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Immediately Take Ownership of A Million Dollar Inventory to Guarantee your online Business Success

Simple Proven Recession-Proof  online Business

... If You Can Point and Click

Then You Will Profit From The Home Income Portal

Let me ask you this ?  If you had a Retail Store with 190 Retail Store Branch Locations Worldwide, selling to more than a Million Dollars in inventory in every one of your 109 Branch Locations Worldwide to Millions of Customers !!

Will You have a Successful Financial Business on the Internet ?

 The Home Income Portal is the Ultimate Business Building Blueprint that will be Responsible for Generating Millions of Dollars In Revenue for you over The Next Year!

Buckle your seatbelt...

because you are about to take the ride of your life, and discover the most complete, most comprehensive, easy to operate online business ever devised!

The Home Income Portal blueprint is a "success plan" formulated by a mastermind group of top marketing experts.

It is the foundation upon which multi-million dollar direct response companies are built. STOP everything you are doing right now! If you are confused about what it really takes to experience success online, it is the absolute fastest way to build a *real* internet business.

A business that can quickly generate revenue, but also continue to grow and prosper month after month, year after year.

Will you enjoy Financial Business Success ?

The Great Recession is over by most accounts, but the Great Income Squeeze lingers on. This state of affair is torturing both the poor and wealthy alike.

It is Fate pointing the World Towards a New Direction in Earning Income. The only online Business that puts you on the internet immediately with your own business to generate a real income that will only continue to grow. The only online business that includes one of the most  Advanced Marketing Support Infrastructure online today.

A Team assigned to build 106 Retail Branches Around The World online on 106 established and indexed Domains (see below) with Unique Niche Content to Dramatically Generate Income that is paid directly to your account.

The Millionaire Maker Strategy

The Home Income Portal Is The Result of The Collaboration of 13 Top Experts With A Combined 62 Years of  - In The Trenches - Internet Marketing Experience.

Bottom Line: You Will NOT Find A More Complete, Comprehensive, online business anywhere!

Only one burning question remains...

Will you tap into their mastermind plan and take full advantage of the Home Income Portal that can bring you fast online profits

 

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This Is Not Just About Making Quick Profits ... It's About Building A Real Internet Business

The Home Income Portal is the final result of business evolution to provide a blueprint with the potential to create income for you month, after month.

Every Owner Instantly own a Million Dollar Inventory of ebooks, scripts, software, video and Audio Products

for their own use and Sell online.

An Ever Increasing Selection Of Audio, Video Tools, AND Tutorials To immediately build your profits online ....

Like Selling Digital Products Daily to Millions here .

Full Digital Product Inventory and Secret Affiliate Strategies for Daily Sales in the Owners Lounge.

Tradebit.com

Earn Full Profit from your private Digital Product Sales and up to 75% Affiliate Commissions on every Referred Sale.

Inside The Home Income Portal Owners Lounge, you have more than A Million Dollars in Digital Product Inventory, it cost you zero dollars- yet produce Millions in sales for you, simply by using the Super Affiliate Sales Strategy inside.

Then You Have What It Takes To Profit From The Home Income Portal

A Million Dollar Inventory to Generate a Million Dollar online Business For You

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There's no time like right now to get started! It won't cost you a penny to start driving Income to your Bank Account.

If you've tried and tried again to Break Through in Affiliate Income Generation, and have a hard time doing so - that's all about to change.The Home Income Portal will change your Life.

The Traffic Train travels through 130 Million Websites Worldwide, with 100 million or more passengers daily - uniting Communities everywhere delivering Traffic at every Stop.

Viral Traffic Dominator Activated

 

 

Starting an online business can be confusing to many,  perhaps even TO YOU !!

 

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Leverage The Power of The Internet  with your online Business Ownership

home income portal

Explode Your Passive Income while you Dominate the Internet with this Revolutionary New Passive Income Building Website

It Is Already
Making Thousands a Day in Profits For People Just Like You

The Home Income Portal Pumps Out Sales   for you twenty four hours a day, seven days a week.

