Insider Secrets to a Making a Million Dollar Web Site!
A few days ago I released my first post on “How I Made $860,538.38 PROFIT in 4 Months!“, along with the picture of my $306,373.24 check. Due to the massive exposure and questions generated from the post, I thought I’d bring you the second installment to How I Made $860,538.38 PROFIT in 4 Months! This time we will go with a Q&A theme.
What is the web site you made all this money with?
The site I was able to have so much success with is MySpaceNow.com. There is no programming on the site at all, and it’s made up of over 10,000 pages of content, such as images, myspace layouts and social networking applications/flash. Yes… you can imagine how long that took to put together. However, when you are seeing results, you just want to keep making your project bigger and better!
What is the current status of your site?
My myspace resource site is still running and still turning a decent amount of profit each month. The traffic is lower than it used to be, but that’s expected. I was one of the first to get into the “myspace resources” niche, and now it is more saturated than ever.
What is/was your site traffic?
I first started the site from scratch and with no traffic. The first method of advertising, were a few text links on a couple of my other sites. Next was to get the word out on MySpace and other social networks. Once the users started to grab content and link back to my site, it was golden. The high point for site traffic was around 185,000 uniques per day. Currently the site receives around 15,000-20,000 uniques per day. Yes, this is quite a drop… but as mentioned above, I haven’t focused on this site in over a year now.
Having Multiple Dedicated Dell Servers to Manage Traffic was a Must.
When was the last time you updated the site?
I’ve been quite busy with many other projects, so realistically, I haven’t touched or updated the site in nearly a year. Meanwhile the site still receives several thousands of visits per day, while also earning several thousands a month. My only maintenance is monthly servers fees, which are much lower than they were back when I was working on the site full time.
How did you make so much profit over costs?
The myspace site I created was a huge viral success. Once a few sites picked it up, the traffic was tremendous, and search engines were sending me a ton of traffic as well. Since I did not have to worry about marketing costs, I could focus on providing content, managing ad space, and making sure the site was always accessible. The main costs in running a site like this (outside of the hundreds of hours of time spent), are server costs. Over $100,000 was spent on shared hosting, buying new Dell servers and hiring a server management team to make sure everything was always running.
What were your advertising and hosting costs?
As mentioned, the site was pretty much all viral. After running the site for several months with no advertising costs, I decided to give Google Adwords a shot. I was able to target towards some pretty cheap traffic, since my Quality Score was super high, and this was a niche market that wasn’t oversaturated (yet) and click prices weren’t insanely high. Marketing through Google Adwords brought in over an additional MILLION clicks. Even after $27,721.89 in adwords cost, the site still had no problems clearing seven-figures. Hosting costs ranged per month from $300 (when first starting out), to up to $10,000 a month, before buying my own Dell servers and hosting myself.
I was able to generate over 1 MILLION clicks using Google Adwords!
What other ad networks did you use on the site?
In my last post, I focused on some of the big earners from the site, which were Yahoo Publisher Network, NeverBlueAds, CasaleMedia and ValueClick Media. Other earners on the site were InterClick (which is another cpm banner network), Miva (which provides screensaver/wallpaper downloads), Google Adsense (generated nearly six-figures in revenue), AuctionAds (I posted multiple times on my earnings with them), WidgetBucks (another new program, which I also posted earnings on)… along with a few other networks. All of these advertisers combined generated over seven-figures in revenue for the site… which clearly covered the hosting costs, making this a seven figure profitable site.
You made a lot with Yahoo, but what about Google Adsense?
Originally I had no expectations for the success of this site. I was providing a service and it exploded quickly. Once the traffic was flowing through the site, it was time to test different ad placements and to see what worked. Luckily, the Yahoo Publisher Program had come out (and accepted my site), just a few weeks after my site went live. I was originally running Google Adsense, then started running Yahoo Publisher Network instead. After comparing numbers, Yahoo was providing much better numbers. I would continually rotate advertisers on the site and see which performed best. While Yahoo earned nearly seven figures alone on the site, Google Adsense accounted for nearly six-figures in revenue as well.
Google Adsense in itself generated almost $100,000 in Extra Revenue.
Would you have sold your site if you had the chance?
The opportunity to sell this cash cow of a web site did come into play around the 7th or 8th month of it’s existence. I wrote a post about this a while ago, which was called “To Sell or Not to Sell“. While I was offered nearly a seven figure package deal for the site (more/less depending on performance), I’m still glad I never accepted their offer. The parent company that was interested, was purchasing up a bunch of Social Networking Resource & Entertainment sites… which they then all turned into crap sites. I also heard that this company screwed many of their “partners” on payments owed from their buyouts.
Why did you wait until now to post your check?
