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Avoid Low Commissions
Money is what it is all about. Why else would you promote
someone else’s product? If it wasn’t for the money, or the
potential to earn the money, you wouldn’t do it, and neither
would most other people.
So why would you go with a program that offers low commissions
on already low-priced products? Remember that you will put
forth a lot of time and energy, and possibly even your own
money, to promote this program. If the commission is low, such
as 20%, of a product that is already low priced, such as $50,
this probably isn’t worth your time, unless you consider $10
worth the time and effort you are about to put forth.
Ideally, you should look for a payout of 50% to 75% for low
priced products. Some affiliate program owners will offer an
even bigger commission because they will make their money on a
backend product.
High ticket items should have a commission payout between 20%
and 50%. As above, for a $50 product at 20%, you would only
make ten bucks. But for a product that costs $1000, you would
make $200 per sale, and this is worth your time, especially if
you can make four or five sales per week.
Again, figure out how much you need to earn each month. Get a
total figure, then determine what products you can
realistically afford to market, and how many sales will be
required to make your needed income. You really just cannot
afford to market some products simply because the commissions
won’t pay you enough.
If you find a product that you really believe in, and you feel
it would be beneficial to your customers, contact the product
owner. Tell him what you can do, and ask him if he or she is
open to a higher commission rate agreement with you. Better
yet, join the low commission affiliate program and show them
what you can do for a couple of months. Just don’t do this for
more than a couple of months without getting your commission
percentage raised!
Also look to see if higher commissions are offered for a higher
number of sales, and see what the payout is for sales made by
affiliates who sign up under you. Take all of this into account
when making your choices, and also consider whether or not
there will be residual income.
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