How Much Can A Home Based Business Earn?
Some of you who are starting up a home based business are more goal oriented than others.
While some people start a home business with their passion in the first place, others want to know what they can expect to earn at some point with their websites.
There are many different niches with many different ways of monetizing so it’s almost impossible to predict what will happen with your home based business idea but we can find some averages that will help us assess the monetization potential of a new site.
These averages can also help webmasters with existing online business to better assess whether their site is reaching its potential or not.
How Much Will 100 Daily Unique Visitors Earn Me Per Month?
If we know how much we earn per day (per month) from 100 daily unique visitors, then we can better estimate how many visitors we need to reach our goals.
As I mentioned before some people want to know how much effort it will take to reach their goal. You can get a good feel for that if your start your home based business, put some good effort into building quality content and links and then see what the results are.
If for example your goal is to earn $1000 per month with your site and you now earn $100 per month with 100 daily visitors, then you know that you’ll need around 1000 daily visitors to earn $1000 per month.
And since you know how much effort you put into your site to get to 100 daily visitors, you can now gauge the amount of content and link building to reach your goal.
Two quick notes here before we start calculating some averages: you actually don’t need to put in 10 times more content and links to get from 100 to 1000 daily visitors. Your site’s traffic will increase faster than linear for a certain period of time.
For example: if you have 50 content pages and some good links and that results in 100 daily visitors, then if you double the content and the amount of links, you will get MORE than 200 daily visitors.
This traffic growth doesn’t continue forever but there is a time period of faster growth.
Also: you will earn more per 100 daily visitors per month with high traffic than with low traffic! A site that gets 1000 daily visitors will earn more than double of that same site when it had only 500 daily visitors.
(That’s what I see from my experience but “why” that happens is another topic. And it doesn’t really matter – what matters is what really happens.)
In order to calculate the income per 100 daily visitors per month, we need to divide the income per month with the factor that is a result of actual daily unique visitors divided by 100.
Example: One of my sites had on average 1466 daily unique visitors in March 2010.
That same website earned $2172 in the same time period.
1466 / 100 = 14,66
$2172 / 14,66 = $148,15
This result – $148,15 – is the amount of money that this website would earn if it would have been receiving only 100 daily unique visitors.
Of course this is just mathematical result and reality may be different for many reasons but that’s the best assessment we can come up with with simple and quick calculations.
Here are the earnings per 100 daily unique visitors per month for 3 more sites that I own:
As you can see some sites are more profitable than others. Some are more heavily monetized and some can have a much higher Adsense Cost Per Click.
What these numbers tell us is this: if my site earns around $450 per 100 daily visitors, then if I get twice the amount of traffic (200 daily visitors), I’ll earn $900 per month.
But if my site earns only $150 per 100 visitors, I’ll need 5 times more traffic (100 + 5 x 100 = 600) to earn $900 per month!
I also want to mention a domain that I bought and developed it into a blog which was about pollution. I added lots of content to it and that blog now receives over 1200 daily unique visitors.
But the topic is purely informational and most visitors to that site are students looking for information that will help them complete their school projects regarding pollution.
I’ve tested various ways of monetizing that blog and the CTR is just unbelievably low. I now don’t monetize at all and just keep the info there but based on the numbers I saw that blog could have earned at most around $5 per day.
It would actually earn $150 per month on 1200 daily visitors which is 150 / 12 = 12,5. 😉
So your income per 100 daily visitors per month can plummet even into such low numbers as $12,5 (per 100 daily visitors per month) if your topic brings visitors to your site who are not interested in buying anything and are not interested in any kind of ads.
I hope these numbers shed some light and help you better assess what you’ll get for the effort you’ll put it.
You will also help if you share your income per 100 daily unique visitors per month in the comment section below which will give us better insight into what we can expect to earn from our home based businesses.