Affiliate Revenue Information

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Affiliate Programs... A Not THAT Easy Start To Your Own Online Business



AliExpress by Alibaba.com


"Where is all the help I'm supposed to get. I have been buying ezine and classified ad builders and signing up for Echecks and Virtual credit cards. In the meantime I have no business and no ads set up. When does all this happen? Let's go here. I spent all day on this. I'm running out of time."

I kid you not, this is the sum total of an actual email that hit my inbox this week. Not only did I not know this person from Adam, this was the first and only email I had ever received from her and to this day, I have no idea what she's talking about. Presumably, she signed up for one of the affiliate programs I promote from my site and was asking, in her own inimitable style, for my help. Although I am always ready and willing to help anyone I can, this is most definitely NOT the way to go about asking for it. Needless to say, I let her know what I thought of her approach in NO uncertain terms.

The attitude displayed in this person's email to me (and she is by no means an isolated example) exemplifies why so many people fail to make a success of their online businesses. Leaving aside the utter rudeness of the approach, notice the impatience, the expectation to be up and running in a day, the HURRY, the apparent belief that real world principles such as courtesy and good manners don't apply online (they do). Think this person is going to last the distance? What kinds of tactics do you think she is capable of resorting to in pursuit of the almighty dollar?

So, let's take a realistic look at affiliate programs, what they can and can't do for your business and how to maximize your chances of creating a successful, long-term business with them.

WHAT IS AN AFFILIATE PROGRAM?

An affiliate program (also known as a reseller, associate, referral or partnership program) is essentially a revenue-sharing arrangement whereby you, the affiliate, receive payment from the owner of a product or service that you promote on their behalf.

Affiliate programs are an excellent way for the new internet entrepreneur to start an online business.

TYPES OF AFFILIATE PROGRAMS

There are various types of affiliate programs.

The most simple involves you, the affiliate, placing a banner ad, graphic or text link at your site which is linked to the site of the business you are promoting. This link is coded with your unique affiliate ID so that the site visitor is recorded at the target site as having originated from your site, thereby allowing you to be credited with the sale.

Payment is generally a fixed percentage of the sale value (commission) or "pay per click", where the affiliate is paid a certain amount for every time a site visitor clicks on the link at the affiliate's site, whether or not a sale is made.

The more sophisticated affiliate programs are multi-tier and allow the affiliate to earn commissions not only on the traffic they directly refer to the target site but also a proportion of sales generated by their sub-affiliates.

BENEFITS OF AFFILIATE PROGRAMS

The greatest benefit of affiliate programs is that when you are just starting out in your own online business you don't have to worry about creating your own product or service. You just promote someone else's and get a share of the revenue pie for your efforts.

You also don't have to concern yourself with warehousing, transport or logistics headaches. All of this is handled by the business whose products/services you are promoting. All you need concentrate on is driving traffic to that business's website. This means that a high proportion of your revenue is profit.

The owner of the product/service is also responsible for collecting payment, customer service and the myriad other details that come up on a day to day basis in running the business.

DISADVANTAGES OF AFFILIATE PROGRAMS

The main and obvious disadvantage of affiliate programs is that it is the owner of the product/service who earns the lion's share of the profit on the sale.

You're working on commission. You will NEVER earn by way of affiliate program commissions as much as you can earn by way of profits from producing and selling your own product/service.

As a result, affiliate programs represent a high opportunity cost when you consider what you could earn if you instead channeled the time and energy you spend on promoting affiliate programs into creating and promoting your own product/service.

For this reason, it does not make sound business sense to rely solely on affiliate program income for the longer term growth of your business.

Instead, think of them as a way of dipping your toe in the water when you're first getting started, and a nice little sideline once you've created your own product/service. Do NOT build your business around affiliate programs with the intention this will always be the backbone of your business. You'll be stunting your own growth if you do.

CHOOSING THE RIGHT AFFILIATE PROGRAMS FOR YOUR BUSINESS

So, keeping in mind what affiliate programs can and can't do for your business, let's turn to what you should look for when choosing an affiliate program or programs to promote in your business.

