Tuesday, September 05, 2006

Prosper with Virtual Real Estate and Digital Assets – Part 3.

Prosper with Virtual Real Estate and Digital Assets – Part 3.

By Kamau Austin, Stay-at-Home Dad and Searchpreneur©

In the first two articles in this series I explored the rise of the virtual real estate (VRE) industry. I also wrote about how promising this industry is and the major players like Google and the Yahoo Publisher’s Network (YPN). Then I showed that Google is trying to stem the tide of Adsense™ focused sites because it feels too many are hurting the integrity of its search engine result page (SERP) results. The resistance to Adsense™ focused sites by Google will make it difficult for most people to make a windfall of cash with the program despite the assertions of some Internet gurus.

Therefore I ask the question if the road to riches with VRE sites something that most website owners should pursue? I feel you shouldn’t quit your day job just yet. In a poll that Adsense Expert Joel Comm conducted the overwhelming majority of his subscribers were making less than $500 a month in Adsense™ Revenue. However, you shouldn’t give up the hope of VRE and other digital assets making you a full time living online.

If you look at the VRE strategy as a long term business investment, and perhaps just one part of your overall plan to develop digital assets it could be quite worthwhile. Consider the fact that in many parts of the country traditional landlords charge rents for apartments at $600 a month. Imagine if you had 2 or 3 Adsense™ sites generating just $500 or $600 a month in revenue. You would have a virtual real estate business that rivals many traditional Landlords who hold real estate valued at hundreds of thousands of dollars. Plus you would be more profitable because you wouldn’t have the problems with tenants and the constant up keep of homes. You wouldn’t have to put up $10,000 or $20,000 dollars in a down payment to own virtual real estate.

Let’s recall our definition of a digital asset from part 2 of this article. A digital asset is something that works for you to make you money without you having to constantly be there physically. Like a good stock and bond portfolio or traditional investment real estate. These investments work hard to make you money.

Well isn’t an Adsense™ site making you $500 or $600 dollars a month on autopilot a digital asset in the truest sense of the term? Isn’t it ironic that two or three good Adsense™ websites could be actually more of an asset than your home? For instance Robert Kiyosaki points out that many homeowners mistakenly consider their home an asset. He feels if you are paying a mortgage into your home without making any money from it your home it is actually an asset for the bank -- and not for you.

Even if your equity increases the value of the property he doesn’t really see it as being an asset in the truest sense of the term. Unless you actually collect rents enough to make a profit on your mortgage, or you can flip the property for a nice profit Kiyosaki dismisses your house as a true asset. He seems to think primary of a positive cash flow investment property as a true real estate asset. Along this same thinking an Adsense™ monetized site can bring you passive income without you having to always work on it.

Your biggest problem is overcoming the love and hate relationship that Google has with Adsense™ sites. This is not an easy task given Google’s large budget to protect what it sees as the integrity of its search results. It is no secret that doing SEO on Google is more challenging than it is on the other search engines. However here are some tips on getting Google to give your site a high ranking and send you traffic. These aren’t “black hat” or quick tricks on getting traffic from Google. These are strategies for the long term building of your virtual real estate towards acquiring assets of a true business.

Tips on Getting Traffic from Google and other Search Engines

* Find out what information people are searching for on Wordtracker.com or similar service.

* Build websites or blogs with keywords with a high KEI and high PPC value

* Research unique content whether you have to write it or outsource writing to others

* Develop search engine friendly websites or blogs with high KEI and PPC value

* Get plenty of one-way links from traditional and especially blog directories

Remember the best way to get traffic from the search engines is to give them what they want. That is content that their users are looking for especially if a lot of sites are not yet providing that information. Do deficient marketing. Research with WordTracker.com search terms that people are looking for in considerable numbers but there are not large numbers of sites providing this information (KEI).

Check the bid tool at Yahoo Search Marketing for a couple of weeks to determine high paying keywords. Then over time provide the best content possible to satisfy both the search engines and site users. This is the best long term business strategy. Remember good content can be great articles, web applications to help site visitors accomplish a task, or even screen capture videos to teach them something. Make it in the search engines best interest to rank you high and send you traffic. Then you really will have a future in the lucrative virtual real estate industry for years to come.

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