Knowledge Booster - part 4
1) WHY is this product being launched
2) FanBox’s Big Problem
3) Exactly WHAT is this product?
4) HOW does it work?
5) Rules, Tips and Facts
6) How will it help ME?
7) WHEN does it go live?
8) What should I do NEXT?
4) The Knowledge Booster: Exactly HOW does it work?
When you visit your FanBox DashBoard, you'll notice that some things have changed.
You will notice that the orange arrow at the top, says "Boost".
When the product goes live very soon, when you click on "Boost", you'll see a green button that says "Create New Portfolio".
Clicking that button will reveal this page:
Let's walk through the product, step by step.
In the first field, “Portfolio Name”, you enter a name for your portfolio.
It doesn't matter what the name is – it’s for your eyes only and helps you to quickly remember what each portfolio is really about.
You can have as many Portfolios as you like.
The next field says, “How much do you want to boost?”
That’s where you enter your Boost amount. As I mentioned, you can Boost as little as $1, or as much as $100,000.
To Boost, you can top-up your FanBox Bank using PayPal or credit cards.
Similar to Ads, you can use your earnings for Boosts 90 days after the earning month.
The next field says, “How much do you want in return?”
This where YOU can decide what you want your minimum return to be.
OK, this is has got to be one of the most fun parts of this product!
Yes, you read that correctly!
YOU can decide what your minimum return will be!
By entering a dollar amount in this field, you are telling FanBox that you will accept no less than this amount back.
For example, if you entered $100 as your Boost amount, you might enter $150 as your minimum return.
By doing that, you are saying that you would like a return that’s as high as possible -- but in the worst case definitely no less than $150.
By now, I think you’ll agree that this is clearly breakthrough technology that will motivate thousands of people – maybe eventually millions of people -- to Boost their money.
By doing so, Boosters will not only be increasing their own wealth, but will also be helping millions of Knowledge Workers achieve their dreams – by funding Ads that bring visitors and earnings to both Bloggers and Advertisers.
You can also choose to have FanBox control your minimum return requirement for you, by choosing “I want FanBox to control this”. More on that choice later.
You then click the green Continue button to go to the next page.
Your next -- and final -- decision will be about who or what you want to Boost.
(I simply love the simplicity and elegance of this product)!
There will be 2 choices on the final page: Simple, and Advanced.
(I don’t have a picture of that page to show you yet).
By selecting "Simple", you're instructing FanBox's algorithms to decide who or what to invest in for you, based on all the information available to it.
By selecting "Advanced", you'll have the opportunity to get very specific about who and what your Boost helps (other than yourself, of course).
At the time of launch, there will literally be over one billion different combinations of how you can put your money to work as an Investor.
Each combination will have a totally different effect on how much you earn as a result of your Boost, as well as who else ends up benefitting from your Boost.
OK, you're probably already thinking "Thank God for the Simple option"!
There's no doubt in my mind that many of you will start -- and even stick with -- the Simple option.
But I'm also confident that many people will try their hand at the Advanced option.
They'll go with Advanced to ensure that certain people that they care about get the funding they need;
Or, they'll choose Advanced to ensure that the knowledge areas or topics that matter to them get the focus and attention they need to advance;
There’s no doubt that some people will want to help ensure that certain charitable causes get the resources they need to perform their vital functions.
And some will simply believe in a very specific piece of Knowledge (a blog, or even a specific blog post, or even a specific Ad) that they want to get behind.
When they're making these thoughtful considerations and choices about who and what they'll Boost, their decisions will also affect the actual return they receive for their Boost.
By selecting "Advanced", Boosters have the opportunity to fund any specific person, friend or fan; or even ALL their fans or ALL their friends; any blog or blog post; one or more charitable cause; or even any specific Ad -- basically any and all combinations of people or things.
It only takes $1 dollar to get started, so through trial and error, many of you will find your Boosting approach -- and your sweet spot.
Who – or what -- will you fund?
Are you into Islam or Christianity? Tennis or Nanotechnology?
Just name the knowledge area!
YOU are in the driver's seat and will have the controls to instantly drill down and fund an entire category or genre of knowledge and the producers and promoters that are working hard for the advancement of that knowledge base.
You'll also have the power to choose one or more charitable causes, and by doing so, you're Boosting all the Ads that point to all the blogs whose authors chose those causes to receive money when readers visit them.
The choices and combinations are virtually endless.
Clearly, the FanBox engineers wanted to absolutely ensure that Boosters had a "magic wand" and faced no limitations in who and what they could instantly help.
Of course how Boosters make those choices affects how much they make from their Boosts (their “return”).
OK, so let’s go backwards for a moment.
Can Boosters really decide what they want in return for their Boosts?
How can this be?
I mean, what's to stop someone from entering $1 as their Boost amount, and asking for $1,000 in return?
Nothing will stop them from asking for that!
So what's the catch?
Surely allowing people to "rob" the FanBox Community by asking for way too much in return for a small Boost cannot be a long-term solution to anything.
Yes. You are right.
That would make no sense.
Here's the catch:
Not all money Boosted will always be "utilized".
In other words, there may be more money available to Boost, than there are Boosting opportunities.
More specifically, for every Ad that a user clicks on, the FanBox algorithms will look at all the Boosters that have specified that they want to Boost that Ad.
The algorithms will then award the "Boost opportunity" to the Booster that asked for the lowest minimum return.
But does this mean that, at best, an Booster will receive their specified minimum return?
No! That does NOT mean that the Booster that "wins" will end up with "only" the minimum return that they specified.
