How To Flip Websites For A Profit
Have you ever heard the term ‘flipping’ to describe a way of making money? And no, it’s not about someone complaining if they’re having problems!
Flipping is a term used to describe buying something at a low price, improving or updating it, then selling it on quickly for a profit. This can apply to almost anything, from items on eBay or Amazon, to property, cars, or in this case, websites.
How Can I Make Money From This?
There is quite a bit of work involved in this strategy, so if you’re looking for a fast buck then this isn’t for you. A popular website for finding other websites to ‘flip’ for a profit is Flippa.com. Here you can browse the websites that are up for sale and if you find one that you like or you think has potential, you can bid on it.
Now obviously, you need some capital to start with but you can pick up websites for a surprisingly low price (as little as $100). So there’s no need to spend hundreds or thousands of pounds. Good news, right?
The advantage of doing this is that you can buy a website for a relatively low price, make some improvements, then sell it on for a much higher price. On flippa.com you will find all the information you need for each website, including monthly traffic figures (verified via Google Analytics) and monthly revenue (this information is provided by the seller so you might want to take this with a pinch of salt). Typically, a website will sell for around 12 to 20 times it’s net monthly earnings; so a website that is making, say, $500 a month will sell for between $6,000 – $12,000. Imagine if you bought this site for $200 and sold it for $20,000! How’s that for a profit??
I Don’t Have Much Spare Cash…
You don’t need large sums of money to do this. The idea is to look for websites that have a poor layout, low traffic or no visible signs of monetization. These can then be vastly improved upon to boost the site’s value and then sold for a healthy profit!
Another good idea for choosing which websites to buy is to search for what’s currently popular using google trends – www.google.com/trends. You can find out what people are searching for and base your search for a website on what is generating interest among the general public. Any website that has a busy forum built in is likely to sell as it will have high volumes of traffic. This means you can sell it for a much higher price as buyers will have a head start on getting traffic to their site. It will cost more to buy but the potential profit is huge.
So How Do I Add Value To My Site?
There are lots of ways to add value to your website. As mentioned above, Google Adsense is a great way to monetize a website as the ads bring in regular revenue for hardly any effort on your part. Apply at www.google.com/adsense. It’s easy to set up and they have good customer support if you need any help with setting up.
Affiliate ads are another good way to boost your revenue. Large retail companies – like Amazon – have affiliate programs or you can sign up to multi-vendor platforms like ClickBank or Commission Junction. Vendors on these sites have tools for affiliates such as banners and special links, so every time someone clicks on the link or banner you earn a commission.
Even better, if you can somehow gather their name and email address you can build a list of prospects; this will massively boost the value of your website when you come to sell it. Whoever buys it will have a ready made list of people to market products to. Brilliant!
You should also set up social media accounts for your website, at least Facebook and Twitter to get you started. Then build up a following. The more popular your website, the greater the earning potential and that will help your profit when you come to sell it on. Once you’ve done all you can to boost your site’s value then you can go back to flippa.com, list it and sell to the highest bidder.
Good luck! I hope you found this article useful. Next time we’ll be talking about buying and selling domain names.