Profits increased nicely in August. Being back full time has given me time to get some great paid traffic campaigns rolling again and keep the content mill cranking out plenty of new content.
More importantly, my paid campaigns generated a very good ROI. The downside is I didn’t ramp up the paid traffic budget too high (yet).
Another negative is that affiliate commissions for the B2C site dropped quite a bit. Traffic and clicks remained stable to those posts, but for some reason conversion wasn’t as good in August. I’m optimistic affiliate commissions will bump up nicely through the fall and into the holiday season.
Overall, August was a good month.
Please note this income report pertains to 2 niche sites of mine. It does NOT include net income from Fat Stacks (which is growing very quickly due to the popularity of my authority website course (now called Niche Tycoon) or my local offline marketing clients.
Due to Canada’s plummeting currency in relation to the US dollar, I’ve converted all revenue and expenses set out below to USD. Living in Canada, this means I enjoy a very nice currency conversion, but since the USD is a dominant currency and it is valued much higher than than Canadian currency, I’ve converted all figures in this income report into USD.
Here are the numbers.
August 2015 Income Report:
Niche Site #1 (Large B2C Magazine Style Website):
Display Ad Revenue: $48,395
Affiliate Commission Revenue: $2,583
Total revenue for site 1: $50,978 USD
I explain how I generate this revenue from these types of sites in my guide here.
Niche Site #2 (Targeted Niche Site):
Affiliate commission revenue: $8,226 USD (this is total revenue for site #2).
I explain this model here.
TOTAL REVENUE BOTH SITES: $59,204 USD
Expenses (Both Sites):
- Instapage: $39
- OptinMonster: $29
- AWeber: $288
- Bluehost: $5.95
- Synthesis Hosting (Synthesis review): $147.00
- Dropbox: $10.99
- LongerDays (outsourcing services): $7,800
- Stock Photos: $266
- GoodBarber App Maker (monthly subscription): $48
- Amazon S3 Server: $702
- Facebook Ads: $14528.80
- Bing Ads: $0
- Outbrain Ads: $616
- SEMRush: $69
Total Expenses in August 2015 (both sites): $24,549 USD
Net Profit for Both Niche Sites: $34,654 USD
Display ad revenue increase: Since display ad revenue/profits is my bread and butter for my B2C site, August was a great month, especially since much of the ad revenue profits was generated from organic search traffic. Going into September, I do hope to increase paid traffic, not only for more profits, but also to increase overall traffic throughout the site.
This will be a new strategy for me (buying traffic just for traffic’s sake) to see if it will help grow organic traffic. I have a hunch it will, but it will be impossible to prove it. If I break even on the traffic, that’s good enough. These traffic focused campaigns are in addition to my paid campaigns set up strictly for generating profits.
B2B Niche Site: This site was down for much of August due to technical issues. However, it continued to generate a great revenue due to the way it generates commissions. For the past 1.5 to 2 years I’ve done very little to this site, but over the next 6 months I have some plans to work on really ramping up my B2B niche sites’ profits by overhauling the design, improve the email funnel, start more B2B sites and incorporate additional affiliate promotions. While these sites don’t enjoy explosive growth, they are consistent earners and do increase profits month after month.
SEO: In August I started some off-page SEO campaigns for my B2C sites, but I’m not sure it’s the direction I’ll continue with. I’ve not seen any benefit (I know SEO takes months to generate results). The quality of the SEO work is good, but I’m considering to invest my current SEO budget into paid traffic for traffic’s sake as mentioned in comment #1 above.
Reduce Outsourcing Cost: Over the last several months I’ve been spending $7,800 USD per month on outsourcing (content and social media primarily). Come October, I’ll be reducing that by one-half because I can slow down content production. I have a lot of content and I’ll still publish 1 long post per day (6 times per week), but I think the $3,500 can be deployed elsewhere.
Local Marketing: I don’t blog about my local marketing (and don’t include this revenue in these income reports), but it’s an arm of my online business I’m putting time and money into. I have a few clients who pay me for leads and new customers. There’s quite a bit of opportunity I haven’t taken advantage of yet so I will be working on increasing these few campaigns over the next 6 months. If they work out really well, I may work on growing this portion of my business.
Niche Tycoon: Extensive 110 page guide stepping you through exactly how I launch and build highly profitable niche websites.
Niche Sniper: A guide revealing how I generate $7,000+ per month in passive income with focused niche sites in specific types of niches.