In fact, Boosters will quite often receive a GREATER return than the minimum they asked for!
Let me illustrate that point with an example:
Lets say that the following people have each chosen to Boost $100 into an Ad that Jenny Lee created:
JoLynn, Zoe, Arlene and May
And let's say that they each chose the following as their minimum return:
Boost Amount Minimum Return
JoLynn $100 $130
Zoe $100 $140
Arlene $100 $150
May $100 $160
The system will first use JoLynn's money, because she requires the lowest return.
Then, it will use Zoe's money.
Then, Arlene’s money.
Now, let's say that, exactly half way through Boosting Arlene’s money, the day ends and that's all the user demand there was for Jenny Lee's Ad.
In other words, all of JoLynn's $100 got utilized and Zoe also had her $100 utilized. Only half of Arlene’s money was utilized. And none of May’s money was utilized.
Since Arlene’s money was the last to be utilized, EVERYONE gets Arlene’s minimum return requirement.
In other words, the final return that JoLynn, Zoe and Arlene end up getting back for their money, will be 150%.
So, for their $100 Boost, JoLynn and Zoe ended up getting $150 back.
Arlene only had $50 utilized, so for that, she realized a return of $75. (That’s 150% of her utilized amount).
And none of May’s money was utilized, so she doesn't get a return, nor was any of her money utilized. (Of course she still has her original $100 in her FanBox Bank).
Does all of this make sense to you? If not, leave me a comment below and I'll do my best to clarify.
By asking for a lower return than the others, JoLynn and Zoe ended up with a higher return than the minimum that they had specified.
And by asking for too high a return, May was left out of the Boosting picture that day.
Not to worry. There's always tomorrow. :)
Maybe tomorrow May’s money will get utilized.
Or maybe May will lower her minimum return requirement to ensure her money is utilized tomorrow.
The possibilities are endless.
(As is the fun).
But one thing is for sure:
Together these Boosters are helping out people that they care about (and might even be helping some well-deserving people that they don't know personally).
And they're also helping their own family -- by setting a minimum Boosting return requirement that exceeds other opportunities available to them – such as the interest rate that from their bank.
What if they’re funding their Boosts with a credit card?
They’ll want to ensure that they’re setting a minimum return requirement that’s greater than the interest rate their credit card is charging them.
Most credit cards don’t charge interest until the bill is overdue (a month or two after the charge is made).
What do the Blogger and Advertiser earn, when a user clicks an Ad, and an Booster is funding the Ad?
The Blogger and Advertiser get paid on top of the Booster's payout and that payout is broken down as follows:
The Advertiser who created the Ad gets 1/3rd of the non-Booster payout.
The Blogger who created the post (that the Ad points to) gets 2/3rd of the non-Booster payout.
Of course, if the Blogger created an Ad for her own post, then she would get the full non-Booster payout.
What is the exact amount of the non-Booster payout?
The non-Booster payout depends on the tags (Search Terms) for the Ad, and the competition for those Search Terms.
Next week, FanBox will be launching a page that shows the top tags (Search Terms) and breakdown of payouts between Bloggers, Advertisers and Boosters.
TO MAXIMIZE YOUR EARNINGS:
The rule of thumb for bloggers (Knowledge Producers) is:
Whenever possible, create an Ad for ALL your own posts.
It literally takes you about a minute to create an Ad, and by doing so, you significantly increase the odds of your making more money on your own posts.
Remember, thanks to the new Booster product and role, you don’t need to fund your own Ads! (If you do, you’ll earn more, but you don’t need to)!
The rule of thumb for advertisers (Knowledge Promoters) is:
Whenever possible, fund your own Ads with as high a daily budget as you can.
Your money will always get utilized before a Booster is allowed to fund your Ad, so you'll always make more money by being first in line to enjoy earnings from your own work.
To protect Bloggers and Advertisers, Boosters are never allowed to fund an Ad where the Ad's creator is actively funding it.
However Boosters can fund the Ad if its daily budget (as set by the Knowledge Promoter) has been hit for the day -- or if the Knowledge Promoter runs out of money.
The rule of thumb for categorizers and raters (Knowledge Qualifiers) is:
Earn as much as possible from your efforts, by:
-- paying very close attention to your work (to maximize your CAR Score), and by
-- categorizing and rating as many posts as possible.
Then, use those Ad credits to fund Ads – it doesn’t matter who owns the blog posts.
The earnings you achieve from those Ads you can cash out, of course…
But now, you can re-Boost your earnings -- by being a Knowledge Booster – to further increase your earnings before you cash them out!
The rule of thumb for Success Coaches and Teachers (Knowledge Educators) is:
Teach all your Clients and Students how to make money by Boosting.
When they make money, you do too!
Teach them well, because the more they earn, the more you earn.
Boosting other people’s money
Do you know people (that are not FanBox members) that would love the opportunity to turn their money into even more money?
1) Create a FanBox account for them and show them how to use it.
2) From their account, visit your profile and click the “Set as Teacher” link below your profile photo.
This link only exists in the first 2 weeks after users sign up. (Learn more about being a Teacher).
3) Show them how to Boost. When they earn, as their Teacher, you earn too!
Of course, if your friends trust you, you can simply Boost their money for them -- from your own account. It’s your choice.
One benefit of doing it that way is that you will climb up the LeaderBoard quickly – because all those Booster earnings (using your friend’s money) will show as YOUR earnings.
Next, let’s discuss the Rules, Tips and Facts.