I am super excited to announce that I will be starting a brand new case study here on PiP! My last few case studies have been very popular with my Amazon FBA case study and my website investing case study so I thought I might as well start another one 🙂
In my two previous case studies I have kept certain details hidden from the public such as the website URL for the website investing case study and my product in the Amazon FBA case study. However, this time around I will be sharing every last detail with you! I will not be keeping anything private and I will be sharing every detail. I know that case studies are lot more interesting and you can learn better when you can see real examples of what I am talking about.
Enough of the chatting, let’s jump straight into this new case study and I will explain what this is all about.
I plan on using Youtube very frequently in this case study so make sure that you follow my Youtube channel here – www.youtube.com/c/joshshogren
Below is the first introductory video to this new case study:
There is going to be a video that will accompany every single case study post because I like having it being presented in two different mediums.
The Website I Just Bought
Around a week ago I made a new website purchase from Flippa and you can view the website’s Flippa listing here – https://flippa.com/6439965-hvactraining101-com
Screenshot of the Homepage
I paid $1,250 for the site and you will soon see that I got a really good deal.
As you might be able to tell from the URL, this site is focused around training and education for becoming a HVAC technician. This is a lucrative niche to be in and Adsense pays very well.
I do not have control of the site yet due to the transfer process not being completed. However, I am hoping within a few days everything will be finalized and I will take full control of the site. In the meantime, I figured it would be a good time to put together the introduction post for this new case study!
Why I Bought this Website
Now that you have a general idea of the website that I purchased, I now want to explain the reasoning behind the purchase. There are 3 major reasons for this purchase and I will explain each one of them below.
As I mentioned earlier, I bought this website for $1,250. However, that doesn’t mean a whole lot unless you know how much the site is making each month.
Below is a screenshot of the earnings for the last 12 months:
Earnings per Month
Average Monthly Profits
- 3 Month = $126
- 6 Month = $128
- 12 Month = $229.50
Let’s use the 6 month average of $128/month as our baseline average.
Since it is making on average $128/month and it was sold for $1,250 then that means I bought this site at a multiple of 9.76x! Most sites in today’s market go for 20x-30x multiples. As you can see, I got a great deal on this site.
Although the great price was the biggest reason for me buying this site there are other factors that persuaded me as well. You need to remember that just because you can get a website for a good price it doesn’t mean it is a good deal. There are other factors that you need to look at as well.
Extremely Under Optimized
This site is currently being monetized mainly by Adsense and a very small amount from Quinstreet. From my experience with testing and optimizing Adsense layouts for my site in my Website Investing case study I know the common ad layouts that work best for maximizing Adsense revenue.
With that being said, I can quickly determine if a website is being under optimized in terms of the ad layout. One of the first things I did when analyzing this site was examine the ad layout it was using.
Below is a screenshot of the website with the ad layout the previous owner was using:
There is only ONE ad per page being used, that’s it.
Google allows up to 6 total ads to be used per page and you can imagine how much money is being left on the table because of this. I am estimating that I can probably double the earnings for the site practically overnight once I add more ads to the site. Adding more ads in combination with my favorite Adsense plugin, AmpedSense, I will be able to easily boost the earnings for this site quickly.
It is also worth mentioning how lucrative this niche is and how much advertisers are willing to spend on a per click basis.
Below are the average CPC for the top keywords this site is currently ranking for in Google:
Current Top Keyword Rankings in Google
Look at those average CPC numbers, they are insanely high!
I could be making up to $25 per click for some of those keywords, which is so absurd to me. Combine these extremely high CPC with the fact that the site currently only has one ad per page and you can start to understand just how under optimized this site truly is.
I also plan on utilizing other ad networks such as Quinstreet and Campus Explorer more as well. These two networks are targeted at the education niche which works very well with my site. I will be testing to see if these convert better than normal Adsense ads.
Goldmine of Untapped Keywords
One of the biggest opportunities I see for growing this site is to target local keywords related to HVAC training. As of right now, the site has only scratched the surface when it comes to trying to rank for state/city keywords. Currently there are only two pages on the entire website which go after local keywords, those two pages target Texas and Florida HVAC search terms.
These two pages are two of the more popular pages in terms of total amount of traffic, see the screenshot below of the Google Analytics:
Two out of the top five most popular pages for the entire website are focused on local search terms. However, these are the ONLY two pages that target local search terms on the whole site! There are 48 other states, although there may not be search volume for all states, and countless cities that are not being targeted.
Why do I think this is such a good opportunity?
For a few reasons:
- Local keywords are a lot easier to rank for in Google than more general keywords
- This site has been able to rank for two states successfully already and it proves it is possible
- Traffic going to these local pages is WAY more targeted and will convert at a much higher rate, which means more commissions for me
- There are so many more states and cities that get a good amount of searches that I can target
To give you an idea of the type of keywords these local pages rank for, you can see the top keywords that the Florida page is ranking for in Google:
As you can see these keywords don’t get a ton of searches each month, but ranking 1st for a keyword getting 90 searches a month is better than being ranked 10th for a keyword getting 1,000 searches a month.
