At first glance, BookReporter.com simply looks like the ultimate online destination for people who love to read and talk about books. It’s very well designed and features thoughtful book reviews, in-depth author profiles and interviews, excerpts of the hottest new releases, literary games and contests, and more.
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So how does a site that has no membership fee and sells nothing produce money for its owner?
Experts estimate that this business throws off $3-5 million annually. Yet it has entirely free content, minimal advertising, and, itself, actually sells nothing.
The site also offers a free weekly e-mail newsletter (e-zine).
The book reviews are written in a fairly standard format, and many are provided by non-staff members. Readers volunteer their recommendations via e-mail.
BookReporter.com Founder Carol Fitzgerald and her staff of six include a graphic designer, a promotion/marketing manager, an editorial manager, two website producers, and a senior editor.
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So, how does a site that has no membership fee and sells nothing produce money for its owner (Fitzgerald) and make the payroll of its talented staff members?
The site is one of five in The Book Report Network, which includes www.Bookreporter.com, www.AuthorsOnTheWeb.com, www.ReadingGroupGuides.com, www.Teenreads.com, and www.Kidsreads.com.
Each site—each and every book review—includes a hypertext link to Amazon.com and an opportunity for the site visitor to purchase the book.
BookReporter.com is believed to have a special affiliate relationship with Amazon that pays it 15 percent of the purchase price and 5 percent of the total shopping cart of each book buyer.
So, while BookReporter.com sells nothing itself, it makes enormous sales commissions from its special affiliate relationship to Amazon.
Other players in the product review field
BookReporter.com is not the only smart marketer using this business model to generate revenue from publishing online product reviews. Visit www.PlasmaTvBuyingGuide.com for serious reviews of expensive television sets and the online retailers who sell them.
PlasmaTvBuyingGuide.com affiliate commissions from the retailers pay the expenses of operating this extensive website and turn a profit for its owners.
The reviewers are serious audiophiles and journalists who can praise or criticize with total objectivity. Many reviews are submitted by site visitors. The retailers don’t care which product the consumer decides to buy. They carry all the popular brands.
Opportunity
Mequoda members who are still searching for an online publishing topic should consider this business model. Could you find a retailer, or group of retailers, who are selling a large volume of product online? Could you strike a deal for extraordinary affiliate commissions for referrals from your site?
Could you provide serious product reviews, either creating the content yourself or with written reviews provided without a fee by enthusiastic members?
Could you sustain your interest in this niche market over time?
