a.k.a. dedicated page exchange, DP
1) A Webmaster sends you text and links for the creation of a new Web page (a dedicated page) on your site.
2) You create the page on your Web site (with your logo and navigation so it looks like your page) but you use the text from your dedicated page partner and you link to his or her Web site (no more than 5 links).
3) You then post a link on your homepage to this dedicated page (which resides internally on your server) and your dedicated page partner does the same with your content on his or her server.
The reason for setting up dedicated pages is to advertise without posting an outbound link anywhere on your site; instead you have another internal link (which search engines such as Google view as positive) especially if the dedicated page has good quality content. In other words, you get one more internal page and your link partner gets the benefit of your page rank.
The motivation behind this concept is that good internal linking maximizes page rank within a site (only if it contains good content and is not a link collection or link farm). Through good internal linking, you as a Webmaster can achieve a stable page rank and not threaten it by too many external links. For example, Google ranks a page more favorably if it contains less than 5 outbound links.
I am often asked about reciprocal linking and page rank and how they relate. Dedicated pages (DP) allow you to exchange links with a site that may have a page rank lower than yours because through DP exchanges, you don't actually hand out any page rank (PR) value from your homepage. Instead, you circulate it within your site. You hand out the PR value from the dedicated page, which does not affect your existing homepage in any way. (The same thing happens to your DP partner.)
In normal link exchanges, on the other hand, when you post a lot of outgoing links on your homepage, you may end up loosing PR. With DP exchanges it doesn't happen because you don't load any of your pages with any outgoing links. Instead, it's as if --from Google's point of view-- you receive 3-5 good PR links (by using your own content with your DP partner). Both exchange partners get the same benefits.
Webmasters: Be sure to read the "more info" article in the page rank definition to understand Page Rank vs. Link Popularity and Linking Tips for BLOGS!
NetLingo Classification: Online Marketing
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