Monetizing Someone Else's Site for a Share of the Increased Profits

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COOLEREXPRESS

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Sep 14, 2008
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Let's say that I know of a high traffic website that's very poorly monetized, and that I'm confident I could at least quadruple this site's revenue if I took control and monetized it properly and optimized everything. Naturally in exchange for doing this, I would ask for a cut of the increased revenue (profits).

Does anyone have experience doing anything like this? How do you approach the webmaster and negotiate with him/convince him to let you do this. What contracts do you use and what measures do you take to make sure you don't get screwed over? Is it difficult to convince the webmaster to agree to this?
 


why dont you just toss him an email and do a media buy on his site instead of trying to help him make money? probably more worth your time this way if your sure you can monetize the site.
 
If the webmaster is monetizing his site with bidvertiser then it's my guess they are clueless and won't have any idea what you're talking about which will lead to doubts in their mind about your legitimacy.

If you were able to find the site in the first place, put up your own and outrank them = profit.
 
hehtaky said:
why dont you just toss him an email and do a media buy on his site instead of trying to help him make money? probably more worth your time this way if your sure you can monetize the site.
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Yeah this is what I do already, but sometimes there is a far greater opportunity if you just had more control and were able to optimize things. Of course I'm talking about more than just slapping up a banner or two. It would be worth my time because the site would be high trafficked/decent rev and have tons of potential, just poorly monetized.

LotsOfZeros said:
If the webmaster is monetizing his site with bidvertiser then it's my guess they are clueless and won't have any idea what you're talking about which will lead to doubts in their mind about your legitimacy.

If you were able to find the site in the first place, put up your own and outrank them = profit.
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I'm not interested in trying to outrank an established site in a semi-competive niche with a brand new website. Who knows how long that would take or how much effort would be required or even if it would be successful.

I'm not talking about bidvertiser per se but there are many sites that use similar low quality/2nd or 3rd tier programs such as this and AdEngage, Adbrite, etc. There are also lots of sites that have like one tiny poorly placed Adsense block or nothing at all.

Then there are also sites like these where there is an opportunity to develop a product that would appeal to the site's visitors. For example say you find a site with 100k visitors monthly and the current webmaster has the site poorly monetized and is currently only earning $2 CPM (a couple hundred per month). And say you could then take this same site and turn it into an ecommerce site (or just sell one product) or a membership site and dramatically increase the site's revenue. You could take a site earning a couple hundered/mo and by changing the whole revenue model have it produce tens of thousands/mo.

This may be an extreme/rare example and obviously it would probably be better in this case to just outright make an offer to buy the site, but I'm more interested in sites that make like $10k a month that I know I can pretty easily increase it to $30-50k per month. I'd like to find a way to negotiate with the webmaster without having to lay out a couple hundred K to buy the entire site.
 
Unless you put a lot of trust in the guy, how are you going to know how much you're going to get paid?

You also run the risk of them just cutting you off anytime they feel like it.

Trust is the key here.
 
like hehtacky said, email and request a media buy - you can get most of these guys for a steal.
 
COOLEREXPRESS said:
I'm not interested in trying to outrank an established site in a semi-competive niche with a brand new website. Who knows how long that would take or how much effort would be required or even if it would be successful.
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Why don't you just buy the site for say 6x monthly income? And then transform it and keep the profits for yourself.
 
DBWebDev said:
Why don't you just buy the site for say 6x monthly income? And then transform it and keep the profits for yourself.
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I wish you guys would read everything before making asinine posts. As I stated in my 2nd post, I'm interested in sites that make at least 10k per month, where I'm confident I can increase the rev to $30-50k/mo if I was able to monetize it properly or change the revenue model. Buying is def a no brainer obviously if the site is only making a couple of thousand a month. But if it's making $10k+ most likely I'm going to have to lay out a couple hundred K to buy it, which I'm trying to avoid as I feel it's unnecessary and there has to be a better way to do it.

Perhaps there's a way to do it using a special set of contracts or by using an LLC or a trust. I'm not sure, but I was hoping someone here had some kind of experience doing this or had an idea how it could be accomplished.
 
LotsOfZeros said:
Media buy seems like the best option. Ask them what they make each month and tell them you'll pay them that plus 25% for getting to hold the keys to their ad inventory.
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Media buy is not what I'm looking for. I already do this. Plus to maximize the rev I will need to make some bigger changes to the site and possibly even change the whole revenue model.

radio said:
you sure are an ungrateful cunt.
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Ha ha you're right, thanks your awesome contribution to the thread.
 
COOLEREXPRESS said:
Media buy is not what I'm looking for. I already do this. Plus to maximize the rev I will need to make some bigger changes to the site and possibly even change the whole revenue model.
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oh, sorry about that other stuff. i was totally misreading your original post. i don't roll that large, but i did read a similar thread here - guy starts with an initial offer to build trust and then makes some recommendations and then enters into mutually beneficial rev share - 55/45. he spells it out from initial contact to the final contract. fascinating read.
 
radio said:
oh, sorry about that other stuff. i was totally misreading your original post. i don't roll that large, but i did read a similar thread here - guy starts with an initial offer to build trust and then makes some recommendations and then enters into mutually beneficial rev share - 55/45. he spells it out from initial contact to the final contract. fascinating read.
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lol you might have gotten me with that dickroll if you didn't already reveal what a complete douche you are. If you don't have any thing contructive to add to my thread...GTFO
 
I've done this before, and do so currently. Basically, I first give out income expectations if I were allowed to be involved with his/her site. If a site is earning 10k monthly, and I come up to them and tell them I will get it to 20k monthly, and he or she will keep all 20k; any more above I keep for myself. I would then generate that income from my network accounts. So, I would have total control over the additional revenue I'm generating. So in this case, I just slip them a 10k check on a monthly basis, and keep the rest for myself.
 
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