What would you do if you were just starting with a $500 budget to make money in Internet marketing?

39 replies
Hi

I know this has been said many times, but I'd like to know your thoughts based on today's market. So I am doing a little survey to find out if you returned to being a bulk standard newbie beginner, just starting in Internet marketing with a budget of $500 to start a business and earn some money online. What would you do to get started?

Would you just start a website selling a high ticket product, or promote affiliate products that you were passionate about, etc.

Maybe you were made redundant and had a few weeks in which to earn that money to pay some bills or you sold some items on Ebay and made the $500 to invest.

Personally I'd develop a website based on a hobby, passion, interest or work experience that I had and develop a blog and participate in social networking in order to build up a reputation. While building my reputation as an expert in that specific area I would be looking for a need and then I'd fill it, looking at what other people already created and what they were doing to gain traffic & sales opportunities. Maybe this would be a software program or turn an idea into an ebook or video course. Use my budget to have my site designed and maybe spend some on the software to be developed and the rest on pay per click campaigns and ezine promotion. As my name/product/idea was gathering steam develop strategic alliances with those already marketing within my chosen target market.

What would you do? CPA, CPV, PPC, Affiliate marketing, create your own product and market it, etc.

Let me know your thoughs

Look forward to discussing this with you...

Regards

James
#$500 #beginner #budget #internet #joint ventures #make #marketing #money #starting
  • Profile picture of the author Ouroboros
    I'd put $480 of it into savings and buy a domain name and hosting with the other $20.

    Only after I had done hours, if not days of research into that domain name.
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    • Profile picture of the author paulie888
      Originally Posted by Ouroboros View Post

      I'd put $480 of it into savings and buy a domain name and hosting with the other $20.

      Only after I had done hours, if not days of research into that domain name.
      I'd echo Stephen's opinion on this matter as well. How much you spend of that $500 would be dependent on your level of expertise and knowledge about IM.

      If you were already very knowledgeable and knew exactly what to do, obviously it'd be very easy to spend that $500 on paid advertising such as PPV or run several solo ads, and get a return on investment almost immediately.

      However, if you're new or unfamiliar to paid advertising, it'd be best to only spend a small portion of that $500 on essential expenses like domain and hosting, and then use your 'elbow grease' and time to figure out what works for you first.

      Paul
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    • LOL @ Ouroboros. I needed that giggle.

      James, I would do EXACTLY what you mentioned with a little difference: start a blog in a microniche proven to make money. I would not worry too much about being in love with the niche or a hobby, etc. I would go for money and get to my passion and hobbies later. I'd use Ryan Deiss's free Cherry Picker software and the adwords keyword tool to drill down and find great niches with low to medium competition and great traffic.

      Then, I'd do what you said: social networking to build a reputation, continue adding great content to the site, and i would also do article marketing with an article distribution provider like Submit Your Article.

      I'd totally avoid PPC like the plague. Totally.

      Instead, to round everything out, I would forum comment and blog comment to drive traffic back to me...and I'd make sure I actually had something of value to say. That's the biggest concern for a newbie...not driving traffic, but providing actual value to the audience who is reading your comments and articles. After all, they are new and have no clue where to really begin.

      First month's spend: $67 for Submit Your Article, $10 for a domain name, and $10 for hosting. $87 isn't bad to start, and you'll have over $400 and thus 4 months to perfect your craft if you work hard and smart.

      Knowing what I know now, that's what I would tell a complete newbie. I am curious to know why you would want to include PPC....not that I disagree. I am just curious. When I first started, I lost $1200 in 18 minutes. lol I break out in hives just thinking about it. smh


      Blessings,
      Christi J.

      These tiny and relatively inexpensive things would cost me
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  • Profile picture of the author bravo75
    Get Adsense 100K blueprint, RSSbot, Socialbot, Pressbot, MicroNicheFinder, a domain name and outsource some good content. Follow the blueprint and you should have your $500 back in a month or two.
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    • Profile picture of the author Bingo123
      Originally Posted by bravo75 View Post

      Get Adsense 100K blueprint, RSSbot, Socialbot, Pressbot, MicroNicheFinder, a domain name and outsource some good content. Follow the blueprint and you should have your $500 back in a month or two.
      Yes, definitely invest in some tools. A good keyword research tools is a must.
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      • Profile picture of the author dave braithwaite
        Originally Posted by Bingo123 View Post

        Yes, definitely invest in some tools. A good keyword research tools is a must.
        i agree with this, but use googles keyword tool its free to use

        some help for newbies
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        • Profile picture of the author Devid Farah
          If I had a $500 dollar budget starting out, first I would buy a domain name for about $20 but host it with a free provider such as Yola.

