Affiliate Programs
An Affiliate Program is an Internet marketing strategy that makes web site owners money
by referring business to selected companies and getting paid a percentage of the sale.
Eg. Amazon.com attracts affiliates to place links to books for sale on Amazon.com, on their
persomal websites,offering them a percentage of the profits if someone clicks on the link
and then purchases books or other items.
As an affiliate you help make the sale, but Amazon.com does everything else:
They take the order, collect the money and ship the book to the customer.
If you have a Web site with information people are looking for, you can make money
by placing links on your site leading to to sales pages provided by the companies that you want to make money with with.
Here are some key things you would want to consider before choosing an affiliate program
How long have they been around?
If the company has been around for 10 years and another has been around for 30,
there's no hard and fast rule that says the 30 year old company has more stability.
Common sense dictates however to do some research.
Reference the company name at the Better Business Bureau, or Atty. General's office
in your state to see if there are any unresolved derogatory statements or complaints.
The results may be surprising, bearing in mind however that companies that have not
been around for a long time may not show as many complaints, but that doesn't
guarantee that they're good companies.
Can it make you meaningful income?.
Start by asking yourself how much effort am I willing to put into this and
what kind of monthly income is meaningful to me for that effort.
This will give you a general idea of what the company you're looking for has to provide you with.
If for instance you have to get thousands of visitors per month to your site in order to make only $5.00,
that may not be a meaningful income to you.
You need to calculate your rate of return.
For example:
If your site gets 1000 visitors per month and 50% of them click to your affiliate links,
if 2% of them actually buy something that means you made 10 sales
(5000 times 50% = 500 times 2% equals 10)
If each sale pays $10.00 you just made $100, however, If each sale paid $100 you would've made $1000.
Is there also offline support?
Many companies have great offline support but very weak online support and vice versa.
The ones with the best offline support generally are multi level marketing or network marketing companies.
This is because most of them started their marketing off line before the Internet was invented
and their transition to online marketing was very slow.
The Internet Marketing Company on the other hand is usually familiar with all the in's and out's of
Internet Marketing or online marketing. They're usually so successful at this that
off line marketing just isn't a priority especially when online marketing it is so efficient.
Is the market large enough?
Whenever product you going to sell you need to make sure that there are enough people around to buy.
Think about it at this, if you asked 10 people at random if they heard about the product and
only one or two said yes, that means your market isn't saturated. There may be very little competition
so you have a lot of room to expand your sales.
Specialized markets like fishing, model car racing, coin collecting, allow you to charge more for products
resulting in higher commissions for you, however, if you're working with in Network Marketing Company
which allows you to leverage your efforts to produce sales, massive results can be produced
even with a very low commission.
It's up to you to find the right combination of commission vs. size of market.
How quickly do you get paid?
Most affiliate programs pay monthly for sales made in the previous month..
There are others that pay weekly or even daily.
Multi level marketing companies mostly pay monthly passive or residual income,
but the're some that pay daily for each sale made.
There are a few online programs that pay you instantly by supplying you
with a replicated web site that sends money to your paypal account every time a sale is made from it..
If you can find a Network Marketing Company that has both online and offline support and pays daily,
that just might be the best of both worlds.
These are only some of the things to consider as a foundation when choosing an affiliate program.
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