Web Business Model: Which Is Better?

Web business model one are what I call 'selling sites'. Are you aware that there are basically two types of business sites on the Web? It is important to note that this business education  I am sharing is not easily found. Yet it hides in plain sight.

It really does not matter not whether you are looking for a simple cashflow  system or an elaborate working from home Internet business, you can distinguish this first model because they generally have little or no informational content for their visitors.

Furthermore, this web business model for the most part are simply advertising messages. Do you really want a serious web business?

This type of website has the flavor of a desperate salesman and near the end of their introduction page, their visitors are urged to purchase a product or service right away.

This is not to say that people are not making money with this type of business model, but this type of site is geared for making one-time sales.

If you are using this Internet business model, your visitors have little chance at all to build a long-lasting relationship to purchase from you.

Look at it this way, the biggest expense in getting a customer to purchase is getting them to purchase from you the first time.

But, if you get them to purchase the first time, what do you think would happen if you make arrangements to build a relationship with that customer, and over time influence them to make additional purchases?

When they do purchase, it would be like having a secret asset (your database) that you can use at a moments notice for added revenue, and your opportunity cost would be next to zero because you did not have to prospect them all over again.

That is called the LTV (life-time value) of a customer. If you are not considering the LTV of your customers like in the web business model above, you would be better off trying to fill up the ocean with a bucket with no bottom.