Business and revenue models of classified ad solution – A complete analysis
In a world of infinite digital possibilities, classifieds ads have so much to offer. They help businesses as well as individuals to advertise their products or services. Isn’t it so crucial for any businesses to broaden their audience base? For, a wide customer base is crucial for business growth and success. A classified ads marketplace is a common platform for all kind of businesses to easily list their product and services, in order to enhance the reach of the same. Data shows that the average revenue per Internet user in the “Classifieds” segment is US$6.74 in 2018. In fact, the online adults who use classified ads have doubled since 2005. All these facts and figures point to the possibilities of the classified ads as a business.
Business and Revenue Models
Classified ads marketplaces are quite simple when it comes to business models. Majority of the classified businesses provide their core services free of cost. Sellers can list their products for free, whereas users can choose and buy those easily. Now, from where does the income come from?
Sponsored Listings or Bounce ads– This depicts the main revenue of a classified ad business. Sellers or businesses can enhance their visibility by paying a certain amount of money. The portal earns their major portion of income through this.
Advertising Opportunities– Another possible option is to take advantage of Google Adsense. One can place Google ads on their platform, they are placed on the home page as well as product pages. For every added new product, it gets a new page. So, eventually, the revenue will improve.
Paid Banner Ads– While allowing the users to post their classified for free, offer an extra option for them to pay and display their product or service as an attractive banner ad.
Pay Per View– This is a very genuine and results-focused way of approach. Customers will pay only if their ad gets a view. Thus and so, it incorporates a comparatively low risk as well.
Pay Per Lead– This is a more specific and targeted business model. Businesses will earn money only if the ad gets converted to a sale. In other words, a potential customer is the source of revenue.
Affiliate Business Model– Unlike the conventional way of directing customers to other websites using an affiliate link, you can provide your users with an option to sell their products directly on your site. You will soon see yourself earning some serious money through the sales happened.
Merging Different Models Together
Aforementioned are the common, stereotype models but you can always experiment, innovate and lead by implementing new and unique ways of thinking. There are several ways to make money when you own a classified marketplace. You can always blend several relevant monetization options and expand your revenue generation possibilities. However, be aware of your advertiser and user needs.
Kickstart your Business with a Smart Online Classified Ads Solution
In contrast to building an application from the scratch, small or medium level businesses can prefer employing a ready-made online classifieds software to deploy a great platform easily and for an affordable amount of money. Being moved by this concept of easy deployment and minimized cost and effort, Agriya launches an astounding classified ad solution, an ideal pick for entry-level businesses to step into the market quickly.
Necessary Features for an Inclusive Classified Ads Marketplace
An ideal classified ads platform integrates some standard attributes, which helps owners as well as the buyers to efficiently finish their desired task. Moreover, it helps them to adapt to the ever-changing market.
Efficient Ad Management-
An efficient ad management system is crucial for the smooth functioning of your classified ads platform. The systematic management of listings, ads, and orders can automatically drive efficiency and precision to your business.
Convincing Revenue Generation Schemes-
Effective and logical income generation methods are inevitable. Choose the revenue model carefully by considering all the aspects of your business.
Dynamic Admin Panel-
An admin dashboard is the control station. It gives businesses complete control over the ongoing processes, it helps to manage the same efficiently.
Genuine Payment Gateways-
Incorporate reliable payment gateways for unblemished money transactions. Gateways like Paypal, Zazpay etc can be integrated for guaranteed results.
Privacy and Confidentiality-
Options to hide the personal information should be included. It gives the user the freedom to manage and control their data.
SEO Optimized Solution-
While helping other businesses to reach more customers, it matters to classified businesses as well. Be sure about the SEO attributes while choosing the portal.
To make a fortune out of classified ad business is possible, but only if you have an efficient classified ad marketplace. Moreover, you should have a clear-cut idea of your goals and requirements. A well-polished market grasp, a logically possible business model, an intact software portal, an effective marketing strategy; everything matters.