=> Synergistic Products/Services

First off, and this is a cardinal rule, only promote those programs which will allow you to create synergies with your site. This means selecting programs that naturally complement the subject matter of your site and that will therefore be of interest and relevance to your site visitors. This will ensure your prospects (ie your site visitors) are pre-qualified which will result in a relatively higher conversion ratio (the ratio of visitors to purchases) than would be the case if your traffic is untargeted (which will be the case if you promote unrelated products and services from your site.)

=> Quality In All Things

Keeping the need for synergy uppermost in mind, look for quality programs first and foremost. The last thing you want to waste your time, money and reputation on is a shoddy product or service. There are just too many quality programs out there to settle for anything less.

=< Stability of Company

Look for a company that's been around for a while and that's reputable and stable (both financially and in its management). Any reputable company will have full contact details readily available so do your research.

=> References

Look for testimonials and references from other affiliates. If the company you're interested is not forthcoming when it comes to putting you in touch with other affiliates, move on.

=> Affiliate Agreement

Look for a professional, considered and detailed affiliate agreement (contract). This shows that the company is serious about its business.

Watch out for exclusivity clauses and other restraints. Some affiliate agreements will require that you not promote competing businesses' products and services. This is not to say you should avoid such agreements. As a general rule, it is your interests not to promote competing programs anyway. Just be aware of what the agreement says on the subject to avoid getting yourself into hot water.

Look also for an agreement that treats spammers harshly. This protects not only the company but other affiliates as well. The last thing you or any other reputable affiliate needs is to have your reputation and the reputation of the product/service you are promoting besmirched by these sorts of tactics.

=> High Commissions

Promoting someone else's affiliate program necessarily requires that you divert traffic away from your site and towards someone else's. Make sure you're properly compensated with a high commission structure. And be sure to set up your link so that when the visitor clicks on it, a new browser window is opened for the target site. This at least keeps your site in front of the visitor so they can go back to your site once they've finished at the site your link has taken them to.

=> Lifetime Commissions

Look for affiliate programs that will credit you with not only THIS sale but all other sales the customer may make in the future. Many programs are set up so that the customer is identified as "yours" so that when the customer returns to the target site in three months time, the sale is recorded as having been generated by you.

=> Residual Commissions

Include programs that offer residual commissions in your portfolio. Good examples are webhosting services, autoresponder services and the like where customers sign up for a continuous service that requires periodic, regular payments. You receive periodic, regular commissions as a result.

=> Tracking of Commissions

Look for programs that allow you real-time access to your stats so you can keep easy track of your commissions.

=> Reliability of Payment

When checking with affiliate references, find out what the business's record is on paying out commissions. If they're slow or there appears to be a pattern of problems, keep looking.

=> Frequency of Payment

Make a note of payment schedules too. Some programs pay weekly, some monthly, some quarterly. Some only pay once you accumulate commissions of a certain amount. None of these arrangements are necessarily good or bad in and of themselves. Just be sure you know what to expect.

=> Programs that Require Payment Up Front

Two words: MOVE ON!

=> Affiliate Support

Finally, take a look at what support the business offers its affiliates to make sales. Do they provide resources such as sample ads, banners, logos and the like? Do they provide useful advice about maximizing your sales? A good affiliate program provides affiliates with a LOT of support in these areas.

MAKING MONEY FROM AFFILIATE PROGRAMS

OK, now you know what to look for in an affiliate program. Here's how to maximize your sales of those products and services and, therefore, your commissions:

=> Get Your Own Website

No ifs, no buts. DON'T rely on the you-beaut self-replicated job the company provides all its affiliates. Link to that site from your main site.

=> Get Your Own Domain Name

This presents a much more professional image. Many people won't give the time of day to a business that thinks so little of its prospects that the owner won't shell out 70 bucks for a domain name. So mean business and look like it.

=> Get Traffic To Your Site (Duh!)

As a rough guide, you will need at least 500 targeted unique visitors a day to your site to make reasonable money from affiliate programs.

=> You Must Have A Site That Will Attract Repeat Visitors

If your website is nothing more than a splash page consisting of little else other than banners for umpteen different affiliate programs, forget it. Your site must be worthy of your visitor's time and interest before you can even begin to think about converting that visitor into a paying customer. So create a real site with real content that will keep them coming back for more.