          I would then use the rest of the $480 to buy outsourced articles which I would use on the site and for article marketing.
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        • Profile picture of the author rmoore
          I'd find a unique "Hook" in a large niche. I always recommend sticking with the large in demand niches, so you can expand and grow your income into the 6-7 figure range. You can build a bunch of sites in smaller niches, but it is hard to gain leverage by starting over again and again.

          Then for the $500?

          [+] $10 for a Domain Name.
          [+] $10 per month for hosting.
          [+] FREE Install Wordpress
          [+] FREE Find 100 low comp terms with traffic using Google tool.
          [+] FREE Write 100 good articles. Submit 1/2 on your site and 1/2 on EZA.
          [+] $77 for The Best Spinner
          [+] FREE Spin about 1/2 of your articles.
          [+] $47 for 1WayLinks to Submit those spun articles for links to your blog and EZA.

          Repeat this process until you hit a consistent 500 unique visitors per day. Then...

          [+] FREE Write a 40-50 page report (with 2-3 strategic affiliate products mixed in)
          [+] $20 Signup for AWEBER
          [+] $30 Pay a graphic designer to create a compelling ebook cover.
          [+] FREE Camstudio for your screen capture pre-sell for your free ebook.
          [+] FREE Write a 60 day autoresponder sequence of 3-4 emails per week (mix in a few affiliate recommendations).
          [+] FREE Broadcast email every time you put up a new post on your blog.

          Work on getting your blog traffic up to 1,000 per day. Build your list up to 5,000-10,000. It doesn't matter how long it takes, keep at it.

          Once your list is at 5,000+ launch your own product in Clickbank.

          [+] $97 Optimizepress (to create a clean sales page)
          [+] $127 Easy Video Player 2 (a killer way to create videos for your OP sales page).
          [+] Free Write and then promote your new product to your list.
          [+] Followup with your buyers and then eventually recruit them to be affiliates as well.

          I coach people to focus on one stage at a time and it really helps.

          [+] Stage one: Do what it takes to get to 500 uniques per day.
          [+] Stage two: After you reach 500...build your list and then get to 5,000-10,000 opt-ins.
          [+] Stage three: At this point you are ready to be a CB vendor.

          You don't need all the tools from the beginning. Simply buy the tools that you will use in that stage.

          Hope this helps

          -Rusty
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  • Profile picture of the author bikaigroup
    If i was starting with a budget of $500, the first thing i would do is build a squeeze page to capture leads, then register with internet marketing forums and drive traffic to the squeeze page so that i could make offers to my leads.
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  • Profile picture of the author Ouroboros
    It not about how much you have to spend if you don't understand what to spend it on.

    And if you let anyone tell you any different, just paypal me the $500.

    I might actually teach you something, but you'd still be wasting your money.

    It's not about how much you have to spend until you have a thorough understanding of what you're spending it on.
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    • Originally Posted by Ouroboros View Post

      It not about how much you have to spend if you don't understand what to spend it on.

      And if you let anyone tell you any different, just paypal me the $500.

      I might actually teach you something, but you'd still be wasting your money.

      It's not about how much you have to spend until you have a thorough understanding of what you're spending it on.

      Again...you made me smile. Thank you.


      It's amazing how steep the learning curve is now. I am glad that I jumped on the IM bandwagon last year and not this year. Though it's still wide open for people willing to learn...it's not as easy to learn. What I read about QR codes and mobile marketing last night nearly made me want to cry.

      A huge challenge is knowing who to trust too...so many snakes out here.

      Blessings,
      Christi J.
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      • Profile picture of the author paulie888
        Originally Posted by Johnsonconsulting1 View Post

        Again...you made me smile. Thank you.


        It's amazing how steep the learning curve is now. I am glad that I jumped on the IM bandwagon last year and not this year. Though it's still wide open for people willing to learn...it's not as easy to learn. What I read about QR codes and mobile marketing last night nearly made me want to cry.

