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Affiliate Marketing Business Model

Affiliate Marketing is a very lucrative opportunity where you just need to recommend someone to a good product and earn a commission. Over the internet, because the overheads are so low, you can expect to earn very well. Here are some benefits of affiliate marketing.

1. There is no rental, profits are maximised!

Any earnings that you make are pure profits. Compared to a traditional shop, restaurant, retail business, there are high overhead costs that can potentially eat into your profits. The budget you have is used to purchase domain name, hosting. You can also use a FREE word press template as your 1st web page. Word press offers not only blogging templates but corporate designs as well. In other words your website is like your virtual real estate that makes you money.

2. High commissions!

Since costs are cut down, you can expect to be paid very high commissions, anywhere from 10% to 75%. In terms of dollars, you can expect to earn $20 to $700 in one day, depending on the traffic you bring in and the quality of the product.

How to earn well in Affiliate Marketing.

1. Be good at PPC

PPC stands for Pay Per Click Marketing where you send a visitor to a landing page. There is a cost for every click, anywhere from $0.01 to $0.40. If the commission is high and competition is fierce, you can expect to be paying as much as $0.40 per click. Top 6 figure affiliates may just break even on the front end, and have some back end strategy in place. Another good way is to go for low competition keywords and fish in less saturated waters.

2. Be good at Web 2.0 marketing

Web 2.0 marketing is social traffic from Youtube, Facebook, Digg. By submitting videos and such , you can get traffic from these sources and provide good products that cater to the searches needs.

3. Have at least 1 passive income program.

You'll want to have your own affiliate team. Just as the merchant has a team of affiliates, you can also have your team and earn passive income through this system. A passive income program ensures that you will earn a consistent lifetime income over the internet. For example, if you run a PPC campaign and earn $3K in profits, once its just shut off, earnings stop. A passive program will continue to bring an income for you for life, once the intial work has been done.

Hope these tips help you earn your 1st affiliate commission online!
Sherman Choo

http://www.shermanchoo.com/ezine.php
Sherman Choo is the Internet's Top Recurring Internet Income affiliate. "Who else wants to turn a measly $10 biz into $11,737/mth?" Go to: http://www.shermanchoo.com/ezine.php

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