I am assuming that you all know what affiliate marketing is. The reason being, that in this article I am going to share with you the benefits to Affiliate Marketing.
A Win-Win Situation
The greatest benefit of affiliate marketing is that it’s a win-win situation for both the vendor (supplier) and the affiliate (seller). The reason for this is both parties gain financially. An example being, the vendor has a product for sale at a price of $100.00.
He decides he will put his commission rate at 50%. This means that when an affiliate makes a sale the vendor gets 50% and the affiliate gets 50%. This means they both make $50 each.
Although Affiliate Marketing is classed as a win-win situation the vendor may actually be the winner here. He may have more than 1 affiliate who is marketing the same product. If this is the case the vendor makes more of those $50s if his other affiliates make sales.
It is still a good deal though as the affiliate has no worries with regard to inventory, or shipping. The vendor has these worries. The affiliate has the added benefit of not having to design, develop or manufacture any products, this again is handled by the vendor.
Vendors receive instant and long-lasting results from affiliate marketing. It benefits vendors in a way that they have a much broader market to sell their products to. Vendors are also able to save time as they do not have to search for potential customers.
The Affiliate Benefits
The beauty of becoming an affiliate marketer is there is no or very little start-up costs. You need no skills to become an affiliate marketer, and it’s basically very easy to join a vendors program. They will provide all the necessary marketing material. All you have to do as an affiliate is to advertise the product and get sales. Sounds simple, doesn’t it?
It is a very simple process to become an affiliate. One little word of warning is to not put all your eggs in one basket. What I mean by this is don’t only join 1 vendor’s affiliate program. Spread your wings and join as many as you think you can manage.
There are many reasons for doing this. The main 1 is the fact that if you only market 1 vendors product, what happens if the vendor decides to pull the plug on that product or they go bust, you as the affiliate are left high and dry. Another reason is, you want to make as much money as you can. So marketing more than 1 product makes entire sense. It’s what’s called multiple streams of income which is what you want.
One of the other benefits of being an affiliate marketer is working from home. When you become a successful affiliate you can make many thousands of dollars per month. This is the time to reap the rewards of your efforts. Quit your day job and become a full-time affiliate marketer.
There are many a work a home mum who are affiliate marketers, they usually call themselves bloggers. Basically, it is the same thing. To achieve an income from their blogs they have to monetize it. To do that they will become affiliate marketers.
Take a look here for some great tips on being an affiliate marketer.
The Costs and Risks of being an Affiliate Marketer
Affiliate marketing is basically risk-free as there are no financial risks in signing up to vendors affiliate programs. A couple of costs that you will incur are paying for hosting of your website, which is a monthly fee. Also, paying a yearly fee for your domain name. These are the 2 basics for any website.
All the other expenses are optional.
Do you pay someone to build you a website? This depends on how eager you are. Do you want your website built yesterday or do you want to take it more slowly and choose a free website builder? Here you will need to build up your website yourself.
Or you can alternatively go here to see a great f.ree website builder program. They don’t just give you one website they give you 2. You are also guided all the way through the process of building your website or websites.
Other Additional Optional Costs
So you have yourself a website, have joined a few vendor programs and decided which products you want to promote. You are feeling great and are ready to get going as an affiliate marketer.
So where are you going to advertise your affiliate products?
The best way to start is with content marketing. This, of course, means writing content for your website in order to be recognized by the search engines. This entails a great amount of time and effort and you have to be prepared to put the time in. It also takes many months to get any real traffic to your website this way. It is the best way, but it is very slow.
Where else is there to advertise?
There are many free ways to advertise your affiliate products. You can submit your articles to directories and article submitter sites. Then there are the social media websites, like Facebook and Twitter.
The next way is to pay for advertising.
This is where the option of additional costs comes into play. Even social media sites have paid advertising. Then there is PPC, where you only pay once your ad is clicked on. There are also solo ad sites which are really expensive by the way. The list of paid ad sites is as long as your 2 arms and legs together and the rest too. So as you can see these are optional cost’s that need not be incurred. The choice, of course, is yours.
As an affiliate marketer you will be selling other people’s products for a commission, as we all know. So if a particular product by any of the vendors you are promoting isn’t doing well and not selling. You can easily choose to drop that product as you are under no contract with any vendor. You are as such a free agent. This is a great benefit to you, you can choose to promote another product if you like.
The Downside to Affiliate marketing
Yes, unfortunately, there are some downsides to affiliate marketing. The competition can be very fierce, every man and his dog has cottoned onto how much money can be made and how easy it is to start up. Not to mention the low or no cost startup.
To overcome the competition you need to work even harder. There are many tools on the market to help you with this. To see the tools I use, go here.
There may be times of the year when your sales slump, especially if your niche is a seasonal one. One day your traffic and sales can be awesome and the next day you may not have a single visitor. This is the name of the game in affiliate marketing.
You may come across some unscrupulous and dishonest vendors. They may tell or show you that their commissions are high, but once you have become an affiliate for their product or products they will drop the commission rate drastically. Just be careful and watch out for these vendors.
Link hijackers can hijack affiliate links and get paid for the commissions instead.
No matter the disadvantages, affiliate marketing still remains one of the best ways to make money online. Marketers simply have to understand that by doing their homework and research beforehand and by implementing simple security measures, they can easily negate all these disadvantages in order to enjoy the advantages of the affiliate marketing programs.
As an affiliate marketer, there is a great opportunity to increase your income; and you can make a profit even if it is only a sideline business. In many peoples opinion affiliate marketing is indeed one of the most effective business opportunities on the web today.
To recap some benefits of affiliate marketing.
- Low or no start-up cost’s
- No inventory
- Absolutely no contracts
- Nil shipping cost’s
- No products to produce
- Zero skills needed
- Optional expenses
- Work from home
In this analysis, I have covered the basics of being an affiliate marketer and the benefits to affiliate marketing. The reasons to become an affiliate are for sure the benefits that you have when you start up and still have on your journey as an affiliate marketer.
To your future success as an affiliate marketer.
Have any questions please leave your message below on the comment box. Thank-you.