=> Personal Testimonials

A personal testimonial will result in more sales than a mere link or advertisement. So take the time and trouble to write a personal endorsement of the product or service you are promoting. And, of course, it goes without saying that in order to write a personal endorsement, you must know that of which you speak. NEVER promote a program you haven't first purchased yourself. If you don't think enough of your program to invest in it, how do you expect to persuade others to?

=> Promote With Your Sig File

Include a link to your site in the signature of every email you send.

=> Promote In Your Own Ezine

Finally, if you're not already publishing your own ezine or newsletter to stay in touch with your site visitors, start. It's a great way to promote not only your site but also the affiliate programs you promote from your site.

MAKING SERIOUS MONEY FROM AFFILIATE PROGRAMS

The only way of making SERIOUS money from affiliate programs is by creating your own product or service and recruiting affiliates to sell for YOU.

The affiliate program phenomenon is one of the Internet's true success stories. It provides a toe-hold for the would-be internet entrepreneur to begin a real, live business of his or her very own. But the real beauty of affiliate programs lies not in what they can do for you, as an affiliate, but what they can do for you, as a recruiter of affiliates for your own program. By all means jump on the bandwagon and start promoting other people's products to get your start. But don't wait too long to start developing your own product line. There is a ready-made salesforce numbering in the millions ready and waiting to sell it for you.

About The Author

Elena Fawkner is editor of the award-winning A Home-Based Business Online ... practical home business ideas, resources and strategies for the work-from-home entrepreneur.

http://www.fawkner.com/subscribe.html

AliExpress by Alibaba.com


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Cegedim: H1 2019 Earnings Paris Stock Exchange:CGM  GlobeNewswire

PRESS RELEASE. First-half financial information at June 30, 2019. IFRS – Regulated information – Audited. Cegedim: Revenues and profit margin improved in ...


Streaming video wars are giving publishers an affiliate fee bump - Digiday
Streaming video wars are giving publishers an affiliate fee bump  Digiday

The battle of streaming video has only just begun, but publishers are cashing in thanks to affiliate links. Over the past year, as consumer interest in streaming ...


Viacom affirms affiliate revenue guidance in wake of AT&T deal, shares surge - MarketWatch
Viacom affirms affiliate revenue guidance in wake of AT&T deal, shares surge  MarketWatch

Shares of Viacom Inc. soared 9.5% in midday trade Tuesday, after the media affirmed its outlook, in the wake of the carriage agreement with AT&T Inc. ....


Cañon City to begin soliciting developers for former Constantino’s property - Canon City Daily Record
Cañon City to begin soliciting developers for former Constantino’s property  Canon City Daily Record

Final clean-up of the former Constantino's property is nearing completion and the city soon will be soliciting developers for the site that is one of the ...


7 Soothing Under Eye Serums To Stay Gorgeous - NDTV
7 Soothing Under Eye Serums To Stay Gorgeous  NDTV

Stay gorgeous with these nourishing under eye serums.


Retail Briefing: Retailers are trying to loosen Amazon’s grip on affiliate revenue - Digiday
Retail Briefing: Retailers are trying to loosen Amazon’s grip on affiliate revenue  Digiday

As customer acquisition costs through Facebook and Google rise, retailers are turning to publishers for help. Affiliate partnerships with publishers is becoming ...


Expert Tips on Inventory Control to Maximise Revenue - By Joe Ellingham - Hotel News Resource
Expert Tips on Inventory Control to Maximise Revenue - By Joe Ellingham  Hotel News Resource

Article - Expert Tips on Inventory Control to Maximise Revenue - By Joe Ellingham - Taking control of inventory is critical to your hotel's success, and hoteliers ...


Better Collective Acquires mybettingsites.co.uk - FinSMEs
Better Collective Acquires mybettingsites.co.uk  FinSMEs

Better Collective, a developer of digital platforms for bookmaker information, iGaming communities, and betting tips, completed an acquisition of the shares of the ...


How companies can subsidize project costs with the New Markets Tax Credit Program - Nashville Business Journal
How companies can subsidize project costs with the New Markets Tax Credit Program  Nashville Business Journal

By now most Tennesseans have at least heard of the New Markets Tax Credit (NMTC) Program. On May 23, the Community Development Financial Institutions ...


