What Successful Blogs Teach Us. What we can learn from 2. Blogger's income reports. Gael Breton - May 2. How to make money blogging? Many people jump into this industry after reading some over hyped content that tells them they can earn thousands of dollars each month with very little work. Sounds too good to be true, right?

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Here at Authority Hacker, we are big fans of cold hard facts. We hate fluffy, vague, unproven points. That is why, in order to answer this question, we've gone out and collected income statistics from 2. More.. This post is a (very) long case study which looks at the success of other bloggers. We compare all the stats and try to understand what are the real drivers of success. It's not a step- by- step guide; rather, it's a collection of case studies. Fair warning: All of the stats we used here were self reported from bloggers who regularly publish income reports.

We can't verify the authenticity of all of them, however we expect these to be fairly accurate. What you will learn on this page? As you can see from the graph above, they tend to be VERY profitable compared to most brick and mortar businesses. For the bloggers analysed, $1 spent on their business yields $4. That's about 7. 9.

To give you a comparison point, normal Brick and mortar businesses have an average gross profit margin of 1. For every $1 invested in their business, top bloggers earn $4. Click to Tweet. The 4 categories we will be analysing from this point. These business models are drastically different, I think it's only fair that we split up their profitability to get an idea of what business models are the most lucrative, regardless of the size of these blogger's businesses. Because the costs are usually not broken down per area in most income reports and because most bloggers run multiple business models on top of each other, we've grouped them depending on their main source of income and looked at their profitability. One last note on this table: some bloggers don’t list their expenses; we excluded them from this part of the report, since it would skew data, which is why these totals may be different than the overall totals. Here are the results.

So why would you bother? If you also look at the total profits, you will also see that own products generates over 3x more revenue than affiliate marketing, and more than twice more total profit. One of the reasons they general so much revenue is that selling your own products opens up a lot of new marketing channels that are not opened to affiliate marketers (learn more about this in this podcast).

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Advertising is both the least profitable and generates the least total profit; however, the massive benefit of using ads to monetize is that they require a super low commitment. What metrics correlate the most with higher revenue? Before we venture into correlation, let me remind you that correlation do not equal to causation. It's not because high earnings bloggers have a lot of Twitter followers that buying Twitter followers will help you earn more money. If you want to learn more about correlation vs causation, check this video out. Correlation: Alexa rank against earnings- 0. Correlation: weak positive.

In this case, the correlation is a negative number because Alexa rank is a reversed metric (lower = more popular). Alexa rank is supposed to measure the traffic of a website and it seems logical that with more traffic, websites should be more lucrative. But the weak correlation. Consider going beyond Google and backlinks if you want to do well.

Note: this analysis is slightly flawed in the same way the Alexa rank correlation was: a lot of these bloggers make money on sites other than the sites they blog on, therefore the correlation could simply mean that people earning more money get more attention. I always expected Twitter and social media fans to not be very good at monetising and obviously I was wrong. There is a fairly strong . Gals: Who earns the most?

Given that 9 of our 2. In the real world, women earn on average $0. Is the world of blogging more or less discriminating than the real world?

On average, men earn 1. At least in the sample we analysed. That seems hugely unfair and the difference is massive compared to the real world. So should we get out and protest? Well, not really. When we ran the median of earnings, we actually found that women were earning 3.

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Here's what the chart looks like if you omit John Lee Dumas: Here, it’s about equal, and the women have even pulled ahead. Not bad! Let's now look into the outliers to understand the spread of income.. The 1% of the blogging world. As seen in the previous section, spread of income (and somehow low sample number) shows that there are huge spreads of income across bloggers.

I thought it would be interesting to see how wide that spread is and if the Pareto principle verified in this industry as well. The top 2. 0% of our sample group earned 8. This means that if you're looking to get into this industry, realistic expectations should be set with the . That the site made just $6. March alone is a testament to John's hustle and content quality. With over 9. 00 episodes, he has interviewed everyone from Tim Ferriss to Michael Port. Along the way, he has inspired thousands to take the entrepreneurship leap and run better businesses.

Podcasting remains his biggest source of revenue. Between sponsorship for the EOFire podcast and his . Because of the strength of the brand name, John's websites get a lot of traffic through direct type- ins. Referrals from his podcast guests' websites also land him a lot of traffic as well.

Main monetization methods. Affiliate Marketing$5. John earns a smaller (but still significant) portion of his income from affiliate commissions. Advertising$5. 9,6. Nearly all of John's ad earnings are from EOFire podcast sponsorship. Products / Services$3. The bulk of product earnings come from .

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This shows in his expenses as well - John spent $$3,1. March on virtual assistants. His expenses also show he spent $1. What we can learn from John. Try podcasting: John Lee Dumas pretty much started the recent podcasting phenomenon among entrepreneurs. It's still his biggest source of traffic and revenue.

Podcasts are not only fun to create, they also help you connect with leading figures in your field. The sponsorship money isn't bad either! Brand yourself: Entrepreneur. On. Fire. com is an exercise in self- branding. John's face is all over the website and he uses the same colors/graphical elements everywhere. Based on the strength of his brand, John is able to command a premium on ads/sponsorship for his podcast. Pat Flynn. Website: smartpassiveincome.

Site age: 7. 5 years. Niche: Entrepreneurship, online business & podcasting. Total Monthly Revenue: $2. Movie Trailers Revenant (2015). Total Monthly Expenses: $4.

Net Income: $2. 12,1. As the founder of Smart. Passive. Income. com, Pat is easily the most recognizable name on this list. For the last 7. 5 years, Pat has been sharing his entrepreneurial journey with the world.

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It started with him declaring that he will quit his job with passive income in October 2. March 2. 01. 7. By all means, that is one really impressive journey! Pat writes at least once a week about marketing, blogging and building businesses on the Smart. Passive. Income blog. The biggest, of course, comes from his email list. Main monetization methods.

Affiliate Marketing$6. Pat primarily promotes web hosting and email products. Advertising$1. 5,9. Courses account for over $1. Pat makes the vast majority of his revenue with course sales. Of course, he does very well with affiliate marketing, too. He earns $3. 1,0.

Bluehost commissions generated on Smart. Passive. Income. Top 3 Products / Services He Promotes@patflynn earns $1.

Find out how much 2. Click to Tweet. Top Expenses for Pat Flynn. Besides revenue, Pat also shares a detailed breakdown of his monthly business expenses. The biggest expense for Pat is hiring what he calls “professional services,” which includes stuff like developers, accountants and virtual assistants.