Perrin and I were able to sit down yesterday and record episode 37 of the Niche Pursuits Podcast. In the podcast, Perrin and I review the income report from last month, discuss the business potential of buying and selling websites, and then go into more depth in our new authority site project.
While we do cover similar topics to my last blog post, we also have a chance to dive quite a bit deeper and throw in a few other interesting topics as well. Overall, if want our most up to date thoughts on buying and selling websites, building out niche sites, building large authority sites, and more, then I hope you'll give it a listen.
Here is what we cover in the podcast:
- Review the income and traffic for the Adsense niche site that I purchased.
- Review the income and traffic for the Pinterest site that I purchased.
- The business model of buying sites and keeping the cashflow; or selling for a profit.
- We compare the cost of building a site from scratch vs. buying a site making $1,000 per month.
- I want to buy more websites! If you have a website that is making $1,000 or more, please contact me.
- We go into great details about our new authority site project. Why are we doing it and how are we doing it?
- We mention the interview I did with Hayden Miyamoto last week.
- Similarities and differences of Small niche sites vs. large authority sites.
- Keyword research and content strategies for our new authority site
- Link building strategies for authority sites
- I just finished reading a great book: Quiet: The Power of Introverts in a World That Can't Stop Talking
- Perrin is currently reading an enjoyable book: Early Retirement Extreme: A Philosophical and Practical Guide to Financial Independence. A website with similar philosophies as that book is: MrMoneyMustache.com
More Detailed Notes of What is Covered
As mentioned briefly in my last post, I bought a site a little over a month ago, and it earned $2300 during June (the first full month I owned it). I bought it for a great price at a great multiple and am enjoying the cash flow right now.
This is a similar model to buying and renting out homes in a way. Perrin and I discuss how buying and holding these sites for the cash flow really can be a great way to go. The percentage of income you gain for the purchase price of sites is significantly greater than the income you get from buying and renting out homes.
Obviously the risk is greater with website because of how variable the traffic and earnings can be. And a website's value can go to zero overnight (worst case scenario), while a home will always have some value because its real property. However, just like real estate; a lot of the money can be made when you purchase. So, look to buy sites at lower multiples, especially if you are looking to flip it quickly.
If you are looking to hold onto a site for its cashflow, and are just looking to build cashflow; then perhaps the multiple you purchase at is not as critical (although you always want a great deal).
In the second half of the podcast, Perrin and I dive into more details about our new plans for a large authority site.
A big reason why we have decided to start building out a larger site is a resource and money decision. Perrin is extremely busy working on a dozen or so niche sites. He can only spend a little bit of time on each site, and we can only invest so much money of our monthly pie on each of those sites. As a result, none of those sites are going to become huge properties relatively quickly.
In addition, Google has changed the game a bit. As mentioned earlier this week, with all the updates that Google has made its more difficult to get a small website ranking…quickly.
So, we are taking the same long tail keyword strategies, and simply targeting thousands of long tail keywords on one website in one market. So, the keyword strategy is still the same. We are looking for low competition keywords in our particular niche (which is very broad), and will be writing original articles on all of these topics.
We dive into some of the similarities and differences of small niche sites vs. our new authority site plan.
Overall, I hope you enjoy the discussion that Perrin and I have surrounding the topics of buying and selling websites and the strategy for our new authority site project. Be sure to stay tuned, as we will be covering our new site more and more as we build it out and start getting results.
If you enjoy the podcast, please stop by iTunes here and leave a rating or review.