Why You Need to Start Making Money Flipping Websites

You’ve probably heard of flipping before although often it’s described using a wealth of other names – if you caught our retail arbitrage article you’ll have learned a little about flipping and how to do it there. Flipping, in essence, is the process of buying low and selling high. The stock market, a far more prevalent industry, follows this principle on a much larger scale, allowing investors to buy and sell to make full-time income. By  ‘flipping’ a product, you’re turning it around and boosting its price to earn you a profit for doing very little work.

So What is Website Flipping?

Flipping in itself is a simple concept to understand, however you may be wondering how exactly this principle can be applied to websites?

Buying and selling businesses and stock is a far riskier process than purchasing websites. Not only are prices significantly lower but your work input is too.

As mentioned in previous articles, whether a blog, news site or ecommerce store, setting up a website of your own is an excellent opportunity to start earning a passive income. The only downside with starting your own site from scratch, though, is that you’ll need to build up your audience over time to make any significant profits. Without traffic, your website will simply be a goldmine never discovered. When you buy a website, however, anybody that searches for that specific URL will be redirected to the new website you decide to create.

To put this into context, let’s use a hypothetical example of BBC News. Imagine BBC decided to abandon its news website, advertising it on a domain-selling site for a high price. If you chose to buy this domain name, anybody that searches for BBC News will instead find your site. Thus, all of BBC’s web traffic will become your traffic.

Many pre-existing websites are, to put it bluntly, very poorly run. There are a plethora of popular sites out there that attract a large number of web-users but simply don’t draw in any money. Why? Because those that run the website have not maximised the potential of advertising. It’s incredibly simply to drop a handful of advertisements across a blog page, for example, using a company like AdSense. In doing this, anybody that clicks on these ads will generate you a profit. You, as a website flipper, can buy these websites and monetise them to draw in profits, maximising their potential as advertising platforms.

To put a timeline onto this jumble of steps, here’s exactly how you’d go about flipping a website:

  1. First you’d purchase a site after having decided on which is best for your goals. More on choosing an appropriate site in the next article.
  2. Next you’d improve the site, tweaking any design faults and implementing money-making tools such as ads and affiliate links to send money your way.
  3. Then you wait and promote your site. Allow profits to come in and use them to make adjustments to your site – consider your target audience and tailor your ads to them.
  4. And when you’re ready and feel as though your site has made enough money you can sell it on, making back your initial investment with a nice amount of profit too.

Advantages of Website Flipping

  • The biggest advantages of buying a pre-existing site is that you will not need to establish an audience yourself to make a profit. You’ll be buying a site that already has had time spent growing its audience thus removing the need for you to do so.
  • Buying a site to earn money allows you to make your own schedule, working when is best for you.
  • You’ll be able to sell the site once you’re finished with it, further boosting your profits. In flipping websites you’ll be purchasing them, improving them, using them to make money and then moving on to the next site when its resources become depleted.
  • You can use website flipping to make money without any of the hassle of a typical day job – no interviews, bosses, geographical ties – you are your own boss.
  • Buying a website is far easier than creating one yourself, especially if you lack computer skills and would struggle to do so alone.

Disadvantages of Website Flipping

  • Flipping websites has the potential to use up a lot of your time which could prove to be an issue when also juggling family life, other jobs and social events.
  • You may end up overpaying for websites as it’s incredibly difficult to gauge exactly how much sites should cost.
  • Supply could well meet demand making it tricky to sell your website on. You are very much at the hands of the market here, however your investment fees will thankfully be significantly low and thus you’re not likely to lose out on a lot of money if things do fail.
  • The starting costs could, however, be high depending on the quality of the site. Although your investment costs will be significantly low if you so wish, the cheaper the site you purchase the more work you’ll likely have to put into improving it.

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