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Should I Spend Money On Generating Traffic And Leads



E


verybody who is doing Home      will visit your page are not very 
Business is confronted many     interested. So assume that only 1 
times with the choice           out of 5.000 visitors are         
whether or not to spend money on      actually interested. Assume also  
buying extra traffic or leads in      that 1 out of 4 who is interested 
order to speed up or increase         will buy one product of US$ 50,-. 
their sales. And even though it       In this case you will get 25.000  
is not too difficult to decide        visitors divided by 5.000 are 5   
when to spend money it is still       people who are actually           
not an easy decision.                 interested. Out of those 5 you    
                                      will get 1,25 orders of US$ 50,-  
First of all you need to decide       which equals US$ 62,50 of sales.  
what this investment will bring       As this service costs US$ 100,-   
you in terms of sales compared to     you may decide not to purchase    
its costs. This is difficult,         it. But even though only 1,25     
especially when you don¡¯t have       sales are generated all the       
any experience to base your           people who visited your webpage   
assumptions on. Still, it is          may bring in future sales. So you 
vital to think about this and         could as yourself what the        
make an estimate. The best way to     chances are that some of these    
tackle this is to break your          visitors come back in the future  
assumptions down in small pieces      and buy something or that they    
in order to work out how many         tell somebody else about your     
sales you are going to generate.      webpage. Chances are slim, but    
For example, you buy 25.000           this is just to illustrate that   
visitors to your webpage for US$      you need to think about several   
100,-. You assume that this           scenarios.                        
service will not deliver you a                                          
warm market. Therefore the chance     Secondly, you need to decide if   
is significant that people who        you have the budget to spend that 



much money. Even if you think you     your other bills just because     
can turn a profit, they are based     your assumption were too          
on your assumptions. Even worse,      optimistic.                       
many times we decide those                                              
purchases based on the sales          Thirdly, are you willing to take  
pitch of the service you buy. So,     the risk of investing money at    
when you have a certain budget,       all? But, any kind of business    
and it is very wise to have one,      will bring some kind of risk. The 
try to stick to it. That doesn¡¯t     question is therefore not if you  
mean you can never change your        need to take some risk, but is    
budget. Actually, this should be      the risk bearable to you. Don¡¯t  
done periodically. In the end,        buy when it takes up to 50% of    
you don¡¯t want to take too much      your total budget.                
risk and not being able to pay        

                              




About the Author:

Robin Zweedijk is the owner of http://eBusiness-Advice.com and writes on a variety of subjects. To learn more about this topic Robin recommends you visit: http://www.eBusiness-Advice.com or http://www.pluginprofitsite.com/main-18145


Read more articles by: Robin Zweedijk

Article Source: www.iSnare.com


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