This question is the main reason of webmasters not going for affiliate programs. They have AdSense and they are receiving a check per month. They are earning somewhere between 0.5 – 1.5$ per thousand visitors and its fine for them (at least). But have you noticed the large drop in the Cost per clicks of these programs? The revenue is going down and you hardly see any clicks generated because of people’s banner blindness?
An affiliate marketing program is a lot of work, and in most situations there's a lot of competition so you're not going to be bringing in money immediately. Business owners and entrepreneurs suppose that all you need do is setup a site and choose an affiliate to associate with and then just let it run its course. But according to Three Ladders Marketing, only 0.6% of affiliate marketers surveyed have been in the game since 2013. That means that affiliate marketing takes time and effort to build and make money.
To help highlight the range of great options available, our updated infographic and free Digital Marketing Tools and Services download recommends 30 categories of marketing technology and our pick of the most popular 5 in each category. We’ve grouped them across the Smart Insights RACE Planning framework for managing digital marketing so you can review where you could make better use of the tools across the customer lifecycle. Click on the infographic below to see a larger version.
Let no one tell you that email marketing is dead. An email list is crucial for every affiliate marketer. You can start building up your email list with a lead magnet (like the information products mentioned previously) or even just by encouraging your audience to sign up for your updates. You can then push your content to this audience via email and also direct them to your affiliate offers. Don't be sleazy about the sales, but if you build up enough trust with your email audience; when the time comes, they will not mind purchasing a product from you.
There are several types of affiliate programs. Most will pay you a flat rate or percentage of the sale you make (pay-per-sale). Another common type is when you're paid per action or lead. For example, if you refer someone who signs up for businesses free trial, the business pays you for the sign-up. Although not seen as often anymore, some will pay you per click (this is seen most in contextual ad programs such as Google Adsense) or per impression (each time the ad is loaded on your website).
If, today, you wake up and think of having a passive income through an affiliate channel, the first and most important step is to identify the area, domain, category and industry with which you can relate yourself to the most for being an affiliate. When I say relate, it means you firmly believe you have an at least minor inclination of interest and experience toward what you are getting into. There is another way as well. For those who are driven by just the motivation of earning loads of money, start by researching an area, domain, category and industry that is highly dependent on affiliates or having an extremely high rate of commission. Once done, the individual or company can narrow down based on his research. Why is this important?
Cost per action/sale methods require that referred visitors do more than visit the advertiser's website before the affiliate receives a commission. The advertiser must convert that visitor first. It is in the best interest of the affiliate to send the most closely targeted traffic to the advertiser as possible to increase the chance of a conversion. The risk and loss are shared between the affiliate and the advertiser.
Always disclose your affiliate relationship. Most visitors will probably understand that graphic ad will lead to your getting paid, but if you write a review or use an in-text link as a recommendation, you want your readers to know that may lead to compensation as well. This ensures you retain transparency and trust with your readers, but also, it's required by the FTC's endorsement rules.
Doesn't work. One guy. Defensive and evasive responses. Can't use email while traveling to respond? Really? No smart phone? Instead of a demonstration on his end to prove the program works, he kept suggesting OS updates, All of which slowed my computer down to LA rush hour traffic. I deleted the program. The links to the software disappeared with note saying your order has been reversed. Now he says he'll leave it up to pay pal.