Involved affiliate marketing is where you’ve used a product or service, truly believe in it, and personally recommend it to your audience. Not in a banner ad or somewhere that says “recommended resources,” but within your content, as part of your life and strategy for whatever it is you’re talking about. The product almost becomes something people “have to have,” because it’s part of the process.
To build trust, you need to create content that’s honest and sounds natural. There’s a lot of competition in affiliate marketing, and plenty of websites that churn out product reviews sound as if a robot wrote them. If you take the time to carefully research each piece and are honest about a product’s downsides, however, you’ll be able to establish trust organically.
If the website isn’t an authority in its niche, ask yourself if it is setup to be one. You should always have this in mind, but especially with affiliate sites. Since affiliate sites have such a low barrier to entry, by buying an authority site, you are significantly putting yourself ahead of your competition who will be entering the game without an authority site. This will help you keep market share and dominate the niche.
Regarding Amazon FBA…this is another type of business I would hold off on buying as Trump’s administration is making it difficult to know where the import tariff and border tax percentages are going to shake out. Most FBA businesses are importing products from Asia, making their current valuation a high risk to drop in value should high taxes be imposed.
For example, when someone drops a comment on a blog post, you should engage with that person, even if it's only to say thanks. This helps to bridge that emotional divide. Be sure to stay on top of all engagement on every platform. Don't allow it to consume you, but do your best to respond to people in a timely manner. This could make all the difference in succeeding with a sale or making someone pass you up. The more you nurture and develop your audience, the more they'll believe become fervent buyers.
Amazon didn't immediately respond to a request for comment. The email they sent to affiliates said, "We have received feedback from associates that the advertising fee structure could be made clearer, especially with respect to understanding which products are in fixed-fee categories and which products are in tiered-fee categories. These changes simplify the fee structure, clearly defining the advertising fees you can earn by referring traffic to Amazon."
My conversion rate went from 2.5% to 8% just by including Facebook polls where SiteGround was rated #1 (here’s last year’s poll) plus Twitter screenshots and Facebook conversations. Whether it’s Amazon reviews or social proof, you NEED to include outside opinions. You can also use WP Rich Snippets to allow people to leave a review about the product/service on your site and get those review stars in Google (you will want to use their front end submit add-on).
2. Commissions – John writes that he’s not satisfied with a 4% commission. He’s right in some ways, 4% isn’t that much when you’re selling a $10 book – however when you’re selling a Get a Price on the $5000 Camera or a $25,000 Tractor (I know someone who does quite well out of ride on mowers and tractors) it certainly adds up. Not only that, the 4% rate that John talks about is the base rate. Unfortunately it is as high as it goes on consumer electronics – however on most other products there is a sliding scale where the more you sell the higher your commission goes to. Sell more than 6 items in a month and your commission goes to 6% – sell over 630 and you’re up to 8% (the rate I’m on). The 4-Hour work Week that John uses as an example earned me around $1 a book. Still not a lot – but I did sell 100 or so of them (after my interview with it’s author) which not only earned me $100 but also helped push the numbers of sales up for the month, moving me into the next earning bracket.
Smaller and newer e-commerce businesses often find this practice especially appealing (although Amazon.com uses it, too). Unlike pay-per-click advertising, which charges merchants every time someone clicks on a link to their site, affiliate marketing costs nothing unless there is a sale — at which point a commission, typically between 4 and 20 percent, is paid. It has become an essential part of the online marketing toolbox, generating fees that Forrester Research projects will reach $3.4 billion next year.
Amazon used to have a variable fee structure where you would earn more money if you referred more sales to Amazon. They would start at 4% and you could earn up to 8.5% of a sale if you referred enough items. Amazon did away with their variable fee structure in early 2017 and replaced that system with a fixed percentage payout based on the category of products. Some niches pay a lot less than others and it’s important to be aware of the payout before you pick a niche:
My favorite part of the article was the part on growth stategies, specifically Earnings Per Clicks (EPC’s) I am a “Newbie Norm” to affiliate marketing and am looking for products using this as one of my metrics for evaluation. Another metric that could be helpful, especially with Clickbank, is Gravity, which is the number of affiliates making and selling a product offer within the last 30 days (I believe).