I’ve never been one to look for attention, or brag. The intention of posting my check was not to impress anyone, but to stress to everyone the possibilities before you. Yes, the check was received back in 2006. However, keep in mind… this blog is still less than a year old. I have literally spent the last year debating on whether or not I wanted to be put in the spotlight, if I was to post this check. But I decided to take the risk… my intention is the same as always, I want you to succeed, make money online and live the dream that us affiliates and ppc marketers are living.
Why didn’t you post your resource site in your original post?
The main reason why I didn’t like my resource site in my original post is because this is a blog, and it’s purpose is to keep people coming back and giving them more. A lot of people were leaving comments, asking what my site was. You were not being ignored… you were part of the process. Not only have I released my site information, but also how I promoted the site, my advertisers and actual earnings numbers.
Is this your only big and successful web site?
I’ve been making money online for over 11 years now, since I was 15… and have never had any other job. A one-hit-wonder I am not. Over the years I have adjusted to every market change there has been. I’ve done freebie sites, permission based email marketing, ran my own ad network along with my own network of entertainment sites. Was this site one of my biggest and fastest money makers? Yes! I saw an opportunity here and made the most of it. I am now focusing on several other different niche areas and projects.
Aren’t you worried people will copy your site idea now?
They say being copied is one of the highest forms of flattery… well, when you own a web site, and you’ve been copied… IT SUCKS… but, I’ve been copied plenty of times before. There is still plenty of money to be made in this market, but it’s also plenty saturated! You want to make a resource type site? I say “Go for it!”.
As mentioned before, I’ve been making money online for over a decade now, (since I was 15!) and have some close friends that advise me on what I should post and what I should not post on my blog. There are risks associated with everything. Some have warned me about giving away too much information. However, if I didn’t meet up with these people in the past, that took their time to help me along the way, I wouldn’t be where I am today… I only wish to do the same for you and all of my blog readers. Yes, it may be risky providing the amount of information that I do, taking risks and trying different things is how I got to where I am today. I’m willing to take that risk to benefit my blog readers.
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Very nice -> zacspace.com
Is that the original home of your caricature/logo?
Just having a little fun… The toon logo was originally created for this blog though.
Your story is amazing Zac, and very motivating.
I am a bit surprised that MySpace didn’t complain about trademark or copyright infringement with the name of your site. Perhaps they saw you as building on their efforts, not competing. Curious what your thought are on that…I’ve always heard to avoid this scenario, but it sure worked for you.
Congratulations!
Good post. Answers a lot of questions people had. If you wouldn’t have told the site, like you said no one would have figured it out since it’s so saturated right now.
It is extremely surprising that you were not cut off by Yahoo like umpteen other resource sites. One other reason for your drop in uniques is also the added competition.
I also had a very high United States traffic rate… around 90-95%. I know a lot of people were kicked out because of their foreign traffic. I was also in touch with my manager often, to make everything was always in compliance.
Nice Zac, I enjoyed this post.
Good read, we have a lot in common, I run MSS.
You say there is no programming involved but the site has flash “create an image” scritps on it. One of the sites I own is an online label maker site and I have been looking to upgrade it for some time, I wrote the current label generator script but It doesn’t use flash…
If you could send me a shout out via email on who I can contact to pick up a version similar to the one your using I’d much appreciate it. If not thats ok too, great job btw! Impressive sites.
Any flash applications on the site were purchased from designers, specifically for myspace resource sites. I don’t have their contact information any more, and didn’t request these to be programmed/made… they were simply offered, so I picked them up.
Excellent post here Zac. I commend you for revealing the site and answering these questions on your blog. I don’t know of any “guru” marketers who would have done this without charging for access to the info…my hat’s off to you man.
This was one of the most entertaining blog posts I’ve ever read… and I mean “entertaining” in a good way. I rarely read a full entry on ANY blog, but I did on this one. Great post, Zac, and it’s great to see GOOD, solid, INFORMATIVE posts like these from you.
Congratulations on the success. I’m impressed with your results and I would have never guessed that you’ve been online for that long. That’s quite a record!
Clint
Very informative post. From a tech side, what sort of load balancers were you using? Was it really all static content? That would mean you had to manually edit (or edit via some script) each of your 10K files when you added/changed a new monetization scheme. You sure you didn’t use some sort of template inheritance?
Just curious how you scaled out a project like this with all static content. Sort of a strange setup. Congrats on the success!
I’m not sure on the load balancers. They were ordered quite a while ago and managed by my server team.
As for maintence of the site. The only thing besides straight html was a few .txt codes I had on the pages. This was setup only to manage certain ad areas, like the side menu areas. I also used a mass “find and replace” program to edit all pages, which wasn’t often. Uploading 10,000+ files took forever!
