How online classified websites makes money? though nearly they all says “Post Free Ads” in their website. Here we will learn five different money making process generally followed by all free classified websites.
We have studied many Online Classified sites and found these Money Making Opportunities from these Classified Websites stated below alternatively you can say Profitability Model of Classified Sites. Classified sites makes money from these following systems. I have demonstrated all ways with proper examples below. Please read on.
Five ways to make money from online classified websites:
Google, Bing etc. Ad-Networks: You can place CPC, PPC, Fixed Banner etc. type Advertisements at different places of your Classified site. Below example shows a Google AdSense ad at Olx website.
Premium Classified Websites: They charges money per Advertisements and/or for specific time to show these Ads. If you are a start-up and have a very specific micro niche (here Niche means a very specified type of product/service category like Vintage Cars, Rare and Old Coins etc.) only then you can Charge Consumers per Advertisement because there are numerous Free alternatives out there. This below example shows how JamesEdition, a Luxury Car Marketplace classified site charges their sellers.
Feature based Pricing: Initially Posting of Advertisements may be FREE but with limited features like restricted number of Photos, Videos, contact details or other specific features like Messaging, Calling or Chat. Then you can charge users to use these features as per their requirements. Example of CityVibe, an Escort Classified site is shown below. We can see different features they provide in their classified website to make money. (Click on image to go to official site and there you can find all possible features of a good premium classified website.)
Top Features: You can charge users for showing their Advertisements on ‘Top of others’ with Bidding or Fixed pricing. You may restrict Free Ads to one category and/or City and Premium to more than one. Below Quikr Premium Ad Credit packs are good examples we can see.
Selling Consumer Data and Database: Lots of traffic flows in and out these type of Classified Sites in everyday basis. Many businesses buys Consumer Data and analytical data insights from these Classified websites.
Remember: [highlight]If it is a new startup then you have to wait for some times to Make Money. After a sufficient number of Advertisement and regular “User Visits” then you can think of these alternatives to make money out of it.[/highlight]
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