Money Making Opportunities As An Affiliate Marketer
In this article, I am going to talk about affiliate marketing from the Pay Per Sale perspective.
How the Pay Per Sale (also known as PPS) model works is that, you, as the affiliate, will get a certain amount of commissions (usually a certain percentage of the product's total sales price) whenever you refer a sale.
There are 2 different types of products which you can promote in this affiliate marketing model - They are digital products as well as physical products.
In the next 2 sections, I will be talking about what these types of products are, along with the pros and cons of promoting each of them.
Digital Products
Digital products are products in which they are digitally delivered to the customers upon payment (in that customers can download these products).
These products usually come in a form of an ebook (normally in PDF format), audio (normally in MP3 format), or video (most videos are recorded using a video recording software called "Camtasia Studio", and they can be played on your Internet browser).
The following are some of the advantages, as well as disadvantages, of promoting digital products (from the perspective of an affiliate marketer):
Advantages
As there are no physical deliveries involved in delivering a digital products, the costs savings are being transferred to you as commissions. Most merchants of digital products offer a commission level of between 50% and 75% for every single sale you refer.
Most of the affiliate networks that allow you to promote digital products allow you to sign up and start promoting instantly (even if you do not have a website).
Disadvantages
As many of these products are written by people whom your prospective customers are unsure of, you, as an affiliate marketer, need to spend more time in educating them (and explaining to them why they should get the product)
Higher refund ratio as compared to physical products (as in order to ask for a refund, they only need to send an email to the merchant, and a refund will be processed and your commissions reversed).
Physical Products
Goods like TV, books, magazines, cameras, laptops - These are all example of physical products.
Basically, a physical product is something that, upon purchase, the merchants need to ship them out to the customers.
The following are some of the advantages, as well as disadvantages, of promoting physical products (from the perspective of an affiliate marketer):
Advantages
People more or less know about a product (for example, a Sony TX1 camera - with so many advertisements on it, who doesn't know about it?), so it is much easier to get someone to buy it (compared to a digital product).
Lower refund rates (due to the fact that, in order to get a refund, customers need to ship back the product at their own cost. And many of them find it too much of a hassle - Unless the product is really of a horrible quality).
Disadvantages
Much lower commission levels (between 1% and 10%) as compared to digital products.
Most of the affiliate networks that you can sell physical products with require you to have a website (with a considerable amount of traffic) when you first sign up with them.
Money Making Opportunities As An Affiliate Marketer
By: Jun Yuan Lim
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