When you join an affiliate program or start an affiliate program of your own, you have to decide whether it will be a single tier or two-tier affiliate program.
With a single tier program you earn a commission on any sales you make and that is it. If you are running your own affiliate program, you pay your affiliates a commission for any sales they refer and that is all.
However, with a two-tier program, affiliates are allowed to recruit sub-affiliates and are paid a small percentage of the sales these sub-affiliates generate. For example, the affiliates may earn a 30% commission for selling product X himself; and when one of the sub-affiliates makes a sale, the affiliate may get a 10% commission as well. This is very profitable for the affiliate as he can recruit an army of sub-affiliates, all earning commissions for him without any effort on his part except for the initial recruiting process.
If you are starting an affiliate program of your own should it be two-tier or single tier? Some might shy away from the seeming expense of a two-tier program. But is it really that expensive? Many affiliate program managers make the wrong decision on this.
Let’s look at an example. You have an affiliate program up and running and an average affiliate joins your program. Mr.Average has a web site that receives average traffic. He also has an Ezine with thousands of subscribers published monthly. Mr. Average posts your affiliate links to his web site and promotes your product to his Ezine list.
Initially, he generates good sales. However, a point comes when he saturates his market with your product and his sales begin to drop. He begins to lose interest in your program and your sales remain small. What happens if you set up a two-tier program? Rather than trying to keep your commission pay outs small, you motivate your existing affiliates to recruit other people to your program. This will exponentially increase your affiliate sales. Would it not be worth paying the referring affiliate a percentage of their sub-affiliates’ sales? Now when Mr.Average joins your affiliate program this is what would happen. When he has saturated his market with your product, he would now promote your affiliate program to his customers and Ezine subscribers. Many of Mr.Average’s customers and subscribers decide to join the affiliate program. This in turn will motivate Mr.Average to continue promoting your products and recruiting affiliates.
Now what is the situation?
1) Your income increases because of increased sales.
2) You have a much larger customer base to which you can sell ‘back-end’ products.
3) An increase in your income because of the life time loyalty of the customers referred by your affiliate.
4) An army of sub-affiliates who will sell your products, and in turn promote your affiliate program to their customers and subscribers.
The little extra in affiliate sales commission pay outs will be more than compensated for by the exponential sales increase. This is why the two-tier affiliate program is a guaranteed winner and should be the automatic choice for potential affiliates and affiliate program managers.
Wednesday, May 26, 2010
Thursday, May 20, 2010
Are you using both sides of the GoogleCoin?
By now most of you realise that Google can give our websites the ability to appear within their results pages using a Pay
Per Click model (PPC).
This is called Google Adwords
Hopefully, you will also be aware that that Google offers website owners the ability to display these PPC results on
their own websites.
For this privilege, Google will pay the website owner a share of the PPC revenue earnt from any click throughs on the results displayed on their website.
This is called Google Adsense
So there you have both sides of the Google coin.
On one side, the ability to drive low cost targeted traffic and on the other side, the ability to generate revenue from
your existing traffic.
You'd think that was the end of it but really it is only the beginning.
Heads or Tails?
Heads it is….
Let's look at Adwords
There are those that think…
…write your ad, pays your money and away you go.
Which to 80% of the people using Adwords, this seems to work OK for them. Remember I said OK!
For the other 20% , these guys and gals, are testing,changing, innovating and working Google as hard as they can.
One such character is Chris Carpenter , whose GoogleCash is pioneering in the way that he works Google and now lets
other work Google just as hard.
"Like Bruce Lee taught us the art of fighting without fighting, Chris Carpenter shows us the art of website revenue generation without a website!"
Chris has shown examples of Adwords campaigns that cost cents to set up but pay dollars in commissions. None of my
current investments give me such a high ROI.
I have tried my hand at it and I am currently making around $4000 per month just from this one product. I am only
spending $250 on Adwords to get this return.
Why not have a look at Google Cash yourself.
http://www.j2-squared.com/google-cash-book-review.htm
Tails you win!
Secondly, while most people just cut and paste Adsense code into all the pages of their site, they just leave it at that
thinking job done!
They don't explore the high value keywords in their market or niche.
