2:14 pm
Excellent article Jimmy and learning by helping others with the low priced products…they trust you enough to purchase the higher priced ones…thank you!
May 19th, 2010 at 2:32 pm
Then, of course, we could start the prospect at the $1.00 level and funnel them all the way through to the coaching program. We may not get them all the way there but we can certainly make a lot of money while trying.
May 19th, 2010 at 2:52 pm
“To make money you need an offer and a buyer.”
This is huge. Most marketers these days put out offers without researching the buyers first. Then they’re surprised when no one buys their “How to Dance on a Minefield” ebook.
Market research is critical. Find existing hungry buyers first…then put the product in front of them.
BTW, I can personally vouch for Jimmy’s eClasses. It’s highly polished training that has put every other training product I’ve purchased to shame. Jimmy, you’re a class act!
May 19th, 2010 at 3:14 pm
Hi Jimmy,
You have the coolest way of saying things that makes it all make so much sense, along with the presented ideas and tips not being too difficult to implement, either. As always, thank you for being you!
Thanks for reiterating the possibilities inherent in lesser priced items… even though so many are teaching that we should have “big ticket items” and forget the small stuff. Usually those who proclaim these tactics are already obscenely rich and seem to have forgotten how difficult it is for the struggling dreamers to come up with what they call “only $1,997″ which for many people is simply impossible to come up with, even when presented with a payment plan that is higher than their monthly rent or mortgage.
I’m sure many people will be saddened that this will be your last 6-Figure coaching program… but I applaud you for wanting to spend more time with your family and enjoying your life. It’s so easy to get totally caught up in marketing and the sacrifices it entails… and forget to enjoy our friends and family and life in general.
My best to you always,
Donna
May 19th, 2010 at 3:22 pm
For a long time I had been selling high cost services to small local business owners. While I will still be doing that, I have recently started selling a much lower cost service. This is proving much easier to sell. In addition to easier to sell, it is much less effort on my part to service these ‘lower cost clients’. Anyways, I did the math, figured out how many I need to sell to reach my annual income goal, and am on my way towards that goal. This article was very helpful in making me see how I was going to hit my income goals.
BruceMcc
May 19th, 2010 at 3:40 pm
“But I remember dancing with my wife in the bedroom of our small house”
Same happened to me for the first order - now profits and also the bedroom are bigger. More room and chances to dance
Thanks for this great post.
May 19th, 2010 at 3:47 pm
Hey Jimmy,
Thanks for another insightful article. As you stated, there are a multitude of ways to make money online. The trick is to find some thing that works for you and repeat it.
I, personally, appreciate your character and integrity. It’s refreshing in this dog-eat-dog world of Internet Marketing.
Be Blessed,
Mark Vaughn
May 19th, 2010 at 3:58 pm
Hey Jimmy, you’re right, we often make the process harder than it is. Somehow it takes a lot of the pressure of when putting it into simple terms as you have ‘you need a product and you need a buyer’ that’s it.
Your next step is to figure out your financial goals and work towards that end. The problem with most people is they get distracted.
One of the things that often distracts me is I’ll spend time perfecting instead of promoting. I’ll spend time improving my website or tinkering with a sales page when I should be promoting.
It’s about establishing a goal, $100 a day, $100,000,000 a year, whatever it is, then focus on making that goal happen. Nice post thanks!
May 19th, 2010 at 4:50 pm
Thank you for putting the whole ‘making money on the internet” thingy into perspective. Like another one of your commenters I had my brain filled with the big picture and trying to work out how to get to the annual income figure without working it backwards and learning about how many customers I would need to get the income I dream of. You have been a huge help
Lisa
May 19th, 2010 at 5:07 pm
Wow Jimmy,
This is really inspiring! Im going to read it again and try and make something of it. Thanks.
May 19th, 2010 at 5:37 pm
Thanks very much Jim.
May 19th, 2010 at 6:23 pm
Thanks Jimmy! I’ve been struggling with the whole idea of how much to charge for the product I just launched and I think you helped me come to a decision!
-Marnie Doyle
May 19th, 2010 at 7:51 pm
Hey Jimmy, long time fan and customer.
