Business Model 2:  Paid Portal Website

 The Paid Portal also concentrates in giving away large amounts of free useful information on its chosen subject. Unlike the free portal the paid portal does not give away free listings. Instead it concentrates on getting website traffic and charging for listings to be added to certain directories or on certain pages on the website.

The Paid Portal will need to get a great deal of quality content on the website fairly quickly, and get reasonable search engine rankings for companies to take the site seriously and pay for a listing. The way many do this is to get a lot of quality content on the site, optimized for the search engines. Then they offer a few companies a free listing for a limited time say 3-6 months. During that time they sell to many other companies. By the time the free listings period comes to an end they are able to convert most to sales, because the website is doing quite well on the search engines.

The Paid Portal as it becomes more popular sells banner space, Listings, priority position of listings, or advanced features of listings in numerous categories to continually expand revenue streams.

The Paid Portal revenue is based around the website traffic and so with accurate stats on each page numerous ways of getting more sales can be developed based on traffic. For example you sells timber garden buildings, having a large Organic Gardening website I contact you and offer: a) basic listing=X cost b) priority listing =Y cost c) sales package on certain highly searched pages like timber buildings =z cost. The get the idea you can have a range of products, but be able to quantify why your customer needs them. If you are getting so many people looking for what he is selling and you charge a reasonable fee, you generally get the sale.

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