Jul 27 2009
Reasons You Should Promote Residual Affiliate Programs
In today’s economy just about everybody is looking for ways to make additional money. It doesn’t matter if you are a webmaster, a seasoned internet marketer or a novice looking for a home based business, affiliate marketing may be the solution to your money woes. Affiliate marketing is perfect for marketers at any experience level. You don’t need to worry about storing,shipping or buying stuff to sell. All you need is a website with content related to the product that your plan to promote.
In affiliate marketing, the affiliate agrees to funnel traffic to the seller’s website. When someone that an affiliate has referred buys a product the seller shares a cut of the earnings with the you. Most sellers or merchants pay you a onetime commission for every sale driven to the merchant’s website. Commissions this type of affiliate marketing program as a rule range from 15% to 60% on average.
A different type of affiliate program has grown in popularity. This type of program pays you commissions on a residual basis. Residual affiliate programs usually pay a percentage of 10% to 50% for every sale directed by the affiliate to the merchant’s website. These programs were basically ignored in the past because of the larger pay out of the one-time commission affiliate programs. So, is it a mistake to market a one-time affiliate program over a residual affiliate program?
I can’t say that choosing one over the other is a mistake. There are marketers that do very well with both programs. I can say that there are benefits to both and including them both in your affiliate marketing campaign is extremelyvaluable. Residual programs may pay a lower proportion but pay on a regular ongoing basis for a single customer. So you do the same amount of work and get paid many times over.
Let’s take a closer look at residual programs. Let us say you are an affiliate for two online merchants. Both offer web hosting services on to members of their sites. The first merchant offers a one-time commission type of affiliate program that pays $75 for each sale brought to the site by an affiliate. The other merchant also offers an affiliate program. This merchant offers a residual type of affiliate program. It will pay $13.50 for every single affiliate driven sale. Looking at this as an affiliate, the $75 the first merchant offers looks very attractive, well let’s be honest; it is definitely a lot more than $13.50. But if you take a closer look before you jump at the big pay off, you see that the second merchant offers you a greater opportunity to earn much more money over the long term.
Sure you will get the big payoff of $75 with the first merchant. But with the second merchant, you’ll get paid on a monthly as long as the customers you have referred to the merchant continue to subscribe to the web hosting service. As I mentioned earlier, for the same effort of getting one customer to subscribe to merchant’s services, you get paid monthly in residual affiliate programs while you only get paid once in a one-time commission type of affiliate programs.
Some of these residual programs come in the form of a membership site that offers its members great training of creating a internet business that lasts a life time. You will be amazed at the value provided, see for yourself.
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