The Home Income Portal ..

DON'T Require Huge Amounts Of Capital To Get Started... only a small Hosting subscription is required

Produce Super Fast Profits...  online   Step-By-Step Customizing your Affiliate Codes in the Owners Lounge that takes A Couple Of Hours And Generates Steady Profit.

Doesn't Take Any Special Technical Knowledge Or Even Hard Work To Earn Thousands Of Dollars Per Month... You Don't Even Need To Know How To Set Up A Website!

Will Work For YOU... The Home Income Portal is So Easy Yet Effective It Doesn't Matter What Age, Sex, Education Or Background You Have

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There are tons of so called Gurus out there in Cyberspace selling 'How to" ebooks on the subject of 'Starting your online business', most of which (in reality), is either just repeated info from someone else or proven to be ineffective.

The Home Income Portal online Business puts you in your own online business immediately, and get you earning with your own products and services instantly.  The Home Income Portal is the Only Formula That Will Build You A Long Term Online Business starting Right Now !!

At the heart of your powerful web site will be the best-selling searchable web mall available anywhere. This mall is stocked full of the web's hottest selling products and services.

There is nothing for you to stock, nothing for you to ship, and no payments to process! All of these details are handled for you by The internet retailer.

Each Franchise Owner have their own unique identity that is automatically tied to each and every single one of the products and services.

Your Retail profit (up to 75% on each and every sale paid directly to you) of these thousands of products and services from your 106 Income Portals!(see below for these portals) That's right, I said that you can profit up to 75% on each and every sale!

 

Heck !!,

I do not want to wait, I want my own Worldwide online Business. Subscribe me now ..

The Internet offers You the Quickest, Simplest & Downright Laziest Ways to earn a Passive Income from Home.

Let Me Show You How It is Possible For Anyone Regardless Of Their Skill Or Experience To Claim their Piece Of This Multi-Billion Dollar Phenomena"

No Experience Needed,You Can Do This Even If You Are A Newbie!   Super Secret Affiliate Strategies Employed by The Home Income Portal Team will Have you Building Cash Every Single Day, with your Home Income Portal.

(* you pay a small monthly hosting fee)

We Do This For You

Traffic is Flowing through to all Home Income Portals from  Guaranteed Traffic Contracted from

MONSTER TRAFFIC click here

 

 No Products Needed - We' Build and Install For You 106 Passive  Income Websites Stuffed with Thousands of Products and Services-some you own outright.

You are Paid Directly by all your Customers and by Your Affiliate Programs. No one on the internet is doing this, you earn as much as you like, there are no limits.

No Website Needed! (only The Home Income Portal will do this for you) - 106 Passive Income Website are installed with your unique identifier on 106 Domains to start you earning directly in your Worldwide online Business.  

We took the Home Income Portal and fused it with the best-known affiliate income programs to give you total control over all of the affiliate programs that YOU choose, like clickbank, Amazon, Webdawg, and much, much, more ...

Building a reliable, predictable income from the internet requires that you not put all your eggs in one basket so to speak. We have selected the most dependable and respected affiliate programs and integrated them right into each and every Portal.

You select the ones you want to use to build your income and with a few clicks of the mouse Voila! the products and services appear right on your Portal- as simple as that!

Most Newbies started their online business just like this. They build their income starting with just one check or Paypal Payment - and build their business to receive OVER 120 checks each and every month! That's like 4 payday every single day of the month!  Every Successful Newbie LOVE doing business on the internet!

 

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You can do it too!

The Hottest Selling Products!

 

Banner Fiesta

Banner Fiesta is your Full Time Banner Rotation Service that delivers over 14 Million Impressions from our Network of 300 Million Website Pages to your Customers.

Your Customers Pay You Directly 14.00 USD every month to subscribe for this Service.

