I love the concept of affiliate marketing. Why? There are several good reasons:
- It makes it possible for you to pursue your passion (for me, finding out ways to make non-job income) and get paid for it.
- Unlike a regular job, with affiliate marketing, the harder you work, the more you get paid. (I know there are caveats to this since you do have the potential for promotion in a regular job, but there correlation between hard work and job promotions is unreliable at best and more based on who you know). The more traffic you generate on your website, the more clicks you get, the more affiliate sales you should receive.
- Like a regular job, with affiliate marketing, who you know improves your chances for success. Networking with other sites improves your search result placement on sites like Google and expands your website exposure so that you affiliate links get clicked on more often, generating more revenue for you.
- With affiliate marketing, you do not sell your own products so there is very little risk to you. You do not have to maintain an inventory, you do not ship any products, and, in fact, you have no interaction with the end customer since the merchant handles all of this for you.
- Becoming an affiliate requires little or no investment.
- Affiliate marketing is relatively easy to set up.
- Affiliate marketing is a good way to make passive income (passive income means that you make money with very little effort to maintain that flow of money; it originates from the real estate idea of earning rent income on investment properties, but applies more to affiliate marketing since even less effort is required than with rental properties). It is similar to the concept coined by Ronco: “…Set it and Forget it”.
- It is potentially a good way to build your website’s reputation since your website brand can be associated with the quality products (hopefully!) you recommend.
So what is affiliate marketing? Wikipedia defines it as a type of revenue sharing or paying commission for referred business. Although Amazon.com was not the first to use affiliate marketing to sell its goods, it is probably the most well known merchant to use it. I have had personal experience using Amazon.com and have found it to be easy to set up and use.
I have heard people complain about affiliate marketing because the sales commissions can be limited. My answer to that is any amount of money I can earn for expending so little effort to acquire it is welcome to me. It’s kind of like picking up additional dividend checks from stocks I have invested in or finding money on the ground when I am not really looking that hard to find it.
And, again, the more readers that are viewing your website, the more affiliate income you earn while you are pursuing the niche you really enjoy. It sure beats doing tasks you don’t enjoy to make every dollar you make!
I highly recommend books written by Scott Fox to gain a better understanding about affiliate marketing and e-business in general. He has garnered a lot of experience and is one of the pioneers in the field, consulting and building website presences for luminaries such as Bill O’Reilly. I have personally read two of Scott’s books thus far, and have learned a lot of information from them:
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Internet Riches: The Simple Money-Making Secrets of Online Millionaires
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e-Riches 2.0: Next-Generation Marketing Strategies for Making Millions Online
Among other ways of creating income on the Internet, Scott discusses affiliate marketing and gives examples who have used it successfully as well.
Another good resource for affiliate marketing is Allen Gardyne’s site. He has affiliate marketing tutorials geared for the beginner through advanced and he has A LOT of additional quality material about affiliate marketing.
If this article has helped you, please send me a comment. I would love to hear how affiliate marketing has helped you!
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