Have you ever watched television where all the shows are advertisements, or seen magazines that page after page only displays advertisements? Who is the person who first thought about it? Alex Tew’s answer, he was the person who first discovered this idea.
He created a site that specifically contained advertisements whose patterns were followed by several television and magazines. Alex Tew’s brilliant idea was a success because his site, named milliondollarhomepage.com, generated advertising revenue in excess of 1 million US dollars. The amount of revenue he achieved by selling pixel image space for each ad published on his website.
Alex Tew was born in England in 1984. He grew up in Cricklade, Wiltshire, England in a family with a modest economic level. In his third year studying at the University of Nottingham Business Management major, Alex Tew was confused about the cost of continuing his education. In addition, he also continues to be overshadowed by the “nightmare” that after college later, for years he had to return the cost of education, which came from loans.
Until one day on August 26, 2005, when Alex Tew was still 21 years old, he decided to release a site that specifically contained advertisements. Alex Tew’s site, named milltondollarhomepage.com, has an image space of 1 million pixels. He then sells every pixel of image space on his site to those who want to advertise.
Alex was smart, before he sold it, he had thought about determining the right currency to sell quickly. Alex thinks that the United States dollar (US) is more famous and is often used for transactions than the British Pound. Especially with the pound exchange rate that is more expensive than the US dollar, Alex believes his pixel sales will run less effectively if he sells in his own country’s currency.
After that, Alex divides 1 million pixels on million dollarhomepage.com into several sections, each measuring 10 x 10 pixels. Next, he sells every 1 pixel at a price of US $ 1. Based on these calculations, then for each ad the size of 10 x 10 pixels, he will pocket 100 US dollars.
Alex Tew doesn’t just think about how to make the most profit, he also thinks about how to give satisfaction to the buyers of advertising space on his site. For this reason, he designed the site not only as a place to display advertisements. Each ad posted on the site is given a link that is connected directly to the advertiser’s main site. So, every internet user who clicks (visits) certain advertisements on his site, they will also be invited to enter the advertiser’s company site. Alex did not forget to implement a strategy of building the trust of clients who put advertisements on his site, he told all companies that have advertised, that his site will remain online for the most time for five years.
Alex promoted his site, milliondollarhomepage.com, very vigorously. Just released three days, milliondollarhomepage.com got its first consumer, an online music site run by one of Alex’s friends. Alex’s friend bought 400 pixel of advertising space, Alex also received an initial income of 400 US dollars.
A good start does not always guarantee the smooth running of the advertising business site Alex. Pixel sales are slow because there are more marketing methods by promoting word of mouth. Facing this condition Alex didn’t break, he kept trying to sell the pixel. The site gradually began to attract some companies to advertise. Slow but sure, the pixels are starting to sell a lot.
After pixel sales reached one thousand US dollars in just over a month, an unexpected gift approached Alex. BBC television and radio stations cover the business run by Alex Tew. Shortly after, precisely at the end of September 2005, a technology news site called The Register ran two articles about Million Dollar Homepage, Alex’s advertising site. With the site covered by several media, Alex is equally helped to advertise “free”.
“Free advertising” from several media for Alex’s website makes selling pixels even faster. In fact, the pixel sales in September 2005 were closed with revenues reaching 250 thousand US Dollars. During that period, milliondollarhomepage.com was ranked 3rd in the Alexa statistical record (a site that displays the ranking of sites that were visited most) for the Mover and Shaker category.
A month after the Million Dollar Homepage advertising site profile was published by the media, precisely on October 6, 2005, Alex’s site had received 65 thousand members, with the number of other sites that had linked to its links reaching 1,465 sites. On October 11, 2005, members of the site continued to surge to reach more than 100,000 people. The more famous Alex’s site is directly proportional to the sales of pixels. On October 26, 2005, or two months after its launch, the Million Dollar Homepage was able to sell more than 500,900 pixels to 1,400 consumers.
The climax at the end of December 2005, to coincide with New Year’s Eve celebrations, Million Dollar Homepage was able to sell its 999 thousand pixels, and ranked 127th in Alexa statistics for the total of all the most visited sites. For the last 1000 pixels, Alex auctioned it for anyone who dared to pay the highest price. The winner of the auction and the last buyer of the pixel is MillionDollarWeightLoss.com, an online store that sells products for the diet. They managed to win with an offer of 38,100 US dollars.
Million Dollar Homepage has printed gross income reaching 1,037,100 US dollars in just five months. After deducting tax fees and some donations to charities, Alex Tew received a net income of around 650 thousand – 700 thousand US dollars from this brilliant business.
Some companies that put their advertisements on the Million Dollar Homepage include; Bonanza Gift Shop, Panda Software, Wal-Mart, The High Cost of Low Prices, British School Karting Championship, Book of Cool, Orange, The Times, Cheapflightcom, Schiffer Publishing, Rhapsody, Tenacious D, GoldenPalace.com, 888.com, Independiente Records, Yahoo !, as well as several dating sites and design sites.
Until that phenomenal Million Dollar Homepage, a lot of media in the UK has covered it. They include; BBC Online, The Register, The Daily Telegraph, PC Pro, Sky News Sunrise and BBC Breakfast. A number of media outside the UK did not miss the news, including Financial Times Deutschland (Germany), TVNZ (New Zealand), Terra Networks (Latin America), China Daily (China), Adweek (US), Florida Today (US), Wall Street Journal (US), ABC News Radio (US), and Fox News Channel (US).
Who would have thought, the business that was originally run by Alex Tew only to pay for his tuition, has now turned into a “money machine.” In fact, the business has made Alex Tew one of the richest young entrepreneurs in the world. widely imitated by other websites.