Click Here to Subscribe For Banner Fiesta From   Me, Get Your Website Visible on 4 Million Websites

Start Promoting TODAY for Unlimited growth and Unlimited Earnings.!

Free Set-Up!:  Your Professional Team Will Set Up your online Business For You Absolutely Free. Start achieving unlimited income immediately

Crush Your Competition INSTANTLY and Make A Killing Online.

Not only does it work for me, it can work for anyone. I mean that. This will work for absolutely anyone, because you are earning your income from home through The Most Successful Internet Companies Today, and they pay you DIRECTLY.

Yep, that is right - You are paid directly, therefore its all yours - Every one of the 106 Website earn you passive income directly.

Therefore, lets get real. Most newbies - Heck !!, 99% of all New Entrepreneurs online will fail in the business adventures because of these reasons ...

OK, Sounds Great......So How Does It Work?

Dominate Any Niche And Drive Hordes Of  Traffic, With Wallets In Hand, To Your Very Own online Business That Is Ready To Start Pumping Out Sales For You Today

The Home Income Portal is a fully featured online business that consists of a totally installed marketing infrastructure that sprawls Worldwide on 106 Passive Income Building Websites, each on seperate domains, designed with newbies in mind for ease of use, but powerful enough that even the most seasoned webmasters are building their business with The Home Income Portal !!

Simply put, pretty much anyone can use and earn unlimited Income From Home with a Home Income Portal

 

 

 

The Home Income Portal ..

    Each Home Income Portal site is custom built around unique 106 Domain Names. We install your complete Passive Income Websites.

    No Webmastering skills or experience needed!  Your Home Income Portal is automatically updated and maintained by our professional staff.

    No Products Needed! Each Home Income Portal automatically places the hottest selling products instantly in each page of your Home Income Portal.

    Your Home Income Portal automatically displays thousands of ClickBank products with your ClickBank nickname built right in!. Each product pays you up to 75% commission.

    More Flexibility & Control? That means that no two Home Income Portal sites will ever be the same, you offer your customers unique content and products. It is simply the most powerful and dynamic way to build your Passive  income from Home.

Honestly, if you can't make money with The Home Income Portal, you are either in the wrong business or you are dead. Nobody & I mean NOBODY offers you what Home Income Portal does.

 

Heck !!,

I do not want to wait, I want my own Worldwide online Business. Subscribe me now ..

We Do This For You

Traffic is Flowing through to All Home Income Portals from  Guaranteed Traffic Contracted

from

Revisitors

click here

Check out some of  Features  ...

 

The Home Income Portal Has It All

    Plug-n-Play' Live online Business Generating Sales & Income all Year Round in Real Time

    This is your online Business. no hype, Your customers pay you Directly. This is not an affiliate program, its your business.

    Your Customer Pay You  100% (percent) of the Full Retail Subscription Price Directly for all your Products and Services like Traffic Magnet and Banner Fiesta.

    Immediate Products and Services provided, No need to develop and build a product or service by yourself for sale. (see products and services below)

    Traffic Stream Installations. We continue to Install Each Traffic Streams directly to your Portals. It is very Time Consuming, since each is done manually for you.

    Advanced Auto Bot Technology  State of the Art Technology automates the entire process in building and generating sales for you.

    Your followers are on self growth. This means you will have hundreds of  thousand followers coming to all your Portals. This, will create 2 Events,

  • Grow your Backlinks Automatically
  • Direct Traffic To Your Portals

    Your Customers Start Buying From You.

    No Hidden Costs, Simply a Hosting Subscription

    All of the above features, to get your Income Recovery Program started right away with your online business.

    Complete All Year Round online Business Hosting. You do not need to worry about Hosting Accounts,FTP, uploading or Bandwidth. We Host your entire online Business Live, all year round.

    Your Team Install and Host your (completely designed and ready to do business on the internet ) online Business Website

    Your online Franchise Business is Live doing business on our network of servers .