MiBiz Growth Report: September 14, 2019 - MiBiz: West Michigan Business News
MiBiz Growth Report: September 14, 2019  MiBiz: West Michigan Business News

Grand Rapids-based Founders Brewing Co. is selling a majority stake in the business to an affiliate of Madrid-based Mahou-San Miguel Group. Under the deal ...


CBS Revenue Boosted By Political Advertising, Affiliate Revenue Rises 02/15/2019 - MediaPost Communications
CBS Revenue Boosted By Political Advertising, Affiliate Revenue Rises 02/15/2019  MediaPost Communications

Boosted by higher political advertising at its local TV stations and improved affiliate and subscription fee revenues -- partly from streaming services -- CBS Corp.


Amazon Prime Day’s Weird Symbiosis With Journalism - Slate
Amazon Prime Day’s Weird Symbiosis With Journalism  Slate

The former editor in chief of Wirecutter explains how it's done.


5 Effective Ways to Motivate Your Marketing Team - Search Engine Journal
5 Effective Ways to Motivate Your Marketing Team  Search Engine Journal

Keeping your digital marketing team motivated is key to both their success and your own. Follow these tips to ensure your team stays engaged and inspired.


Viacom Tops Q2 Earnings Estimate Even as Ad and Affiliate Revenues Decline - TheStreet.com
Viacom Tops Q2 Earnings Estimate Even as Ad and Affiliate Revenues Decline  TheStreet.com

Viacom posted stronger-than-expected second quarter earnings Friday, but missed revenue forecasts as ad sales for the Comedy Central and MTV owner ...


Publishers say affiliates generate more revenue than other types of marketing - ZDNet
Publishers say affiliates generate more revenue than other types of marketing  ZDNet

A recent survey points to a bright future for affiliate marketing and social engagement.


The Best Prepaid Mobile Plans For Those Who Chew Through Data Like A Beast - Pedestrian TV
The Best Prepaid Mobile Plans For Those Who Chew Through Data Like A Beast  Pedestrian TV

Good luck getting through these mammoth plans, folks.


How to Build a Reliable (and Profitable) Affiliate Network From Scratch - Entrepreneur
How to Build a Reliable (and Profitable) Affiliate Network From Scratch  Entrepreneur

According to industry expectations, by the year 2020, total spending on affiliate marketing will reach $6.8 billion, according to a recent article in Inc. Despite the ...


Domestic Advertising and Distribution Gains Drive Discovery Q1 Earnings - Variety
Domestic Advertising and Distribution Gains Drive Discovery Q1 Earnings  Variety

Discovery Inc. delivered domestic advertising and distribution growth in the first quarter even as international revenue dropped.


BuzzFeed looks to bring more advertisers to its commerce business - Digiday
BuzzFeed looks to bring more advertisers to its commerce business  Digiday

BuzzFeed did $50 million in sales from deals combining ads and commerce. This year, the publisher wants more.


Amazon oneTag – Using it to Earn More Affiliate Revenue? - Search Engine Journal
Amazon oneTag – Using it to Earn More Affiliate Revenue?  Search Engine Journal

While not new, Amazon's oneTag is worth looking into if you are an Amazon affiliate publisher.


Amazon just provided a nice little reminder of why it's risky to build a journalism business on affiliate fees - Nieman Journalism Lab at Harvard
Amazon just provided a nice little reminder of why it's risky to build a journalism business on affiliate fees  Nieman Journalism Lab at Harvard

Amazon is a powerful partner, but as book publishers have learned, it can also be a fickle one.


Why affiliate marketing managers should change their title—and mindset - DigitalCommerce360
Why affiliate marketing managers should change their title—and mindset  DigitalCommerce360

For affiliate marketing programs and managers to truly make a difference, they must move away from the old-school idea of an “affiliate” to the big-picture ...


Fox Corp. Beats Wall Street Q4 Estimates In First Full Quarter As Stand-Alone Entity - Deadline
Fox Corp. Beats Wall Street Q4 Estimates In First Full Quarter As Stand-Alone Entity  Deadline

Fox Corp. beat Wall Street estimates in its first full quarter as a stand-alone company thanks to affiliate revenue and digital licensing.


