Affiliate Marketing A New Concept
Affiliate marketing is a new concept for many people. It is not new in business, but we used different terms for the same process in the past. We usually said commission sales.
Today, many more people are involved in sales, and many more companies have affiliate programs to market their products. Affiliate programs are fast replacing more conventional forms of marketing.
It has only been about 26 years at the time of this writing that internet marketing took off. WorldProfits is one of the few companies still around that started back then. They have developed and grew with the many changes in affiliate marketing. They have helped many thousands start online businesses.
Affiliate marketing is, in fact, so simple that it is a perfect place for the beginner. A person can now create a business selling other people’s products and start earning money quickly.
Can earning money online really be that simple?
The simplest way to explain it is that it is essentially sales. You are selling something you did not make. You are a little like the door-to-door salesmen who come around to sell you broadband. The big difference is you do not make most affiliate sales in person.
The internet is your door, and this is a door that gives you access to almost everyone today. About 80% of your sales will be on cell phones.
How to succeed at affiliate marketing
Affiliate marketing offers you an open door to almost everyone on the planet. All you have to do is pick a product or products in the niche of your interest. Then you drive traffic to your offer page.
It is sales, but without having to go door to door. The other difference here is that the commission scheme is going to be positively different. Regular salespeople will generally get a small cut of whatever they sell: perhaps 5-10%. With affiliate marketing, you can get as much as 70-80% of the proceeds.
That’s right: especially with digital products, you actually may earn more than the product creator!
High commissions are what makes affiliate marketing so hugely appealing. You can start earning just as though you were selling a product you created, but without having to invest lots of money to create something from scratch.
What’s more, because you’ll be selling a product already out there, you can choose something already selling in significant numbers. When you create your product to sell, there is always a small risk that you’ll build something that no one wants. When you market something that is highly popular, that becomes much less likely! You can find a more detailed guide HERE.
Another massive benefit of affiliate marketing is just how scalable it is. If you create a single web page selling the merits of an affiliate product, then you can start profiting from it within hours. In that case, then, what is to stop you from making another page to sell another product? And another page to market another product?
So, let’s get a little more technical, shall we? How precisely does affiliate marketing work, and why would a creator ever be happy to give away so much of their profits?
So why is affiliate marketing so good?
First, let’s consider the type of content you are going to be selling. To many marketers, affiliate products will be digital products. There are plenty of options, which we will explore in future articles. But for now, we will focus on digital products. That means things like eBooks, online courses, and marketing tools.
Digital products are immediately the right choice for selling online because they have zero overhead and no ‘COGs’ (this is a business term meaning ‘Cost Of Goods Sold.’ That means that the creator doesn’t have to pay out for each sale. Instead, they make a profit and share that profit. It also means they never had to invest large amounts of money upfront and don’t have to handle the delivery.
So, the creator likely made this digital product themselves using Word or a camera, or perhaps they outsourced the creation to someone else. Either way, they will have built this ebook or course intending to sell it for profit.
The creator will find out if it sells well
The creator will probably have begun selling the product from their website or a random page online. They drive as much traffic as possible to their website or page to encourage people to buy from them. The sales they generate will give them a passive income stream.
But there is only so much promotion that one person can do, and personal sales will peak. That is when a creator starts looking for affiliates to help them promote their products.
The product creator is thus willing to offer affiliates 50% to 70% because they want to incentivize us to sell their products. It is a way to expand their sales even though at a smaller profit.
While the creator will only make 30% to 50% on their sales but may earn more, they could get on their own. They earn less per sale; however, without affiliates, they would have made nothing extra. And if that seller can attract thousands of people to their books with a legion of online marketers, they’ll be making gigantic profits and much more than they could on their own.
In short, this is a win/win situation. The creator gets a thousand more sales by encouraging marketers to work with him, and affiliates get to sell a product as though it were their own and keep most of the profits! Affiliates may make less per sale than they would form their eBook or course, but they don’t lose the time and money developing one and taking that considerable gamble.
This is how it is done
Notice at the beginning of this article when I introduced you to WorldProfit that it is blue. That means that it is a link to the site. When you click on it, it will take you to a signup page. Fill it out and you will become an associate member under me as your sponsor. If you purchase anything, I will receive a commission. It is that simple.
Specifically, the way this process works is via ‘affiliate links,’ which work via cookies.
When you find an affiliate product you want to promote, they will give you an affiliate link, and this is what you need to include on your sales page and in your blog posts. What turns the WolrdProfit blue is the link that is attached to it.
When prospects click on your affiliate link, the link will take them to another page on the web. Here, a cookie will be stored on their computer, identifying them as having come from you. When they buy something from that link, they will be recorded as ‘one of yours,’ Then the owner will add a commission to your total for you to withdraw in the future.
Affiliate Marketing is best For Beginners because it is so simple to get started. You don’t have to know a lot and you can learn as you build your own business. It does not cost you a lot of money, and you can learn as you go.
You are dealing with real people, and you need to treat them nice and build long-term relationships.
A word of caution, Do not sell a product that you have not checked out or own yourself. You can ruin your reputation and lose followers.
For you, it’s simple: promote the product and provide the link. That’s all there is to it!
If possible only promote products that allow you to build your own email list. This is your money in the bank.