    Handle all Maintenance and Support entirely on a Subscription Basis

    Nothing on the Internet compares to it, you get it all with the Home Income Portal Franchise Website. Unlimited Bandwidth, No Fuss,No Worry Hosting Solutions for your online Business, products and services, affiliate income and Multiple Streams of Income.

    All your Customers receive Full Customer Support from a Central Support Department. You invest more of your time building your online business.

    Full Professional Web Design and Update. A Design Team creates Professional Web Design and updates it seamlessly for you. No need to create Websites or anything. Expert Web Designers do it all for you.

    Search Engine Sitemaps Created. You need your online business to get Organic Traffic from Search Engines across the Internet. We create the Sitemaps and Submit them to Search Engines across the Internet for you.

    Back Links to all your Portals. Your team manually build 'back links' for each of your Portals to get it visible on the Internet.

    Page Rank Rules, and building back links is the most powerful way to achieve this.

    Integrated Traffic Streams Constructed Directly to Your Portals. We've ensured that all search engine optimisation techniques including naming of images, alt and H1 tags and inner linking has been coded into your Home Income Portals across the Internet Worldwide.

    This will help your sites rank higher in the search engines.

    Live Real Time Update - One Stop Update. Complete your Owner Profile in the Owners Lounge and your Retail online Business is instantly updated Live in Real Time.

 

 

Click on CCBill Button to Subscribe

Your Products & Services

The Hottest Selling Products!

Click here for products and Services. You are paid directly for every sale. It is Your online business that we install and host for you. There are subscription services that build your recurring income. Traffic Magnet and  Banner Fiesta.

Clickbank Videos

Click here for the Clickbank Videos installed for your online Business. Clickbank pays you directly for every sale. Professional Video Infomercials (See below in Module sells your clickbank products 24/7 on all 140 Home Income Portals.

This is your ultimate  Affiliate Master Money Maker. We simply install the fastest selling Clickbank Products in its own Informercials for you.

click play to see what its all about

Click Bank Products

Click here for the Multi Income streams installed for your online business.

Clickbank Products is at the forefront in creating daily success stories for the Home Entrpreneur.

All Products sold, pay to you the Full Commissions Directly by clickbank. All it takes is this - Enter your clickbank nickname in your Profile, and clickbank pays you directly for every one of their 170,000 electronic products sold.

The Clickbank Mall is a fully hosted resource that sells your 170,000 clickbank products fulltime, all year round to drive profits directly to your home.Companies pay you directly,  We simply install them for you.

Multi Income Streams


You Control How Much Money You Make!

Click Here For Multi Income Streams that are completely Installed For Your online Business

And the best part is, you can visually see exactly how much money you're making simply by logging into your account and looking at your daily sales!.

I love clicking on my earnings more than anything in the world and, I check it all throughout the day! It's really motivating to instantly see the money you're making.

You don't have to wait and see your pay...

you can see it verified anytime you want in your personal account. It's a really amazing, comforting, and uplifting feeling you have to experience for yourself!

Of course, if you subscribe today you WILL get to experience this!

You can Stop a Lack of Income dead on its tracks Right Now, Right Here.   Here is a List of Affiliate Income you can immediately signup for Free,

This List is compiled from sources across the Internet by The Research Department,  and rigourously tested for stability, security and dependability (Never missed an Affiliate Payment). They will provide you with a combination of  Passive Residual  Income and Recurring Income, all in the Comfort of your Home.

You don't have to wait 2 weeks, a month, or even one week to get paid - not at all! With the companies that will be paying you, they pay you when orders roll in! Guess what, you will be having a LOT of orders rolling in so I hope you're ready!

It gets better, almost 75% of the companies pay you on the very same day! The other 25% only take 2 - 3 business days to transfer the money you make directly into your bank account.

The companies are reputable and I've never had a problem with late payments in the 8 years I have been working online full-time.