        A huge challenge is knowing who to trust too...so many snakes out here.

        Blessings,
        Christi J.
        Christi, if you're new to the IM game, don't be tempted to spend tons of money on the latest new system or method.

        Oftentimes the "old", simple and unglamorous methods are the most feasible ones to implement (though not necessarily the fastest or highest paying), but what counts is focusing on one thing at a time and getting good at it.

        If you're new, you shouldn't try to take on some new-fangled system just because it promises quick and huge returns - try something simple and proven first and make it work, then you can slowly and gradually progress to more complicated methods and systems that are more profitable after that.
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        • Profile picture of the author Ellen C Braun
          I would have to ask you: What kind of business model do you want to run?

          Do you not care at all what you do online, as long as you are making money?

          Do you want to build passive affiliate sites?

          Do you want to go the relationship marketing way, and build a fan base and attract visitors via viral marketing?

          Do you want to build an authority site and sell display advertising, have adsense, affiliate offers, and manage a newsletter all within that one site?

          What on earth do you want to DO??
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          • Profile picture of the author DCGwest
            I agree with Ellen, there are thousands things on internet marketing by which you could earn.
            If you are thinking to launch a website than probably affiliate marketing can be a good medium but again it depends on your need and your thought.
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        • Originally Posted by paulie888 View Post

          Christi, if you're new to the IM game, don't be tempted to spend tons of money on the latest new system or method.

          Oftentimes the "old", simple and unglamorous methods are the most feasible ones to implement (though not necessarily the fastest or highest paying), but what counts is focusing on one thing at a time and getting good at it.

          If you're new, you shouldn't try to take on some new-fangled system just because it promises quick and big returns - try something simple and proven first and make it work, then you can slowly and gradually progress to more complicated methods and systems that are more profitable after that.

          That's exactly what I do. I have bought some smaller products ($7-15) that are add-ons to what I have learned the past year, but no more of those huge ticket items like I did when I started. That was a miserable stage of growth that my husband is VERY happy I passed through without doing too much damage. lol

          Yeah, I but close to nothing now, and I am seeing good returns on my efforts. This year should be a pretty profitable year for us.

          Thanks for the kind words!


          Blessings,
          Christi J.
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          • Profile picture of the author paulie888
            Originally Posted by Johnsonconsulting1 View Post

            That's exactly what I do. I have bought some smaller products ($7-15) that are add-ons to what I have learned the past year, but no more of those huge ticket items like I did when I started. That was a miserable stage of growth that my husband is VERY happy I passed through without doing too much damage. lol

            Yeah, I but close to nothing now, and I am seeing good returns on my efforts. This year should be a pretty profitable year for us.

            Thanks for the kind words!


            Blessings,
            Christi J.
            You're welcome, Christi. I know that for newbies there is an almost overwhelming urge to buy the latest and greatest system out there which promises unbelievable results (don't be ashamed, I was like that too several years ago).

            Unfortunately, what this does is take away our focus, and we end up being distracted and torn in many different directions, and this ultimately results in unfocused action or even non-action!

            I'm glad to see that you're focusing on only one thing at a time now, as this is ultimately the key to being successful in IM.

            Paul
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  • Profile picture of the author Ernie Lo
    Yep I agree with the others.

    You have to first find a method that is working for you, THEN you can spend your $500 scaling it up, otherwise you'll just be wasting it.
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  • Profile picture of the author Biggy Fat
    Micro niche sites. Enough said.
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  • Profile picture of the author Success With Dany
    Banned
    - Micro Niche Finder

    - Daniel Tan's press release wso

    - Neil V's Amazon course

    - Elbow grease
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  • Profile picture of the author Billy Rey
    Research free information online on blogs (general)

    On google, click discussions (read forums for more specific stuff)

    Find respected people and ask some not 10, not 20 questions.

    Take out 10 bucks for a domain, then get another 100+ for a years worth of hosting. Then apply all you learned one step at a time.

    You will get info overload and you will procrastinate.

    Be sure to do something and not just "learning"....and everything will follow and fall into place.
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  • Profile picture of the author Andrea Wilson
    Find a high converting product and outsource everything needed to make the process automated. The $500 will go a long way in outsourcing, getting backlinks and stuffs along with getting a new domain and hosting.


