Monday, 18 October 2010

An Insight into how Companys make money GIVING away Products!

People say everyday that there is NO such thing as Freebies. Why they say would people want to give stuff away for free what do they get out of it?
Well to answer their question Money!Now I know that most sound so stupid, firstly I say freebies which means no money is payed so how on earth can these people make money?
Well let's start with websites that list Freebies.There is a lot of them out their but a lot of them really are not legit but as for the legit ones they ,and I don't know if you know this ,are racking thousands of pounds/dollars in a Day and if you think about it its quite simple how they do it.These sites build up traffic and then company's PAY THEM to list their products on the website. So that's how easy it is. For every advertiser on their website they are making money. Then shove in a few Ads from adsense and you have the perfect cocktail for money making heaven. So you may now ask how do the company's make money?Well that's what im going to tell you!
After the company's have payed out hundreds for their websites to be listed on the big sites they need to work out some sort of master plan on how to make the money back.So guess what they do?Give away their Product!Now reading this you most think that they are off their mind but im going to tell you how they can make a big investment U-Turn straight into a BIG PROFIT .The company's have just gave away their product so their now losing even more but this is when the magic happens! Once a consumer has received a free sample and they really like it their going to go back and buy it aren't they?So the more samples that the company's give out the more money they are going to get back.
So that has been a brief insight into how websites and company's manage to make money from giving out freebies.