Subject to the terms of this Agreement and the accrual of commissions as set forth in Section 8 above, commissions will be calculated according to the specified percentage or dollar amount set forth in the commission report in your Affiliate Console for each Qualified Purchase that accrues during the period for which such commission fee is being calculated.
Subject to the terms of the Agreement and solely for the limited purposes of participation in the Associates Program in strict compliance with the Agreement (including this License and the other Program Policies), we hereby grant you a limited, revocable, non-transferable, non-sublicensable, non-exclusive, royalty-free license to: (a) copy and display Program Content solely on your Site; (b) use only those of the Amazon Marks (as defined in the Trademark Guidelines) we make available to you as part of the Program Content, solely on your Site and in accordance with the Trademark Guidelines, and (c) access and use PA API, Data Feeds, and Product Advertising Content solely in accordance with the Specifications and this License.
I also think that affiliate based business models provide an amazing opportunity to build up momentum and eventually create a product or ecommerce based company. Selling your own products will always be more lucrative than being an affiliate business, but there is an inherent risk associated with this model. If you can grow an engaged audience over a long period of time, it will be much easier to transition to your own products and the investment in manufacturing and distribution will not be as big of a risk because you will already have an audience.
Again, the only constant in the online business world is changing. With every change, comes drawbacks and opportunities. In order to see these, you need to take a step back to look at the big picture. Every year or two there is a major shakeup in the online space, here is a list of just a FEW changes that had entrepreneurs grumbling in the last few years:
I’m a big fan of websites that look professional. If your website looks like it was made by a 5th grader, it will be instantly judged and people will feel uncomfortable. Take the time to give your website a nice look upfront and it will pay dividends for the success of your website. WordPress themes are a great way to give your Amazon Affiliate Website a professional look for a cheap price tag.
Attrace is the first affiliate network to find an application for this technology. Attrace uses blockchain to prevent fraud, improve transparency, minimize the bureaucratic infrastructure of their network and process payments in real-time. Their decentralized, blockchain-based solution is able to deliver services at a 95 percent lower cost than other networks.
(g) You will not, and will not attempt to (i) modify, alter, tamper with, repair, or otherwise create derivative works of the Specifications or any software included in Product Advertising Content; or (ii) reverse engineer, disassemble, decompile (except to the extent such right cannot be excluded or limited by law and then only when our express permission has been sought and refused), or otherwise derive any source code of or relating to PA API, Data Feeds, or any software included in Product Advertising Content.
5.1 We make no express or implied warranties or representations with respect to our Affiliate program or any products or items sole through such program (including without limitation, warranties of fitness, merchantability, non-infringement, or any implied warranties arising out of a course of performance or trade usage). We make no representation or warranty that the operation of the Sites or any of them will be interrupted or error-free and will not be liable for the consequences interruptions or errors.
Commissions are paid once per month by payment processor, a minimum of 30 days after the sale is completed. Commissions will be paid on or about the 31st day of the month for sales made from the first through the last day of the previous month, and are paid by the Program Operator. (Commissions earned during March 1-31st would be paid around April 30th-May 1st.)
File-Sharing: Web sites that host directories of music, movies, games and other software. Users upload content to file-hosting sites and then post descriptions of the material and their download links on directory sites. Uploaders are paid by the file-hosting sites based on the number of times their files are downloaded. The file-hosting sites sell premium download access to the files to the general public. The websites that host the directory services sell advertising and do not host the files themselves.
In a nutshell, affiliate programs pay you for referring clients their way. All you have to do is include recommendations for specific products on your site, and you’ll earn a small commission on any sales generated by people who click on the links you provide. Affiliate programs provide you with an easy way to monetize your site, especially if it’s aimed at a niche audience that is likely to be interested in specific kinds of products.