Survey: What’s your Blog Income vs Expenses ratio?

Okay, this is a short survey post probably because I haven’t found time to elaborate a few draft posts that are sitting on my WordPress database.

All of us are out here to make money by blogging, which happens to be either our passion or business or both. Blogging definitely generate a lot of income for many via private advertisements, affiliate-referral marketing, paid reviews, Google AdSense like CPC ads etc. However, there is a lot of related expenses as well. Some of these expenses include:

Domain registration and hosting expenses

Advertising and marketing expenses

Theme, banner, layout design related charges

Periodic maintenance charges if you are not a techie

Salary expenses towards editors, if you have a multi-author blog

Software, plugin purchases

Income vs Expenses

The income generation pattern of the blog depends on parameters such as the niche, monetization instruments (money generators), traffic generated, service model if any etc. On the other hand, the expenses are majorly based on what kind of advertisement and marketing strategy you adopt and what are your writing commitments in terms of resources.

As for this blog, I do not have anyone else writing for me here. I do not promote this blog via PPC advertising nor have I opted for a very expensive hosting service. However, if I consider my overall online exposure I do spend $1 for every $4 earned from my websites and affiliate marketing campaigns. I know, this is a huge expense but none of my blogs are huge traffic websites and hence I have to drive campaigns other than depending on organic traffic alone.

I am sure that many of those websites and blogs that depend heavily on organic traffic and Google AdSense income alone may have a very high income to expense ratio. At the same time, there may be other bloggers and online marketers who spend a lot more than I do to earn similar incomes.

Survey Question

As I just mentioned, my Income-Expense ratio is 4:1. Now, do you care to share your blog income-expense ratio?

In addition, it would be great if you could share which areas do you spend most of your money towards your online business. Please provide a number for all your online businesses consolidated and not just one blog. And if you are the only writer on your blog or website, you may not need to include your own salary for the time spent on blogging or other online activities.

Happy money making!

Comments

  1. I am in a rather weird position where my only expense is paying for the domain name. I get free hosting through my brother and I have been lucky enough to have friends and family buying me premium plugins.

    • @Dean, that’s good for you – not much expenses huh? At some point of time you will end up having a real high traffic blog whereby you have to go for premium hosting :) I had certain spikes and downtimes but yet to move dedicated hosting or VPS.

  2. Until now there has been no income as such from my blog and expenses are of domain name which comes to ~$8 a year and hosting ~$9 a month. I like learning new things so do all my graphics and use plugins which I get on wordpress. I had thought of learning dreamweaver but wordpress’s wyswyg interface made my life easier.

  3. Hmm well its a bit weird for me as well. I spend money on domain names, hosting, and outsourcing which can come out to a bit although I don’t spend much. I would say 10% of my earnings are invested back into my business. It will increase the more I make though.

  4. My expenditures are only of domain name and hosting and I earn mostly from adsense. I am student, so I found less time for blogging but I do manage it wisely.
    I donot spent on campaigns. Also, Ajith, Please elaborate me something about the advertising campaigns you run for your blog. Do you use adwords or what ? and is it good to get traffic from such campaigns ?

    • @Garish, I do spend a lot of money on AdWords but not always to drive traffic directly to this blog. I have certain landing pages on this blog as well on couple of other sites :) I spend between $200 to $300 per month on PPC advertising and on certain months as high as 500 dollars…

  5. ashish :

    Even me in such a situation itz been 6 months the expenses ratio is now 1:1 lol.

  6. Oscar :

    My blogging is not that serious (as in a job), although I’m planning to launch two sites before the end of the year. My current ratio is something like 5:1, where hosting and domain are my only expenses.

    Great discussion going on, but I have to argue – isn’t a 10:1 radio a bit too high? That’s 10% (as make money online said)! Would you not try to expand or invest in other projects?

  7. I think it’s possible for blogs to make domain names the only expense. Learn html, css, php, and javascript along with design programs and go for free hosting, you’re good to go.

Speak Your Mind

*