If it Sounds too good to be true, It might NOT be a scam!

Is this a SCAM or what? - FREE iPod... FREE Plasma TV... FREE Laptop Computer... FREE Digital Camera?

I get junk email offering me this crap all the time. I immediately delete them because if it sounds too good to be true, it probably is. Right? That's what I use to believe. Then one day my friend Gus, showed me his new computer system. A brand new Compaq computer, color monitor and color printer.

"Guess how much it cost?" he asks me. Since I use to sell computers for a living, I had a pretty good guesstimate of what it should cost. "It's about $1,000 bucks for everything" I said.

"Nope, I got it FREE". "Cut the bull. Do I look stupid?". "Did you steal it or was it a gift?He said that he completed the requirements from an ad that advertised that they would send you a FREE Computer.

I said. "Those things are all scams. Nobody gives away FREE computers". He tells me that some of those offers probably are scams but there are also some legitimate offers.

"No company can make money giving away FREE electronic equipment. Wouldn't they would go broke giving away FREE stuff?" He says "Do you remember when Google first started?" "Sure" I said. "How much did they charge to use their service, when they started?" "They didn't charge anything". "How much do they charge now?" he asks. "They still don't charge".

"So it's FREE" he says. Yet they have grown to be one of the most profitable companies in the entire world. "Yea, but they are not giving away FREE expensive electronic equipment" I countered.

Gus looks me straight in the eye and asks "How do they make their money?" "They sell advertising. Google Adsense and Adwords".

"Ah, ADVERTISING" he says. "Advertising has made them one of the most profitable companies In history. While it may be contrary to what you've always been told - if it sounds too good to be true it probably is - there really are legitimate promotions that do offer consumers the opportunity to "earn" all types of expensive gifts for FREE".

To get this FREE Stuff, you have to do something so that you are actually working and "earning" your Freebie - but you do get the item.

"There are things a person needs to do to get them, but when you do, you get the item. This type of advertising is known as incentive marketing and has spawned an entire cottage industry of people earning free products.

The way it works is that (unknown to you) the sites offering FREE Stuff make their money from Advertising.

As part of their promotions they introduce consumers to various advertisers' products and services, and in return they are paid a commission for each new "lead" they generate.

For example, they might earn $50 each time they refer a new user to AOL even though the user only signed up for a free trial and didn't pay anything at all.

You may have to sign up for a bunch of "Free Trial" memberships or refer a certain number of people who sign up for the "Free Trial" memberships. Oftentimes the user who is trying to earn a FREE gift gives up for one reason or another before getting the required number of referrals. In this case the company collects some commissions and doesn't have to send the user anything, so it's pure profit.

The company gets PAID by other compaines for generating leads. This is how they make their money. They can afford to give away Free products and still make a handsome profit for themselves. Some of them actually make quite a bit of profit. Just ask the guys from Google.
About the Author

Carl Willoughby has worked as a Computer Programmer for the New England Telephone Company, and a Computer Sales Consultant for SEARS. To learn "How to get Free Stuff" go to his blog: http://www.StudentLoanDebtConsolidationSite.com