Guest Article: Affiliate Program Basics by Art Luff
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After reading the concerns of advertisers using Google Adwords on the many
affiliate forums and newsletters publications I thought it would be a refreshing
way to end the week with a more upbeat note on the subject of affiliate programs.
Art Luff has contributed a resurcesful article detailling a few of the benefits
of affiliate marketing. At the end of this post you will also find links to some
of the Top affiliate marketing tools which I personally own and use.
Get staretd on the right track. It’s never an overnight process. With the right
information and well planned steps you can only succeed.
Affiliate Program Basics
by Art Luff
In most instances an Affiliate Program is the easiest and most
cost effective way for the new person coming to the web in hopes
of earning some extra money or perhaps to replace their income
from a dead end job, or to supplement their existing income.
Affiliate programs will require the affiliate to carry no
inventory nor will they be required to handle any transactions.
The only real requirement the affiliate has is to send
interested people to their affiliate web site via a text link,
banner or Pay Per Click ad and collect a pre arranged percentage
of the sale.
Affiliate programs, often referred to as Reseller Programs,
Profit Sharing Programs, Referral Programs, or Associate
programs, gives affiliates the ability to create an online
business, giving them the opportunity to sell thousands of
dollars worth of products and services, in a most cost effective
manner. No cost to join, no cost for inventory, no staffing
costs, generally the only costs involved are related to the
promotion of their affiliate site. The profits can be
staggering. Some of the best affiliate programs can be found at
Clickbank.com They have been around for quite sometime and have
an excellent reputation.
One of the first affiliate programs was, Amazon.com. This was,
and is, one of the top affiliate programs on the web. Their
affiliate base is still the largest on the web. They’re not
necessarily the best choice for the new person starting out,
having to compete with over 600,000 affiliated web sites.
Types of Affiliate Programs:
Percentage of sale: Whenever you send a customer to the merchant
via your unique affiliate ID you are paid a percentage as your
commission. This can be anywhere from 15% to 65% it can be more,
depending on the initial cost of the product or service.
Pay per lead: You get paid a one-time fee for sending a person
to fill out an online form. Fees vary and can be anywhere from
$0.25 to $25. These aren’t in the abundance that used to be.
Merchants found it too costly for their return.
Two-Tier: You get paid commissions on sales you generate and
also you get paid commissions on sales generated by affiliates
you recruited. Usually companies pay 50% commission for direct
sales and 5 to 10% for sales generated by your affiliates.
As I mentioned previously, you will get a unique web address
that identifies you as the affiliate that sent the prospect to
the merchant’s site. This will ensure that you get the commission
you deserve for sending the prospect who purchases the product
or service.
If you use a bit of common sense and understand the agreement
you’re making with the merchant, you can minimize your risk of
not getting paid and produce a nice profit as well. When you use
affiliate programs properly you will generate an income that you
could never have dreamed of.
Don’t expect to rocket to stardom or to be rich over night.
Persistency and determination will prevail.
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Art Luff is an internet marketer and webmaster
at: http://www/lightninghotprofits.com
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Recommended Resources:
Download the digital PDF version of The Super Affiliate HandBook
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