An eye opener for me was when I realised there are three sound ways to increase your income.
#1 - Find more buyers. This is the hardest to do and takes a lot of effort.
#2 - Increase the price of your products. You get fewer sales, but make more profit. Typically (but not always I’ve found) people who are willing to spend more money are much better customers, less prone to complain, and they also seem to be more savvy and “get it” more easily.
And finally… The BIG one.
#3 - Get your existing customers to buy more of your products. Actually this is great in two ways because first of all you gather around you a group of fans who will buy the bulk of any new products you release simply because it’s you. And secondly, if you run something like a valuable monthly membership that will enable your customers to make more money themselves, or provide them with products they can sell or give away to build their own mailing lists, then everybody wins. My experience says this is a real winner.
Pretty much this last one is your principle of “repeat”, and the way I see it is if you want to succeed online then it’s all a matter of how many pages with payment buttons you can put out there.
People have come to me and said things like “I just can’t get this to work, I don’t know how anyone can make any money at all online.” and various similar reasons. The first thing I always ask them now is “How many payment buttons do you have online?”
For most people it then becomes very quickly apparent what it is they have to go do.
-Frank Haywood
May 19th, 2010 at 10:16 pm
I have been trying the $1 per site per day idea with adsense promoting them with articles but with little traffic and rare click throughs. I wonder whether people click through adsense ads anymore.
May 19th, 2010 at 10:32 pm
Thanks Jimmy. Finding the right price point can be tricky. It seems sometimes people are willing to pay far more than I think they would. Sometimes, the opposite is true.
May 19th, 2010 at 10:42 pm
Hi Jimmy,
I trust all is well and the good Lord is smiling on you and your business.
Great information as usual and your tactics have earned me and continue to earn me decent income streams.
Stay blessed.
May 19th, 2010 at 10:54 pm
As usual your post are full of informative ideas & tips. Your business model on achieving $1 million a year is really useful. You make it look so simple.Before this we don’t even dare to dream of making a cool $1 million a year, cause it will be a very a big task if not impossible to achieve. The tricks is to break it down to revenue per buyer and mutiply with how many buyers is needed to achieve that magical amount $1 million.
Another idea which might work. If your website is popular and are 1st place on search engine you can rent out banner space to other webmaster. Eg. let says you rent it out for $600/mth , in a year you will be getting $7200. You only need 140 people to make it.
Let’s make $1 million a year starting from 2010.
May 19th, 2010 at 11:01 pm
Jimmy,
The same great content you always offer. I think we try to over complicate things when we are first starting out and that throws a wrench into things a bit. Keep it simple is a good way to go. Find some thing that works and duplicate it.
May 20th, 2010 at 1:14 am
Hi Jimmy,
Thanks for nice info. You’ve presented clear picture of building internet business.
Thanks,
Bhavesh
May 20th, 2010 at 1:53 am
Wow Jimmy, you’ve done it again as usual… make sense out of nonsense. What I mean by that is so many are banging their heads against their screens trying to figure out how to make money online… which is nonsense, when the simple solution is to have and offer and a buyer(makes sense.
As you’ve said, there’s a right way and a wrong way to achieve that goal, and that’s where your six-figure formula steps in at for all those smart enough to grasp that opportunity. I will bet that most people have already wasted more money and been ripped off an amount much greater than the one time investment of the 4 week course. The sad thing about it is that they will continue to do so.
Just in this blog post alone you have given away a profit making gem… identify a niche and a problem within that niche that many have, put yourself in the path of those with the problem, and offer them a proven solution.
Thanks once again for offering more insights and nuggets of profitable information.
May 20th, 2010 at 2:32 am
Jimmy always boils it down into something that’s so dead-simple even I can understand it! Thanks for the post!
May 20th, 2010 at 5:54 am
As always Jimmy you giveing gold info that everyone can benfit from them.
Abdulla
May 20th, 2010 at 9:42 am
Hey Jimmy
Are you SURE you have to retire? Thanks for all the info over the years.
Mark
May 20th, 2010 at 10:00 am
Hi Jimmy
Wow. Most people don’t think of doing sales this way,everyone seems to want to make big ticket sales, but making a lot of sales for much lower prices is probably easier to do provided one has enough traffic coming to their website. You have really given me something to think about.
