Important Reasons You Should Never Pay in Advance For Banner Advertising
October 23rd, 2009
One of the things site owners like to do to people who want to buy advertising from them is offer them a huge discount if you pay in advance for 6 months or a year. That sounds like a great idea, but I want to show you why you should never do this.
Secret #1;
You have to realize that if the only way you can make a profit of the site you want to buy space on is to take the discount, you need to fix your system first.
So if a site owner tells you that he will give you a 25% discount if you pay in advance & that 25% discount represents your profits – make sure you fix your system and get it more profitable so you don't have to rely on it.
Secret #2:
Realize that if you are getting $3 in new sales for every $1 you invest in this source of marketing, by giving someone a bunch of money in advance, you now have limited yourself in the amount of other sites you can buy space on as you have spent your cash on the one site to get a discount.
Secret #3:
Most importantly is this – if you give someone 6 months worth of money, they now control the relationship. So if their site does not perform – who cares! They got your money!
So if you pay on a monthly basis you are always in control and they have to always perform for their money & get you the results they promised.
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