Who would have thought that revenue sharing would be so lucrative? Some decades ago, the thought of sharing sales through commissions was only restricted to traditional trade. These days, however, affiliate marketing & affiliate marketing programs is the largest industry online
There has been plenty of news regarding affiliate programs and many have hailed their benefits in recent years. But how truly effective are they? And how can a new affiliate member use available resources in order to maximize success and minimize failure? Here, we take a look at what it would take to make it in affiliate marketing.
Understanding affiliate marketing
The key to succeeding in affiliate programs is to truly understand how this industry works. Affiliate programs are built on affiliate marketing concepts. This type of marketing refers to the method used in the promotion of businesses.
An affiliate (sometimes referred to as the publisher) joins an affiliate program, in which he will be paid to promote products and/or services exclusively for that program. The affiliate will be compensated for every sale, customer, visitor or subscriber he attracts.
Due to the nature of this industry, most affiliate programs are run online, particularly because it is the most efficient and cost-effective means to promote products and earn money at the same time.
There are a few key considerations when joining affiliate programs,
An established or reliable affiliate company
Although there are many new affiliate programs available today, it pays well to go with well-established affiliate companies. For one, there’s the advantage of name recognition, whose benefit you will be able to appreciate when attracting your market. There is also the assurance that you will be dealing with a company you can rely on.
A feasible product
The product you will be promoting through the affiliate program is key to your success. A solid business acumen can do little to sell a product that has no value or market. Try to do some research on the product or service you will be selling.
Understanding how useful it is and how well it will fit the needs of your market will make a huge difference in how well your affiliate program will fare.
A high-traffic website
There is money in traffic. Otherwise, how else can people find the platform with which to do business with you? Put effort and if necessary, money into creating a website that will host your affiliate program. And then work overtime to build traffic. Advertise if you have to, build links and promote your program, even if it is already well-known.
Remember that there are dozens, even hundreds or thousands of other websites out there that probably belong to the same affiliate program as yours.
A real market
The availability of the market and their willingness to buy or participate in the program is also an important consideration. Many a product has been launched in the past that failed miserably because the market just wasn’t around.
That’s not always the case. You need to understand why it failed. There’re variety of reasons. People buy products to address a specific unique problem. That I can’t overemphasize
What are the chances of success in affiliate programs?
If you look at the figures reported from affiliate marketing programs; over $6 billion in commissions in recent years alone, nearly twice the figure during the past decades, you probably would think twice about not joining. There is a variety of products covered by these programs, from retail to gaming to telecoms and publishing to personal finance and education.
The unique characteristic of an affiliate program is that as an affiliate, you will get paid for your performance. There is little to no capital expense involved and the generally, the harder you work, the more you’ll earn.
However, success and failure in affiliate programs will depend on the type of choices you make. It will also help if you treat your affiliate program as a business, which means it will require a lot of work, maintenance and follow up. This is a highly competitive industry. To survive, you don’t only have to be noticed by your market, you have to be trusted as well.