    Andrea
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  • Profile picture of the author Gunedat
    Keep it in my pocket. Then I would sit down and figure out my business model. It will be based on proven models other marketers are using. Then, I would wisely use that money to turn that business plan into action.
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  • Profile picture of the author James_Harkin
    Thanks for all you interesting responses. Definitely food for thought.

    Another question for you, do you think it is possible to create a number of specific, effective, but different marketing campaigns that can be applied to different products and affiliate marketing campaigns?

    In your opinion, for different products/affiliate marketing campaigns, what would be the most effective campaign?

    Looking forward to your thoughts...

    Regards

    James
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  • Profile picture of the author Barry Unruh
    Originally Posted by James_Harkin View Post

    So I am doing a little survey to find out if you returned to being a bulk standard newbie beginner, just starting in Internet marketing with a budget of $500 to start a business and earn some money online. What would you do to get started?
    Set aside $100 for buying a domain name, getting an Aweber account, and hosting.

    Then do some research to find the 5 best IM'ers in my area. Contact them and invite them to go out to dinner with me and the other 4 guys to discuss IM and bounce around ideas over pizza and beer, of course with a $400 limit. Come armed with ideas, my brain, notes, and a mission to create at least 2 to 3 JV plans with the group.

    Now, I'd be ready to do some keyword research, choose the proper domain name, setup my hosting, get the Aweber account, and get rolling with my new buddies.

    How's that for an alternative view...???
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    • Originally Posted by Barry Unruh View Post

      Set aside $100 for buying a domain name, getting an Aweber account, and hosting.

      Then do some research to find the 5 best IM'ers in my area. Contact them and invite them to go out to dinner with me and the other 4 guys to discuss IM and bounce around ideas over pizza and beer, of course with a $400 limit. Come armed with ideas, my brain, notes, and a mission to create at least 2 to 3 JV plans with the group.

      Now, I'd be ready to do some keyword research, choose the proper domain name, setup my hosting, get the Aweber account, and get rolling with my new buddies.

      How's that for an alternative view...???

      I REALLY like this. I contacted 2 people and started following them last year. I wish we were local to each other so I could take them out for dinner/lunch, great conversation and a great evening/afternoon. That would be worth $400!!

      Fast forward to now, and one I would consider to be a budding friend and the other is very cordial and answers the few questions I may ask on occasion. I am also a customer of both and take a look at their stuff before anyone else's. This is a great path to take. I wonder how many new IMers will invest the energy to do this....

      Blessings,
      Christi
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  • Profile picture of the author GeorgR.
    What would i do?

    Trying to get away from the thought i need to spend first to make some money.

    What if i *had* to spend the money? I would outsource more and get some link building done.

    (In the years i am in IM spending money is ALWAYS optional..its way down on the priority list)
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  • Profile picture of the author Chris Sorrell
    I would probably avoid typical affiliate marketing altogether and go down the product creation route. Get some good PLR stuff or create your own and then start selling on forums, release some WSO's, then start uploading to clickbank and build up a nice buyer's list. It's simply the best, long term, profitable business model I can think of.
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  • Profile picture of the author Albert Pasillas
    I would invest in some hosting with hostgator, purchase Artisteer to design some cool looking and easy to use Wordpress templates, purchase Micro Niche Finder (no brainer), and spend the rest on getting some outsourced content.

    I would definitely start with a niche that I love, that would make it exciting to make money and keep motivated to keep going.

    Albert
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  • Profile picture of the author faceitfacts
    Also be prepared to make mistakes and changes to your plan because it never goes exactly how you want it to. Think of the many possible outcomes that could occur and have plans in place to deal with them. That will make the whole process go smoother if such things arise.
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  • Profile picture of the author Star Riley
    1. Keep your $500

    2. Offer to assist a person with a good name over-all, for FREE!

    3. Learn as you work helping them as if they are paying you a million dollars and not only will you build relationships with key people but if that "PERSON" has a heart and you produce results or just make things easier for them you will be rewarded.

    Before the Real Estate bubble burst I used that formula to go from taking public transportation to riding in a S-500 and other luxury cars as well as live in a $650,000 house in Plantation Florida.

    I had partnership in apartment buildings etc...

    Even on this amazing Forum you can find someone who if they are not yet "GURU" they are on the way. When I first got online I spent $10k here $2999 their and in many cases looked at it was amazed and then let it build up dust sometimes having drive beats having Cash.

