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Archive for March, 2011

If the stocks start at just under a dollar, how can an investor hope to become rich in the end

Monday, March 28th, 2011

To get the most gains out of your penny stock investments, it’s important that you pick up information about certain companies before the news hits the primary media stream.    As soon as word is generated about a company, the price of the penny stock soars until it no longer falls in the category of penny stocks at all.  So how do you get this kind of information if the media isn’t disseminating it to the public yet?

You must do your own due dilligence on the penny stock.As penny stocks are not followed by the main stream mutual funds you can usually get in before they do.
You have to become an investigator of sorts and figure out which companies have the best opportunity for you to profit from an investment of their penny stocks.  Sometimes you’ll get wind of a small news item where stocks aren’t even mentioned and it gives you just enough information to leverage an investment of penny stock before the company starts heavily promoting their stocks in connection with the news.

In order to amass a fortune in penny stocks it does mean you are going to have to take big chances. .  Some investors prefer to wait and see what will happen with a company before they buy stock.

This kind of approach nullifies the opportunity they have to take advantage of the low stock cost, because once investors know for sure that a company is on the rise, everyone will be scrambling for a share and the stock prices will rapidly climb.

One way to stay abreast of up-and-coming penny stock companies is to join one of the many penny stock advice forums on the Internet and watch what others have to say about the choices available to penny stock investors.
Always make sure you do your own investigation into the company as well, but having other investors with a like-minded attitude can help you learn what to look for before shelling out too much money as a junior.

Million Dollar Homepage; Fad Or Fiction

Monday, March 14th, 2011

Over the last month a new website created by 21 year old student (Alex Tew) has had a phenomenal impact on the internet advertising world. You may have heard of milliondollarhomepage.com. If not, it is a very simple concept for online advertising. Advertisers can buy pixels on the homepage for $1 a pixel. The minimum order is 100 pixels and with this the advertiser gets a small image that links from the Milliondollarhomepage to the advertiser’s site.

Now this alone isn’t what made the site successful. Granted it’s a unique twist on internet advertising, but lets be honest it’s hardly remarkable. People have been selling spaces for banners on websites for years. For this site to be successful it needed one key ingredient, and that is traffic. Hundreds of thousands of people needed to visit this site to give the advertisers value for money.

So the young student who came up with the idea submitted a press release, and sold a story like any good marketer would. How he was only 21 and came up with this simple website to pay his way through university. Fortunately for him the worlds press found his release and published it, as it was a good story. This meant more people visited the site, and the website traffic increased. In turn more journalists picked up on the story and published it. The result was a viral explosion in traffic which meant many people bought advertising space and it is fair to say the site has been highly successful.

So is this the new advertising medium of the internet? I am afraid this author doesn’t believe so. Once the hype starts to die down, and the story is no longer new, the press will begin to publish fewer articles on it, and less people will visit the site. This in turn will lead to even fewer articles being published in the worlds press, leading to even fewer visitors. This cycle will continue and what originally made this website successful (viral marketing) will ultimately lead to its death.

What can internet marketers learn from this? The best way to promote any new internet venture is to make an interesting story about it, submit articles and press releases, and if the story is good enough, watch the viral explosion in visitors.

Of course for long term growth the new site or service has to be good enough to provide value to visitors, and not just a fad that captures people’s short term interest. I wish Alex Tew all the best, but I think he too will accept that this is not a long term business that can go anywhere from here.