List Building – List Based Web Business Model
The list based web business model basically is a web business that is driven by the list element. This is in contrast to any model that is web site or web page driven and utilizes a list in that when it is list based, access to the web site or web pages is basically denied without the visitor opts in to the list.
The business model basically operates like this: on the index or main page to the site, there is a squeeze page rather than a sales page or a traditional entry page.
This squeeze page basically requires any visitor to opt in to the list before they are allowed to visit any of the pages in the site, including all sales pages.
If you have never used this model, it is natural to accumulate or to wonder how this model can actually increase sales, as you are basically barring access to anyone who is not willing to part with their name and email address in exchange for a gift of some kind and access to your website.
One thing to understand is that those visitors who are denied access to your web site due to their referral to give you their name and email address are basically the same individuals who will click out of your web site or sales page without making a purchase. You see, if someone does not trust you enough to give you their name and email address, they generally will not trust you enough to give you their home address and credit card number either. So generally anyone who might have bought from you if they were to have gone directly to your website given the chance, are the same individuals who would give you their name and email address, then go to your web site and make a purchase. So by using a squeeze-page only access to your web site, you are really screening out the people who do not trust you, who do not trust online, and the bulk of people who complain and ask for refunds.