    However if you really want to spend your money then join a mastermind group the best one on WF I think based on my research of character is Brad Gosse = http://www.warriorforum.com/warrior-...whip-good.html and no I do not personally know him.
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  • Profile picture of the author rockfuse
    with 500 dollars I would buy a website that is already developed and has some traffic ,pr traffic and some income and then develop the crap out of it . The hardest part is the first couple of years for a website to get noticed once it does you can really work a website . Create as much unique content as you can . Shoot I would even hire content writers to make as many articles as you could possibly afford then start priming those pages with as much backlinks and submissions as possible.
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  • Profile picture of the author chasnsx
    OP: I agree with those who tell you to assess your strengths and develop a plan that works with those strengths. One of my biggest strengths is in public speaking. So in the summer of 2009 when my day job got a little slow I decided to try a little IM as a sideline. I bought a $200 video camera, and started making videos on Youtube. I spent a little more on some domain names and web hosting. Things just kind of developed from there.

    The one piece of advice I can give you is, find something that works for you and stick with it.

    Regards, Chas
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  • Profile picture of the author tat1973
    $10 domain name
    $5 host
    $67 magic submitter
    save the rest
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  • Profile picture of the author mott
    A problem with a question like this is that it doesn't take into consideration the knowledge of the person, and what the person wants to do.

    Like it is easy to say to outsource this or that, but how do you know where to outsource, or what? It's easy to say "buy a domain" but how do you know what to buy...do you buy an aged name, is .info OK, are hyphens OK, etc. Or "buy a website", where to buy, what kind of site (autoblog, clickbank ready, etc).

    Also, there are several parts to IM that not everyone likes or dislikes. Now this person may love to write articles, and so maybe they should do that...or they may want to flip websites or domain names. Or perhaps SEO is their thing, helping others get their sites ranked...but again not everyone likes cold calling or selling.

    So as to the question, I would take $50 (or whatever it costs now) and get a membership in the War Room in here. I would then read through that forum, get the free stuff offered in there, and see what IM things I think I'd like. I would for sure ask questions to the other members who are offering the stuff, how much this and that costs, how do I learn more about it, etc.

    Once I get a feel for what I would like to try, then I would get my feet wet and try it. If it's website flipping, I'd make sure I learned enough about it to buy a small site, build it up and flip it. And if I failed, I'd learn from that and try again. Same with affiliate marketing or SEO assistance.

    Hopefully I wouldn't lose my $500, but at least I would learn alot and have some experience at the game. Hope I made sense.
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    • Profile picture of the author genietoast
      I'd go over to Ezine Articles and participate int heir new $397 Ezine Article Formula course and learn from them how to master article marketing. Articles are the core of all written content online.

      Might as well maximize the use.
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  • Profile picture of the author DesignerRamsey
    Let me think....
    for $500 investment - I'd...
    Buy domain name
    get web hosting
    and then I'd beef up my ability to have the best keyterms - I'd buy:
    MicroNicheFinder
    Traffic Travis
    WPSyndicator (for making backlinks)
    and then I'd purchase a good how to ebook like:
    $100K Adsense Blueprint
    Amazonian Profit Plan
    or
    Affiliate Blog Profit

    And I'd start to build and follow the advice and PROVE it.

    The rest of the investment- I'd be outsourcing the content writing.

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  • Profile picture of the author brandonline
    I agree with the others. It not about how much you have to spend, there is a lot of choice, i`m start with $100 and still can make money online
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  • Profile picture of the author TimCastleman
    If you have $500 then my advice would be this - get a job. If you have a job then get a part time job on top of your full time job.

    The reason?

    The biggest reason internet marketers and businesses in general fail is under capitalization (that means lack of money for fellow West Texas folks) and desperation.

    Ever really needed money? Like to eat or pay bills with? My guess is it was "hard" to get that money - why is that? Because money doesn't like desperation and when you're desperate for it it doesn't seem to come easily.

    The times I've made the most money in my life is when I "needed" it the least.

    So if you're desperate and on your last few bucks my advice is to get a real job and build up your bankroll.

    Tim
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  • Profile picture of the author Albert Pasillas
    There are ways of making money online and starting with a very small budget! You just have to be creative and go where the traffic is. Facebook is a free place to start. Fanpages are free, just go after the traffic and start making some money.

    Albert P.
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