How to Start a Web Directory to Make Money on the Internet - Part 2

In case you have not read part 1 of this article, please click here.

How to Make Money with your Directory
The basic idea behind making money with your web directory is through the paid advertising method. In order to make money with your web directory then you should set a price so that other webmasters will be able to advertise their websites and links for a fee that you specify. Through this process of paid advertising, your web directory will be receiving revenue and income each month from the webmasters that advertise their website in your web directory categories.

There is one basic principle to remember, though, when setting a price for the paid advertising. Webmasters will not pay if your website is not popular so PageRank (PR) matters very much to your web directory. Once your directory has achieved a PR6 or PR7 then you will be able to raise the price of advertising for webmasters because more internet traffic will be exposed to their websites through your web directory. Webmasters will pay for that type of exposure and the higher the PageRank of your website then the higher price you can charge for their websites' advertising.

Promotion of your Directory
Of course, your web directory will not achieve a Google PageRank of 6 or 7 overnight and there are some basic promotional tools you can use in order to achieve a higher PageRank quicker. For example, advertising your own directory on other webmasters' directories will give your own directory exposure. Second, advertising your directory in your signature on popular webmaster forums will give you even greater exposure and create even more traffic to your web directory!

Speaking about webmaster forums, DigitalPoint Forum and V7n Forum are two of the largest webmaster forums you can use to gain free traffic for your web directory. These 2 forums provide a section specifically for web directory owners to announce their new directories and directories listing price discount promotions. Your directories or promotion announcement may receive a great respond, depending on the quality, design and PageRank of your directory, your directories or promotion announcement may receive a great respond. An announcement of high PageRank directory that charge a low listing price may attract a lot people visit the directory and pay for a listing.

The heavier you promote your web directory then the more handsomely you will be rewarded!

Altogether, creating a web directory for the sole purpose of making money doesn't have to be a difficult venture. If you understand the basic principles behind paid advertising then creating a web directory should be a pretty easy task. Figuring out which type of directory you'll want to promote, actually creating it, putting a sticker price on the advertising, and promoting your web directory are the four central steps to successfully setting up a web directory to make money online!