Here are seven coaching tips for creating effective blogs that will generate income:
Focus on a narrow niche....one whose audience has a predilection for high-margin products. That will appeal to advertisers.
Set up your blog so each post gets its own permanent URL/permalink and heading. Write descriptive, keyword-heavy headings and be sure the homepage and all archives have links on every page.
Think of your blog as a database. Archives posts that are easy to find through Google and Technorati and cite authors and publications by name. Use tags, categories and keywords consistently.
Blog frequently and regularly. If possible, blog at least five or six posts per week before lunchtime when many readers take a break from work and check out the blogosphere.
Use striking images in your posts. They liven up the page and attract readers...and...if you use captions, you'll gain additional traffic by search engines.
Enable comments and interact with readers; cultivate your audience---that's what advertisers will be paying you for.
Make friends with other bloggers, online and off. Link to their posts, and they'll return the favor. Other blogs may well send you most of your traffic.
Source: Saheli S.R. Datta, Business 2.0, September 2006