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Show Me The Money For Affiliate Marketers

Posted July 10th, 2009

Posted by Robin Bal

netalot.com
With all the hard work you will need to put into your affiliate marketing business you would probably like to have an idea how that money can be earned. There are several ways that you are able to earn money and they will determine what approach you need to take.

The most common one that you will come across and that you will know about is the straight forward commission you can earn on selling a product, a service or an action . This is also called the Pay Per Sale way to earn affiliate revenue.

There is no set commission structure and every merchant will determine his own structure. It can vary from a small percentage to as high as 70% or even more. However, the product with the highest commission structure is not necessarily the best one to take up on. In general, you can probably read this to mean that it isn’t easy to sell that product, hence the high rewards.

When you come across such a product offering you might want to have a look at the gravity rating, also called Grav. Although this score is not always a totally accurate assessment of popularity, it does provide you with additional information. The more gravity a product has the more affiliates are enthusiastic about the offer.

You might want to forego a high commission structure on a product you can’t sell at all, to a more popular product with a far lower commission percentage but which you have some chance of finding buyers for.

Another form of revenue stream is the pay per lead or call. This is a sales program where your ad that you are hosting on your blog or site has induced a possible buyer to pick up the phone and call for further information.

It’s still early days for this kind of business model as it requires the use of sophisticated telephone tracking systems. But there could be a future for this kind of bridging operation between online and offline. In this revenue model you get paid for every call that is made.

The most commonly known online revenue stream and one which many bloggers have tried themselves is the Pay Per Click or PPC business model. This form of advertising is what Google is known for. Of course there are many more businesses besides Google that offer this, but Google’s AdSense is probably the best known of them all.

This sales model will provide you with a commission payment every time an ad that appears on your blog is clicked by a visitor. In recent years the ad revenue has shrunk quite substantially This means that you need huge traffic numbers. For the blogger with small visitor numbers you will not be able to give up your day job any time soon.

The least well known form of affiliate revenue is earned from Pay Per Impressions or CPM. This form stands for cost per mil where the word mil stands for a thousand. This does not refer to the number of clicks on the ad but the number of people who have viewed the ad. In other words it depends exclusively on the number of visitors you get to the page or page impressions.

The most popular out of all of these revenue models is the pay per sale model. Over 65% of affiliate programs are based on this business model. For the new affiliate marketer choosing this as a revenue program would probably be the best route to take.

If the affiliate program has established good relationships with their customers, then it has established a brand which is recognizable for its excellent service. You will find easier to pre-selling such an affiliate product.

Affiliate marketing isn’t a “get rich quick” scheme. You have to put in a lot of effort and time, and some capital before you can make money in affiliate marketing.

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