Michelle Jayes
May 20th, 2010 at 11:17 am
Thanks Jimmy,
Offer +buyer = Profit
Simple and basic “Business Marketing 101″ at it’s best!
Best business system yet invented.
Gary
May 20th, 2010 at 6:55 pm
Hi Jimmy,
Nice one. I started out selling a $27 ebook on behaviour management to teachers and soon realised the first model - low cost items - was great marketing but it’s difficult to keep getting those $27 sales day in day out!
I switched to live training at $2k plus and membership sites. Both have enabled me to work online full time. I won’t pretend it’s easy - at times it can be hard (wish I had your organisational skills to trim it all to three hours a day!!) but well worth the effort.
All the best,
You’re a star
May 23rd, 2010 at 8:25 am
On the net fast cash advances
May 24th, 2010 at 1:32 am
Hello Jimmy,
this an interesting topic. There is something that you mention that is also interesting. Your advice is to have as many pay buttons as possible to make money.
Don’t you think that many people are also making money online with a number of pay buttons that they can count on one hand? It seems to me that there are two scenarios that can work here.
The fist being what you said. Have as many pay buttons as possible. However, I have also seen others who only have maybe one or two websites and only two or three ways to pay on either website, but… their numbers are in the traffic, not the pay buttons.
Example:
Seller A sells something for $1.00 on 100 websites with a pay button on each one. He gets 1 paying website visitor a day to each of his websites, so… he makes $100 a day.
Seller B also sells a product priced at $1.00, and he has only 1 website with 1 pay button, but… he gets 100 paying website visitors a day to his 1 website, so he also makes $100 a day as well.
I don’t think that both of these business models are mutually exclusive. I think money can be made with either of them.
May 24th, 2010 at 10:43 am
Hey Jimmy,
Great article you are right about getting the way to make money and then doing it over and over to get to the amount that you need.
Membership site are a great source of income when it comes to online selling as they have residual income.
Glyn
May 26th, 2010 at 12:00 pm
Great article. From experience, I can recommend niche sites devoted to making money with adsense. I have a lot of websites/blogs - I use adsense on about half of them. Some subjects, or niches, work better than others when it comes to making money online. Pet sites, food blogs, office supplies, travel sites or blogs, and fashion/design niches do really well. They’re also excellent for affiliate marketing.
I’ve also had really good success, on my self help blogs and food blog, with Amazon.
Thanks for all of the motivation and information you provide and for being one of the most trusted individuals online.
May God continue to bless you and all those you love. - Joi
June 3rd, 2010 at 7:03 am
Hi Jimmy, This is interesting stuff, I am receiving a couple of your courses, and it is starting to help. I am rather new and vastly inexperienced. One problem I am having, and probably typical, is information overload. I think this forum is going to benefit me.
Thanks
Regards
Warren
June 18th, 2010 at 10:15 am
Jimmy,
You always practice the KISS theory and I love it!
Breaking down a goal into bite-sized morsels will always make it (the goal) unbelievably
realistic to attain.
Thanks again for reminding us how easy it is to get what we want.
Bob
June 20th, 2010 at 11:38 am
Excellent as alway’s Jimmy.
Simple and strait forward advice.
June 23rd, 2010 at 9:39 am
hi dad jimmy,
i am just a newbie and i am already learning informations on ur blog.
Jimmy thanks for these informations u are sharing on ur blog.
June 27th, 2010 at 11:13 pm
Thanks Jimmy, you’re advice truly motivate us to achieve our internet wealth dreams.
It is true that to follow a proven method and repeat it. As a saying “wash, rinse and repeat” the process.
July 30th, 2010 at 3:26 pm
Hi Jimmy,
I read you informations in germany. Its very interesting. Its my desire to have (some) own websites and get some money in the http://www. Your Informations will help me to start it.
Thank you very much.
Chris
August 17th, 2010 at 8:31 am
Great post, I think you have hit the nail right on the head.
It is not often that you find someone that gives away free information like this.
You could package up this post and easily get $9.95 for it and have many very satisfied customers.
Thanks for the freebie…