Affiliate Marketing For Newbies!
An affiliate program could best be described as a channel through which buyers of products and services are connected with sellers.
Your aim as an Affiliate Marketer is to drive traffic to the website of the seller and if a person purchases something you will earn a commission.
Does It Cost Money To Be An Affiliate?
It is invariably the case that you can sign up for free in under a minute to an affiliate program. Once you are signed up you can promote products and services that are managed by that organization. Essentially affiliate programs are a platform upon which product creators can showcase their products.
The commission on sales vary from program to program and it is between 1% – 75% of the sale price. You may be wondering how a seller can afford to give you as an affiliate 75% of the sale price.
The answer is that high commissions are paid on the sale of digital products like computer downloads. The seller has little or no costs attached to the sale. Once an e/book has been created there is little or no expense connected with sending the product to the buyer.
I have for illustrative purposes, selected a Clickbank digital product that sells for $47. This battery renewal product pays affiliates $34.80 per sale on average. You should note the revenue per sale is an approximation that includes upsells, sales tax and chargebacks.
An upsell is a further sale that is made beyond the original sale. It can be the case that as an affiliate that you will receive commission on further sales to a customer that you introduced. A downside to digital products is that you are perhaps more likely lose commissions as a result of customers requesting refunds than is the case for physical products. The image below has been taken from Clickbank’s site.
If you have a stable of websites that promote different products and services, then you have the potential for a very large online income. However, when promoting products and services, you should have long term thinking and only promote quality. You do not want to have your reputation tarnished by promoting shoddy goods that earn you a quick buck.
You made be wondering whether many people buy digital products from organizations like Clickbank. Clickbank have been in existence for nearly 16 years and have had over 100 million sales which is double the number of sales of the latest iPhone.
The Vice President of Marketing at Clickbank has recently announced that Clickbank want to help 1 million people reach their financial online goals.
They are encouraging people to both create and market products through their affiliate program. From an online presentation that I recently watched, I have noted that Clickbank have paid out $2.5 billion ! Yes 2.5 billion dollars to product creators and affiliate marketers. They want to massively increase this figure.
In contrast to this there will be a lower commissions paid on the purchase of physical products like a Telescope. The seller will have the cost of producing the item to consider and as such cannot afford to pay a huge percentage of the sales price to someone who has introduced the buyer.
However, Amazon is popular amongst Affiliate Marketers because Amazon have a huge range of products and have an efficient system for dispatching goods and making payments to affiliates. I have found from personal experience that you get few customers returning goods to Amazon with a request for a refund. I think that a blend of quality digital and physical products is the best combination.
Commissions are invariable paid on a monthly or fortnightly basis. This can be paid to you in the form of a cheque (check) Paypal payment or a transfer into your bank account. You will as part of your affiliate resources get a computerized dashboard that tells you how many people have clicked your links and how many sales you have made. If you would like to join the Amazon Associates Program, then click here to see how I created an account for this site.
Does An Online Affiliate Marketing Business Have Any Advantages Over An Offline Business?
There are many people who are creating a full time business as an Affiliate Marketer. The big advantage of a business like this is that you have very little start up costs, which is very much in contrast to a regular bricks and mortar offline business.
Is Affiliate Marketing Already Overcrowded With Online Marketers?
You may be thinking that the internet is already overcrowded with Affiliate Marketers and that there is no room for you in it. Nothing could be further from the truth. As of December 2013 there were over 2.4 billion people on the Internet world wide. In the United States alone there were over 273 million people on the Internet. The numbers are quite staggering and growing all of the time.
The market place is vast. In addition to this every day huge numbers of new products and services are launched. These organizations need affiliates to help to promote new products and services. As an affiliate you are in essence an independent and vital part of the sales team.
Is Affiliate Marketing Above Board Or An Online Scam?
This all may sound fine and dandy, but is Affiliate Marketing entirely legitimate and above board? Please take a look at a few of the globally known organizations that have affiliate programs. Would organizations like these have affiliate programs if they were not a legitimate way of selling their products and services? The answer is obviously No. This medium of selling is both legitimate and growing.
Amazon , Apple, Best Buy, Barnes & Noble, Clickbank, Enterprise Rent-A-Car, Fila, Geico, Kolhs, Microsoft, Sony and Walmart.
What I think is really brilliant about Affiliate Marketing is that all you need is a website to start your business. This is something that you can build and promote easily at a very little cost from the comfort of your own home.
What Products And Services Would I Promote ?
You provide that information and a link to where they can buy it. They buy the product you get a commission. If you produce high quality information about products and services, people will return to your website in search of information about other similar products.
If you are writing about a product or service you are interested in you can engage with your visitor and be like an internet friend. This is why it is really important to only promote things that you think will serve your website visitors well. They will thank you and return to you for advice on other products.
They are happy you are happy 🙂
Can I Get Easy To Follow Training That Will Show Me How To Build An Affiliate Marketing Business ?
I have enjoyed preparing this affiliate marketing for newbies post. I hope that it has whetted your appetite for more information on how you can from your own home make money from Affiliate Marketing. I have prepared a review of a program that is easy to follow that will enable you to build your Affiliate Marketing business .
If you have any questions on Affiliate Marketing or observations then please leave me a message below and I will get back to you soon.
Owner, Work Wise Ways Online