It makes this an outstanding opportunity for anyone who needs money right away!

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I want to work from home or anywhere else I choose.

Earn Money with AlertPay

 I want to have a job that will give me all the free time I want.

 I want to spend more time with my family.

I want an income that will give my family more than we need.

Web-Dawg
Webdawg Recurring Income

Monetize with POGADS

Discover the ability to help other highly successful companies in promoting their products and get paid a handsome commission for every single bit of business you help them get.


Group Mailer - Affiliate Recurring Income

Companies are rapidly moving toward a new model of marketing, and that model is based on people like YOU to get the word out about their products.


Traffic Swarm - Recurring Income

You can do this anywhere in the World. You're no longer an employee, you can be my partner! When you sign up now, you are becoming a partner of a company working for yourself! You can start building your financial future.

The Silva Method - Residual Passive Income

Native Remedies - Residual Passive Income

Anyone at any age over 18 years old

from any background can do this quickly and

Start making Money on the internet Right Now.

Market Health - Get 5 % on All Products Sold

Sales Developers - Direct Residual Income

Auction Traffic Mastery - Residual Passive Income

Effective Learning Systems - Residual Passive Income

Horses For Sale - Residual Passive Income

Universal Marketing Media

The Highest Paid Affiliates on the web.

We will pay you 50% for each sale you refer, 2nd-tier commissions of 5% per sale, and 3 cents per click/visitor you refer to our site.

We wll treat you like Gold from day one with great prizes and incentives, friendly affiliate reps, and real-time online stats.

You\\\'re going to love Universal Marketing Media, and we\\\'re sure that we are going to love you.

Become a Universal Marketing Media affiliate/partner today! click here

Universal Marketing Media - Passive Residual Income

ViralEbookExplosion Massive Viral Profits - Quickly Create Your Own Cash Producing Branded Ebooks

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Affiliate Income Streams

And so you know, the personal account you will set up when you join is very easy to use.

It was specifically designed so that even someone with no computer experience at all could learn to use it in just a few minutes!

If you know how to check your email and surf the web, then learning how to navigate around your personal account will be jut as easy.

You will get clear step-by-step instructions, and everything is straight-forward, with easy to fill out forms, easy to read text, and big visible buttons.

Click here for Affiliate Income Streams installed for your online business. Companies pay you their Affiliate commissions directly,  We simply install them for you.

  • You could choose how often you want to work You can achieve financial freedom and never worry about money ever again
  • You can have all the time you want to spend with your family  You can take vacations when you want, and for how long you want
  • You don't have to ever wake up to an alarm clock anymore .You can do this part time or full time, you choose
  • You can work from home, or anywhere else in the world .You can work in your pajamas if you don't feel like dressing up
  • You don't have to drive anywhere and waste money on gas for work .You won't have a boss hovering over you anymore and telling you what to do
  • You don't have to worry about getting fired or laid off . You won't have to deal with office politics or nasty co-workers
  • You can give yourself a pay raise anytime you want

 

    I want to work from home or anywhere else I choose.
     
     
    I want to have a job that will give me all the free time I want.
     
     
    I want to spend more time with my family.
     
     
    I want an income that will give my family more than we need.
     
     
    I want to travel whenever I want.
     
     
    I want to do something that I enjoy.
     
     
    I want to be able to make as much money as a doctor.
     
     
    I want something that will be easy to do.
     
     
    I want to only work a few hours a day.
     
     
    I want to be able to make money whether I'm actually working or not, automated income.
     
     
    I want (and need) to start making money right now.
     

Text Ads Income Streams

Click here for Text ads Income streams installed for your online business. Companies pay you directly,  We simply install them for you.

Hot Zones on this Portal, and on all 106 Portals is beamed directly from The Marketing Command Center

  • Live Content beamed directly from The Command Center to  Hot Zones on your Income Portals. These Ads are fiercely competing online for Sales. This is the ultimate technology that converts visitors into customers. All implemented for you behind the scenes in a seamless and transparent manner.