Why do that?
Well if you knew what the more profitable keywords and terms are, you can write content and these words can be displayed.
Google Adsense will then look at your page content and work out what to display.
You could double your income by changing words on your site. Maybe Life insurance to life assurance or personal loan to
loans or adverse credit to bad credit.
Also sites tend to use one format and one position for the ads.
Test, test, test
Try different layouts and work out which ones work best for you. You may be surprised.
Test, test, test
There are several tools that can help you identify keywords but the best for you would be either the Google Adwords program or Overture view bids tool.
Don't worry about thinking you are doing anything wrong. In fact, think about it - you will be creating relevant content for Google to display and for their users to read. Users are happy, Google are happy and you will earn more revenue from Adsense. So hopefully you'll be happy too!
A Win Win situation!
Again, like most things rather than reinvent the wheel there is a whole book on Adsense written my friend William
Charlwood has written The Definitive Guide to Google AdSense which tells you exactly how to make money by hosting small
ads on your website. It is a detailed road-map of everything you need to do to get going and then maximise your AdSense
income.
Once you've got it right, you can look forward to a check every month from Google.
Check this out here:
http://www.j2-squared.com/adsense-guide.htm
So there you are, there are two sides to the Google coin.
Are you using both sides!
Good Luck!
Per Click model (PPC).
This is called Google Adwords
Hopefully, you will also be aware that that Google offers website owners the ability to display these PPC results on
their own websites.
For this privilege, Google will pay the website owner a share of the PPC revenue earnt from any click throughs on the results displayed on their website.
This is called Google Adsense
So there you have both sides of the Google coin.
On one side, the ability to drive low cost targeted traffic and on the other side, the ability to generate revenue from
your existing traffic.
You'd think that was the end of it but really it is only the beginning.
Heads or Tails?
Heads it is….
Let's look at Adwords
There are those that think…
…write your ad, pays your money and away you go.
Which to 80% of the people using Adwords, this seems to work OK for them. Remember I said OK!
For the other 20% , these guys and gals, are testing,changing, innovating and working Google as hard as they can.
One such character is Chris Carpenter , whose GoogleCash is pioneering in the way that he works Google and now lets
other work Google just as hard.
"Like Bruce Lee taught us the art of fighting without fighting, Chris Carpenter shows us the art of website revenue generation without a website!"
Chris has shown examples of Adwords campaigns that cost cents to set up but pay dollars in commissions. None of my
current investments give me such a high ROI.
I have tried my hand at it and I am currently making around $4000 per month just from this one product. I am only
spending $250 on Adwords to get this return.
Why not have a look at Google Cash yourself.
http://www.j2-squared.com/google-cash-book-review.htm
Tails you win!
Secondly, while most people just cut and paste Adsense code into all the pages of their site, they just leave it at that
thinking job done!
They don't explore the high value keywords in their market or niche.
Why do that?
Well if you knew what the more profitable keywords and terms are, you can write content and these words can be displayed.
Google Adsense will then look at your page content and work out what to display.
You could double your income by changing words on your site. Maybe Life insurance to life assurance or personal loan to
loans or adverse credit to bad credit.
Also sites tend to use one format and one position for the ads.
Test, test, test
Try different layouts and work out which ones work best for you. You may be surprised.
Test, test, test
There are several tools that can help you identify keywords but the best for you would be either the Google Adwords program or Overture view bids tool.
Don't worry about thinking you are doing anything wrong. In fact, think about it - you will be creating relevant content for Google to display and for their users to read. Users are happy, Google are happy and you will earn more revenue from Adsense. So hopefully you'll be happy too!
A Win Win situation!
Again, like most things rather than reinvent the wheel there is a whole book on Adsense written my friend William
Charlwood has written The Definitive Guide to Google AdSense which tells you exactly how to make money by hosting small
ads on your website. It is a detailed road-map of everything you need to do to get going and then maximise your AdSense
income.
Once you've got it right, you can look forward to a check every month from Google.
Check this out here:
http://www.j2-squared.com/adsense-guide.htm
So there you are, there are two sides to the Google coin.
Are you using both sides!
Good Luck!
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