Disney earnings decrease in second quarter but top Wall Street estimates - Los Angeles Times
Disney earnings decrease in second quarter but top Wall Street estimates  Los Angeles Times

Walt Disney Co.'s earnings topped Wall Street estimates for the fiscal second quarter, according to numbers released Wednesday, despite a 13% dip in profit ...


8 Reasons Why Small Businesses Should Use Affiliate Marketing - Business.com
8 Reasons Why Small Businesses Should Use Affiliate Marketing  Business.com

Marketing is no longer what you say to your customers, it's what your customers say to one another about your small business.


Top 10 Affiliate Programs to Increase Your Revenue in 2018 - Business 2 Community
Top 10 Affiliate Programs to Increase Your Revenue in 2018  Business 2 Community

If you're either in the business of e-commerce or lead generation and you're not taking advantage of affiliate marketing, you're missing out on one of the best ...


Ad Network Software Market Report explores 2019 Top Global Players : AdSupply, CJ Affiliate, MaxBounty, Switch - Honest Version
Ad Network Software Market Report explores 2019 Top Global Players : AdSupply, CJ Affiliate, MaxBounty, Switch  Honest Version

This report on Global Ad Network Software Market details about the market size, market growth rate and global forecast for the next five years i.e. 2024.


First Trust Energy Infrastructure Fund Declares its Monthly Common Share Distribution of $0.11 Per Share for October - Business Wire
First Trust Energy Infrastructure Fund Declares its Monthly Common Share Distribution of $0.11 Per Share for October  Business Wire

WHEATON, Ill.--(BUSINESS WIRE)--First Trust Energy Infrastructure Fund (the "Fund") (NYSE: FIF) has declared the Fund's regularly scheduled monthly ...


Partnerize Recognized with the Pinnacle Award for Best Affiliate Marketing Innovation - GlobeNewswire
Partnerize Recognized with the Pinnacle Award for Best Affiliate Marketing Innovation  GlobeNewswire

SAN FRANCISCO, Aug. 14, 2019 (GLOBE NEWSWIRE) -- Partnerize, a leading partner automation solution for global brands, today announced that its platform ...


Critical Analysis: NexPoint Residential Trust (NYSE:NXRT) and MFA FINL INC/SH (NYSE:MFA) - TechNewsObserver
Critical Analysis: NexPoint Residential Trust (NYSE:NXRT) and MFA FINL INC/SH (NYSE:MFA)  TechNewsObserver

NexPoint Residential Trust (NYSE:NXRT) and MFA FINL INC/SH (NYSE:MFA) are both finance companies, but which is the better business? We will compare ...


Partnerize Wins Digiday Technology Award for Affiliate Marketing - Yahoo Finance
Partnerize Wins Digiday Technology Award for Affiliate Marketing  Yahoo Finance

Partnerize Partner Automation Platform honored as the best affiliate platform for advertisers or publishers looking to drive their affiliate revenues.


How Wired's Multiplatform Strategy Is Increasing Engagement and Revenue - Folio: - Folio Magazine
How Wired's Multiplatform Strategy Is Increasing Engagement and Revenue - Folio:  Folio Magazine

To grow beyond its core channels, the Condé Nast brand is leveraging its best asset: *content*.


Cars.com Reports Fourth Quarter and Full Year 2018 Results - Cars.com News
Cars.com Reports Fourth Quarter and Full Year 2018 Results  Cars.com News

Cars.com Inc. (NYSE: CARS) (“Cars.com” or the “Company”), a leading digital automotive marketplace, today released its financial results for the fourth quarter ...


Skimlinks launches automated affiliate links for AMP - MarTech Today
Skimlinks launches automated affiliate links for AMP  MarTech Today

London-based affiliate marketing network Skimlinks is out with what it says is the first automated affiliate link platform for AMP. AMP, or Accelerated Mobile ...


Why Have a Holding Company? - Lexology
Why Have a Holding Company?  Lexology

One of the “issues du jure” for the bank and thrift industry involves the benefit, or possibly lack thereof, of having a holding company…


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