LIVE HOT ZONE

Are you tired of hearing yourself say the same old excuses day after day, month after month, year after year?

 If so, listen up! Here are five things you can do to start losing weight today! Activate.

 The most important ingredient in your weight loss plan is exercise.

 If you think that's a dirty word, it's time to clean it up.

 Exercise is just what you do every time you move.

 Starting today, resolve to activate your life.

Leave the car keys behind and walk to the corner store.

 Race yourself to get your housework done in ten minutes less time (because the more vigorous your movement, the more calories you burn).

Get off the elevator one floor early and walk up the stairs.

 Every extra active thing you do will burn calories - and the more calories you burn, the more weight you'll lose.

When you're ready to really activate, get a physical workout designed with your interests in mind.

 Join a gym, take up a sport, or walk 10,000 steps a day.

 But don't wait until you think you can do it all.

 Just take a few extra steps today.

 Motivate.

 Grab a pen and notebook and start writing down all the reasons you should lose weight.

 Don't stop till you get to ten, at the very least.

 Here are some suggestions: 

1.I値l be healthier - losing as little as 10 pounds can decrease your risk of heart disease, diabetes and a host of other weight-related illnesses.

 2.  I値l save money.

 Super-size costs more - whether it's an extra $2 for the nightgown you want or having to travel first class for the seat space.

 3. I値l be able to keep up with my kids.

 It takes energy to keep up with kids, and extra weight saps your energy.

 Lose ten pounds and see how much better you feel.

 4. I値l get back into my favorite jeans.

 5. I値l find souvenir t-shirts that fit anywhere I go.

 Cogitate.

 Got your ten reasons?

 Don't stop writing.

 Keep that pen and notebook with you all day and write down every single thing you put into your mouth.

 Just for one day.

 You'll be surprised at all the 'unexpected' calories you catch yourself eating.

 The last two French fries on your son's plate.

 The two bites of chicken you tasted to make sure of the seasoning.

 The 'just one bite' of your husband's ice cream cone.

 The handful of potato chips you snagged from the bowl on your way

 Write down every single bite for one day to make yourself aware of all the food that you didn't even realize you were eating.

 Once you find it, you can start cutting it out.

 Educate.

 Take a trip to the Internet and visit these educational sites: The American Heart AssociationThe USDA Food Pyramid iVillage Diet and Nutrition sectionThe Diet ChannelThe South Beach Diet web siteThe Atkins Diet web siteThe Mayo Clinic web site's Diet and Nutrition pages Educate yourself about healthy diets and weight loss, and find a diet that you believe you can live with for the rest of your life.

 It's the only way that you'll lose weight and keep it off permanently.

 Salivate.

 If you think that diet food is boring, find a good low-fat cookbook and start re-educating your taste-buds.

 Healthy, low-fat, low-carb cooking is delicious - prove it to yourself with a recipe for dinner.

 While you're at it, pick one for tomorrow night, too.

 You can start your diet AGAIN tomorrow!   

  • Satellite Portals on 106 Domains Actively Selling to Customers For You night and Day.

 Worldwide Portals Installed

click here to see the Worldwide Portals we install for you.

Thousands of  Dynamic Article embed pages are implemented searching the Internet 24/7 For Hungry and "Ready to Buy" Customers to deliver to your Home Income Portal to Generate Sales and Income For You.

Dynamic Content

click here to see The Dynamic Content in Action

Track and Measure Your Advertising, Customer Acquisition Costs, And the Lifetime Value of a Customer

by    Hunter Waterhouse

As business owners and managers, we need to look at a variety of numbers to gain a better understanding of our businesses. In this article, we are going to consider two very important metrics in business marketing Cost Of Customer Acquisition and Advertising ROI (Return On Investment).

One of the most important numbers we need to always be mindful of is the Cost of a New Customer or Cost of Customer Acquisition .