Zac….this is a top notch follow up post. You must have had a ton of email questions and you did the stand up thing by adding this post. This is amazing how you can work your azz off and then produce a residual income for a period of time. This site is becoming my favorite more and more with the type of information that you provide here.
Yup, it’s official now.
Zac Johnson is better then John Chow
Lol - Drew, John Chow has never disclosed what his niche businesses (The TTZ Network) makes him, so we have no idea
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That’s a bit better Zac. But I would rather a post that talked about how you thought of the idea to do this where most people ignored the myspace resource site -this is what makes you a genius and the kind of posts I would like to read.
For the most part, we all should have an idea of the “maintenance” required to run a big site, get servers, update, advertise, etc. Maybe, I’ve out grown your “teach the newbies approach”, but I think it would be better if you started catering more to a little higher level. You know the people you’ve actually helped, like myself, get started on the road to riches.
But I digress. I’m speaking for purely selfish reasons anyway.
I’m probably not finished posting on this topic. As for the and the concept of how I come up with ideas for my sites, that may very well be a future post of it’s own.
Congratulations on the check. Your site is great
Great post and thanks for sharing all the helpful info.
~Katie
Great post. Thanks a lot Zac. One of my favourite site to visit everyday.
You obviously love what you do that’s why you are very successfull. Thank you for sharing your knowledge Master Zach.
interesting reading buddy, read it twice!
where you get content for your site?
can ref me?
That’s a very good question… where did you get content? You bought it ready? Or hired some creative people? Or just “borrow” it?
Pleas answer.
Thanks in advance &
Best Regards
Did you design your sites or did you hire programmers?
There is no programming on the site. The only thing outsourced was the actual site design/layout. I did everything else.
Zac,
Do you think this is the best way to go? and what does it normally cost to outsource a design/layout?
I tend to stay away from programmers on some projects, just because I can get a method that takes longer, finished before them. I would work on the sites constantly and stay up all night. I hate relying on other people to get work done… which usually takes longer or is done the wrong way. Depending on the project this can change.
If I had to do it again… I would try and set something up to make it easier to add content and have more of a community around the site.
Can I ask how were you able to build 10,000 pages of content? did you hire people or what?, I have a 100 page site and it took two months to build.
I did them myself. Used a find and replace program for some area… spent hundreds of hours making them too.
Why din’t you provide backlink to MySpaceNow.com ??
No reason, the green makes it stand out more. In the next line, “myspace layouts” links to the site anyway.
Zac Johnson is a man for all seasons.
Great work, I like how transparent you are. You are one of a few blogs who actually wants to help and makes sense of things, others really dont.
You had me awake all darn night, all i could think about was why I have not been more active, I just realized that I should stop thinking about it and just do it.
You are a good guy, it will take you really far my friend.
Sammie, I too have been pondering the same thing…. what can I build/make?
Just doing it is is the key though.
Mate I think your doing a great job. Flaunting your wealth is never appreciated, but this is just proving your super affiliate status. It increases the value of your blog.
Zac - Thanks so much for the transparency. You, John and Shoe are really amazing for giving us all starting out a glimpse of what is possible!
Thanks again!
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Zac - great stuff really! I am still hoping for that idea to hit me over the head… I think I may have had it today - so I will let you know in 4 months if it works out *grins* Really appreciate your insight!
I really wish that I had a $10,000/mo server bill too
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It’s pretty amazing that you’ve been making money for 11 years now onlne. I was trying to convince my wife about that time that we should get a dial up connection and get online period, much less be making money. At least we are doing that now. Very inspirational!
this is really really cool post zac, keep up the good work man!
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I found this very informative, in fact I will probably give it a go for myself =)
Damn! I wish I had one of those! Zac is the man!!!
Well done. Perhaps you could pay for gym membership now?
Harsh, but fair. If someone wants to be judged by the size of their wallet, let them also be judged by the size of their waist.
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Very motivating! I wish I understood technology better. I alwasy like it when an individual is able to turn a great profit instead of a large corporation!
That check is more than double the amount of Shoemoney’s famous AdSense check - very nice. Thanks Zac for posting this series of posts, it’s always nice to see what is possible. When I read through the kinds of stuff that you had to do such as ordering in over a dozen dedicated servers that kind of scares me a little but I remember that you’ve been in this game for 11 years so I doubt you were doing that kind of thng back then. Very inspirational
Wow–Great sucess story. I hope one day my site can earn me even 1/10 of what your site is doing now. Congrats
Wow - isn’t it amazing how some people will just never get it?
Referring to Joe and Kelly D’s comment above. I find their comments were simply rude, uncouth and uncalled for … very sad people like this feel the need to say anything at all.