I have started to do some keyword research for other states and I am liking what I am finding so far. Below you can see some of the keywords that I have found which I will be targeting with future articles:
I will go into more detail about my keyword research in future articles, but I wanted to give you an idea of what my strategy will be! I also wanted to share why I am super excited about the future potential to grow this site by targeting local keywords.
Yes, there are many good things about this website, but there are always risks involved no matter what the investment is. The same thing goes for this site.
Below are some of the risks that I currently see.
This website is a HTML site and I will need to transfer it to WordPress ASAP.
I have been doing some research on this process and it shouldn’t be too hard to get this over to WordPress. In doing so it will make adding content, managing the back end and just about everything else easier. Also, I am hoping that when I transfer it to WordPress that it will become more optimized for Google which will increase keyword rankings.
Looking at the last 12 months of earnings you will notice a drop off from last year till now, see below:
In May of 2015 it looks like the site earned right around $500, which is much higher than the $128 that it is earning now. However, the last 7 or so months have been consistent which is a good sign. Even though the earnings are much lower now then they were a year ago it is good to know that this site has the potential to earn $500/month because it has done it before.
Slightly Declining Traffic
In the last 12 months the site’s traffic has declined, however, it looks like it is picking back up. Look below to see the last 12 months of the site’s traffic:
The decline is nothing serious, but there is a drop on traffic. Let’s take a look at the complete history of this site’s traffic so we can get a better idea of what is going on here:
The above screenshot is from 2012 all the way up to right now. In the grand scheme of things you can see that the traffic is still doing well and it looks like it is on the upswing now.
Those three risks mentioned above are the three biggest risks with this site at this point. It is always good to note the risks and do everything you can to prevent them from causing a problem.
My Growth Strategy
Whenever I purchase a new site I always create an outline or plan on how I will grow the site. Right now, I have some basic ideas on how I will grow this site, but as I go on I will continue to change and optimize my strategies to be more effective.
Below I have outlined my current plans to grow:
1. Add more Adsense Ads
The very first thing I will do once I get control of the site is add more ads per page. I am predicting that by just adding a few more ads per page I will be able to more than likely double the earnings. I will touch on exactly how I will be optimizing the ad layouts in future posts.
2. Test other Ad Networks
I will be doing a lot of testing and experimenting when it comes to the ad networks. I plan on trying out Adsense, Media.net, Quinstreet, Campus Explorer and finding the combination of those 4 which produces the most revenue. The Adsense and Media.net ads will perform well on the more general pages while Quinstreet and Campus Explorer ads will be geared towards the local search terms.
There will probably be other ad networks I will try out but these are the four which I will be using right away. If you are aware of any other ad networks out there which are geared towards the education niche please let me know in the comments below!
3. Target Local Keywords with new Content
I have already touched on this, but I will starting to produce content targeting these local keywords ASAP. The sooner I add the content to the site the sooner it will start to rank and bring in traffic. I will not be writing my own content and instead I will be outsourcing all of it via Upwork. I will show you all how I go about outsourcing content production and you can see my process for doing that.
Goals for this Website
My goal for the website is to have it valued at $10,000+ within 12 months.
Let’s break down this larger goal into smaller chunks which will make achieving it easier and more attainable.
Earnings – $500/month
To get the site valued at $10,000 the site will need to be making $500/month using a 20x monthly multiple. Right now, the site is making around $130/month so it has a ways to before it reaches the $500 a month mark.
However, after doing some Adsense optimization I think we could push the earnings to around $300/month without much work. From there, it will come down to trying to bring in more traffic!
Traffic – 5,000 Visitors per Month
Why 5,000 visitors?
Because that is how much traffic it is going to take to get to the $500/month goal.
Let me explain how I came to this conclusion:
The average RPM for this site is currently $50, which means for every 1,000 page views the site earns $50. After I optimize the Adsense layout for the site and add more ads per page I think I will be able to double the RPM to $100.
Using the RPM of $100 the site will need to have 5,000 monthly visitors to earn $500. So 5,000 monthly visitors is the traffic goal I have set and aiming for! The site is currently getting around 3,000 visitors per month so I will need to add an extra 2,000 visitors to get to this goal.
Want to Follow this Case Study?
I will be using Youtube a lot in this case study so make sure to follow my Youtube channel here – www.youtube.com/c/joshshogren
As always, make sure to sign up the email newsletter below because I will send out all of the new updates there as soon as they are published.
Other than that, I think that is going to bring us to the end of the introductory post for this new case study. I hope that you enjoyed reading and that you are excited to follow along!
If you have any suggestions to make this case study better PLEASE let me know in the comment below. I want to make this case study the best one I have done yet. Talk to you all in the comment section.