Understanding Customer Acquisition Costs

If you are unfamiliar with this concept, let me give you a quick tutorial on this advertising metric.

===============================================================>

Suppose you run an advertisement in your local newspaper for your furniture store. Suppose for the sake of this example that you paid $1000 for your display ad in the newspaper.

Now, suppose your advertising brought 4 new customers into your store, who bought from you. Suppose also that the average spend for each customer was $1500.

With the example I am drawing, your $1000 display advertisement in the newspaper brought in 4 customers who spent a total of $6000 in your store.

I am going to keep this example simple, so that more people can keep up with the numbers.

On the basic premise of our example, you generated 4 customers after an outlay of $1000 in advertising. So your basic Cost Of Customer Acquisition was $250 per customer.

If your business received fewer customers, from your outlay of $1000 in advertising, then your Cost Of Customer Acquisition is more expensive.

But, if your business earned more customers who spent money, then your Cost Of Customer Acquisition would be much smaller.

===============================================================>

In its simplest form, the Cost Of Customer Acquisition is the money spent to get the customer to your store divided by the number of new customers acquired. We will look at this in more detail, later in this article.

The Best Way To Measure Sales And Marketing Performance

Entrepreneur Magazine in a 1999 article reflected on the Cost Of Customer Acquisition in the dot com world. The article suggested, the cost of new customer acquisition is one of the best ways to measure sales and marketing performance.

In 1999, the Cost Of Customer Acquisition for the following companies were:

BarnesAndNoble.com $42

Amazon.com $27.60

Priceline $32.30

Beyond.com $29.30

On the surface, these numbers may seem small. But, Amazon s Average Sale is in the $17 range! This makes the challenge that Amazon and other major retailers face fairly transparent. If these retailers could only count on one purchase from the newly acquired customer, then these businesses would be losing money by the truckload.

Fortunately, Amazon continues to perform well in Repeat Business from a single customer. The following calculations reflect additional numbers that we business people should also factor into our Cost Of Acquisition metrics.

The Real Value Of A Customer

Amazon s first sale may only be $17, but in 1999, Amazon s Average Sales Per Customer was $116, up $10 from the previous year. Unfortunately, Amazon isn t very forthcoming with these numbers, so after two hours research, I was unable to come up with more up to date numbers for you to consider.

The point of mentioning this is that it is important for business owners and managers to recognize that the Value Of A Customer is not how much sales revenue is derived from the initial purchase, but more importantly, from the Lifetime Value Of A Customer.

If we looked at Amazon s Cost Of Customer Acquisition only in terms of that first sale, then they will be losing money hand over fist. With a Cost Of Acquisition of $27.60 and the first sale of $17, Amazon could not stay in business long if they were continuously producing numbers at that level. However, once you factor in the Lifetime Value Of A Customer, then Amazon is spending $27.60 to acquire a customer that is worth $116 in sales for them. Therefore, by measuring the Lifetime Value of a Customer, Amazon is spending only 24 of their revenue in order to acquire one customer.

Few businesses invest 24 of their revenue in advertising, but Amazon hopes that the Lifetime Value of a Customer will eventually exceed the $116 value, known to have existed in FY2000.

As the Lifetime Value of a Customer increases, the overall Cost of Customer Acquisition will fall, as an overall percentage value of Cost Of Acquisition divided by the Lifetime Value of the customer.

The Compounding Lifetime Value Of A Customer

If you have a hair cutting salon and your advertising budget for one month is $1000, and you get 30 new customers through the door, who will spend an average of $20 for a hair cut, then your basic Cost of Customer Acquisition is roughly $33.34 to gain $20 in new sales.

But if only half of your 30 new customers become regular clients, then you can anticipate 15 of those customers coming to your hair salon at least once a month for the remainder of the year. Therefore, the first 15 customers will be worth $20 each, and the next 15 customers will be worth $240 each over the course of one year ($20 x 12 months). All told, your first 15 customers will put $300 in your cash register, and the next 15 customers will put another $3600 in your cash register.

