Starting an Online Business All-in-One For Dummies®, 3rd Edition

Putting It All Together: Multiple Revenue Streams

Online ad revenues have certainly been on the upswing lately, peaking at $7.3 billion in the first quarter of 2011, according to a report from PricewaterhouseCoopers and the Internet Advertising Bureau. That's an all-time high for the online advertising industry, helping to prove that online advertising is an exciting business model for your site. Who says that you have to choose only one source for earning the big bucks, though? Merging different online business models is smart business. The catch is deciding when and how to add different revenue streams to the mix. In our experience, you have to start by striking the right balance between your core customer base and your primary earnings strategy. At the same time, remember not to bite off more than you can chew. Also focus on the sales strategies that you can handle comfortably so that you don't become overwhelmed before you even start out. Begin by identifying your earnings anchor. This primary moneymaker provides you with a steady source of income. It's the type of business most closely linked to the identity of your site — and your target audience.

After you establish an anchor, you can look for complementary products or services. These items extend the value of your site and increase your earnings potential.

When you're determining what revenue streams to add to a site, and ...