The Online Directory Business

At first glance, owning an online directory business seems like a very good and profitable idea. When you look just a little deeper you’ll find that there are multiple revenue streams for online directories.

With an online directory business, your current and most experienced (and well known and respected) competition is the yellow page directory, white pages directory, business telephone directory, or any phone number directory. The businesses that use these methods do so because, forquite some time, they have been effective – at best. At worst, the businesses advertise in the paper book directories because their competition advertises in them.

Online business directories are new and exciting for those of us that understand the awesome power of the internet. However, many long time business owners don’t have the same confidence in the internet. Many don’t believe it will last. And still other business owners are too busy running their businesses to take the time to “learn the internet.” Many are convinced of the power of being online, but they don’t know how to “get there.”

That’s one good reason for the growth and potential of owning an online directory business. Online directory business owners can target business owners that want to give their business a “web presence.”

Business Owners Buy Benefits Not “Google Rankings!”

Understanding how important search engines are, when selling ads to businesses in their directory, the directory owners mistakenly attempt to sell “geek speak” (that’s my term for technical talk). The directory owners try to get offline business owners to “see it their way.” Successful online business directory owners know that they must translate the “google speak” into benefits that offline business owners understand – like customers finding them more often.

Currently, surveys and research demonstrate that 60% to 85% of shoppers first look online before they buy. As impressive as those numbers are, an offline business owner that isn’t online themselves simply has trouble ‘grasping’ how people ‘shop’ on the internet. Those numbers don’t have much meaning to them or their business.

Online business directory owners that cater their message to the benefits to the business owners that advertises in their online directory easily sell ads to offline businesses. Besides being very effective, online advertising is much less expensive than yellow page advertising and, when done correctly, is 10 times more effective. When you can demonstrate that to offline business owners, selling ads is no longer as difficult.

My Online Business Directory Story

I own and manage an online business directory that I started in March 2009. (Click on the logo on the right to visit my directory site.) Instead of using a standard website to build an online directory business, I decided to use a company that specifically host online directories. The bulk of my tasks during my first weeks were building up my directory and entering locality data (zip codes). The most challenging aspect is not the management of the site (the hosting company does an outstanding job), but the selling of the ads to business owners. That’s why I know that many business owners just don’t get it! So, what I must do is demonstrate to them the benefits of advertising in my directory. In the difficult economic times, “results” are the benefits that business owners want. They don’t want promises. When times were a little better, economically, business owners were willing to ‘invest’ in promised potential. Not now, however.

As an online directory business owner selling ads, I have to convince them that they will get results by advertising with me. My internet marketing skills are very basic compared to the internet ‘gurus.’ But, compared to most business owners, they see me as a “website magician!” I know basic search engine optimization stuff, email marketing basics, article marketing stuff and how to build web pages with a web page builder – very basic. Yet, as the owner of an online business directory, these are more than enough skills to successfully manage my directory.

The challenge of owning an online directory business is the selling of ads. The rewards are more than worth the efforts, though!

Online Directory Business Revenue

Featured Ads – These are higher priced ads that include “featured” status; their own web page in the directory; participation in a coupon marketing campaign; and top billing.
Banner Ads – The banner ads go for various prices based on their locations in the directory. They cost less than the featured ads.
Affiliate Programs – With an online business directory I’ve found that I can offer affiliate programs that I’m a part of – especially if they lend themselves to the theme of the directory. As I’m building the site and selling ads, I’m plugging in my affiliate banners and links. As the ads sell, I replace my affiliate banners and links with the sold ads.
Personal Offline Business – I’m also able to list my offline businesses in the directory.
Internet Marketing Skills To Business – I advertise my internet marketing skills as a consultant and include ads in the directory.

Online Business Directory Competition

The obvious competition to the online directory business are printed directories like the Yellow Pages and the White Pages printed directories. However, competition is keen among others starting online business directories. There are over 8 in the local area where I’m selling ads to my new directory. But, I’m convinced that my basic internet marketing skills will make me very competitive. Also, I am implementing a solid marketing plan for my online directory. For example, I promote the site with SEO, article marketing, a lot of video marketing and Web 2.0 strategies (all very basic). Also, the hosting company that I use provides support, forums, marketing materials, webinars, one-to-one coaching, etc. Actually, I can't recommend this hosting company high enough. They provide an awesome money making service and they provide excellent support. Click here now to find out more info........

Competitive Tip

As I sell ads to businesses, I offer them help with their ‘email marketing’ campaign. Most of them don’t know what that is, but they’re very excited to hear about the potential. I’ve been planning and implementing email marketing campaigns for small businesses for about one year. Although it might sound complex and hard to learn, email marketing is simple to learn. It is the most effective marketing method on the internet currently.

Email Marketing Help

Try this email marketing lesson from Aweber, the leading email services company in the world. Take a ‘test-drive’ and learn how simple it is – once you know how. Take this ‘test-drive’ and find out how simple and powerful it is.

Others basic internet marketing skills are just as easy to learn and I’m willing to share them with you. So, if you’re looking to start your own online directory business, I will share my experiences, lessons and resources with you – the field is wide open.

Affiliate Program Tips

Affiliate marketing is one of the most lucrative businesses online. But, like most things online, it’s hard getting through the hype. It’s hard to know what is real from what is pretty glitter (but no substance). First of all, you must know what affiliate marketing is, how it works, and whether it is for you or not. Then, you must look at resources that shows you where the resources are, who wants them, how to tell them that you have them and how to do so without the hyped up selling. There are very good resources available to learn solid, credible affiliate marketing basics.

More Online Directory Business Tips

Of course, I have more to share about my online directory experiences, successes and failures. If you want to find out more resources and ‘how-to’ inside tips for this business, leave your name and email address and I’ll include you in all of my tips and lessons-learned.

It is possible for you to start a directory on a basic website and build it up yourself. With all of the different hosting resources available, it is very doable. But, why? There are companies that make hosting the site very easy for their subscribers. If you’re intereseted in the company that I use, leave your name and email address and I will share that information with you and I’ll also send you some great information that will assist you be the “golden goose” for the offline businesses that are waiting for someone like you to offer them a place in your online business directory. They’ll be happy to be there. And, if you also offer a few basic internet marketing skills, they’ll be ecstatic. And, they’ll pay you enthusiastically! Most of the internet marketing resources that I will share with you won’t cost anything. And, you can actually get by without getting the resources that I offer for sale. It will just take a little longer to accomplish your goals. I’m more than willing to share my experiences and resources. Please feel free to visit my online directory business.

The online directory business has turned out to be much more lucrative than my initial research demonstrated to me. However, since actually starting my own online directory business I've also found that I am now meeting and networking with small business owners that can use, and are willing to pay for) my skills. For example, I am also a photographer. Having an online directory puts me in contact with business owners that need photography work for their advertising projects. Also, when I remind them that 60% to 85% of shoppers report that they first look online before they buy, many are willing to be a part of my directory. Advertising on a good online business directory is much cheaper that Yellow Pages advertising and five to twelve times more effective. Business owners like that!