Thus, in the hair salon example, your $1000 in advertising could generate new customers that will generate $3900 in new sales. Once you start to consider the Lifetime Value of a Customer, within the Cost of Customer Acquisition, then you will realize that the Cost of Customer Acquisition although it might be higher than the initial sale holds out the possibility and promise reducing itself as the Lifetime Value of a Customer increases over time.

As the end of the year winds down, you will be able to see that a $1000 expenditure was turned into $3900 in new revenue. In essence, for every dollar you spent on advertising that month, your return value was $3.90 over the course of one year.

In the second year, if only half of the original 15 regular customers or roughly 8 people stay with you for the full course of the second year, then the $1920 in revenue (8 people X $20 each X 12 months) you can expect from those customers could almost be considered free money. Of course, you will still have service fulfillment costs, but that second year will give you nearly $2000 in revenue that you will not have to chase.

Even if half of the customers drop off during the following calendar years, then a 50 customer attrition rate will allow you to have customers that could stay with you up to five years. Calculated against a 50 decrease in customers over each calendar year, your $1000 investment in advertising may translate into $7500 in revenues over five years ($3900 + $1920 + $960 + $480 + $240 = $7500), from the initial investment of $1000 in advertising.

The interesting thing about this scenario is that it is based on an advertising budget of $1000 ONE TIME. But, most businesses will continue the advertising process every month in every year. Therefore, the above example could compound month after month. Every month should bring the same or similar results to your business for the month and year.

Advertising Is A Process, Not An Event

Many small business owners have a dire misunderstanding of the nature of advertising and the value to be received from the advertising.

When business owners or managers fail to track and measure the new business generated from the advertising, then the business owners and managers will fail to see that advertising is an expense that can return huge dividends to the business.

When businesses fail to track and measure advertising successes, people tend to only see the money leaving the business without every seeing the reward coming back into the business. As a result, many business managers will employ advertising for a short time, then cancel the advertising, under the false belief that the advertising was not returning value to the business.

When businesses fail to understand the Lifetime Value Of A Customer, it is hard to appreciate any advertising method that fails to pay for itself in its first cycle. If Amazon was to only look at the initial sale generated by a new customer, they would quickly cancel all of their advertising efforts. Fortunately for Amazon, its management understands that the initial $17 sale is not the measure to use to determine the value of Amazon s advertising efforts. Amazon s management understands that the true Cost of Customer Acquisition should not be measured by the initial sale, but by the Lifetime Value of a Customer. In doing so, Amazon has ensured that it will continue to be one of the largest and most successful retail outlets on the planet.

When business managers fail to understand the Lifetime Value of a Customer, it is hard for them to appreciate and understand the compounding nature of the revenue stream for a business. It is hard for them to understand that money invested into advertising today, can deliver huge rewards over the next several years.

A Wake Up Call For Small Business Owners

According to Scott Shane, author of Illusions of Entrepreneurship: The Costly Myths that Entrepreneurs, Investors, and Policy Makers Live By , only 29 in 100 businesses will remain in business after ten years. That means that a full 71 of businesses started in any calendar year will be out of business in only ten years.

It is sad to say, but the reason most businesses fail is that business owners and managers fail to understand the nature of advertising, the importance of tracking and measuring advertising results, the Lifetime Value of a Customer, and the compounding nature of the revenue stream.

I don t want to see your business on the trash heap of yesteryear. So, it is my hope that you will take this article as a wake up call, as to the importance of advertising and its potential to lift your business into profits.



Author Resource:- Hunter Waterhouse has been helping business owners advertise online for nearly a decade. He now puts his experience to work to help Main Street Businesses generate walk-in traffic to their stores, using online marketing methods. Visit http://onlinemarketinglocal.com/

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