Tuesday, January 5, 2010

Affiliate Programme(1)

Imagine you have a great product that sells well online. Say five out of 100 visitors you send to your website make a purchase. This will equate to a 5% conversion rate. However, the amount of sales generated will be limited by the amount of traffic you alone can drive to your website.

Now say you managed to recruit 100 affiliates to promote your product. Each affiliate has the potential to send hundreds of prospects to you. What’s more, each prospect would have been pre-sold on the benefits of your product. Can you imagine how many more sales and profits you would make?

This is the power of affiliate marketing!

Benefits Of An Affiliate Programme

If you become the affiliate of certain merchants and promote their products, you earn profits.Similarly, if you are the merchant now, selling a product or service, you can make use of this tool to help you increase in your sales.

The first and also one of the most attractive feature of creating an affiliate program is its low cost of setup. The main visible cost is the purchase of an affiliate program system to help you to keep track of your affiliates and the sales they bring in and also, to pay them. You can of course, keep track of your affiliates manually, but the key in internet marketing and your online business is Automation. You want to automate all the processes as far as possible.

Alternatively, you can also list your product with third party affiliate agents where they will manage the payment to your affiliates for you. If you are just starting out, this is a good choice as it takes one important function of your plate, reducing your workload for a start. Also, if you choose to have your product up in the third party affiliate agents, your website is thus listed in their database for affiliate marketers to market your products and when they do, they are indirectly helping you to drive more traffic to your site.

When you create an affiliate program for your product or services, there is literally little or no advertising cost. In addition, you only pay your affiliates when they make a sale for you, unlike your offline business where you have to hire marketers to market your products and still pay them a fixed salary (in most cases) even if they do not help you to make any sale.

As you should realize by now, creating affiliate programs have more benefits than you can imagine and it will help you to explode the sales of your products. Go ahead and create one for your own product or services today!


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