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Welcome
to Affiliate Program Guide! |
Why You Should Promote Residual
Affiliate Programs
Are you a webmaster in need of
additional income without a product to sell? If so, affiliate
marketing is your best bet. With affiliate marketing, you won't
need to worry about the products you have to sell.
All you need to have is a website
with sufficient contents that are related to the products of in a
certain online company offering affiliate programs. By becoming a
member of the program, you can start earning a certain amount of
money right away!
Affiliate marketing has become one of the most popular online
marketing methods today. In fact, almost every merchant or retailer
site today offers an affiliate program. They entice people to join
their affiliate programs by promising great benefits like large
commissions, lifetime commissions, click through incomes and a lot
of other benefits.
But would all these affiliate
programs bring off the same benefits?
Most affiliate programs would pay you, a one-time commission for
every sale or lead. Commissions for this kind of affiliate programs
are usually large, ranging from 15% to a high of about 60%. Other
affiliate programs would pay you a fixed fee for every click through
you send to the merchant's site. Programs like this often pay a
smaller fee for every click through, usually not getting any larger
than half a dollar. The good thing about this kind of program,
however, is that the visitor won't have to purchase anything in
order for the affiliate to get compensated.
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Another type of affiliate
program is the residual income affiliate program.
Residual affiliate programs usually pay
only a small percentage of affiliate commission for every sale directed by
the affiliate to the merchant's site. This affiliate commission often
comes only in the range of 10% to 20%. Because of this, many people ignore
residual affiliate program and would rather opt for the high paying
one-time commission affiliate program.
Are these people making a mistake, or
are they making the right decision?
We can't tell, for sure, if people are making a mistake by choosing a high
paying one-time commission affiliate program. But we can definitely say
that they are making a large mistake if they ignore residual affiliate
programs. Residual affiliate programs would indeed pay at a lower
rate, but merchants offering such kind of programs would generally pay you
regular and ongoing affiliate commission for a single affiliate
initiated sale!
That means, for the same effort you made
in promoting a particular affiliate program, you get paid only once in a
one-time commission program, and a regular and ongoing commission for a
residual program!
So, are the benefits of promoting residual affiliate programs clearer to
you now? Let's make them a bit clearer with this example.
Suppose there are two online merchants both offering web hosting services
on their sites. The first merchant offers a one-time commission type of
affiliate program that pays $80 for every single affiliate initiated sale.
The second merchant also offers an affiliate program, but this time a
residual affiliate program that pays only $10 for every single affiliate
initiated sale. As an affiliate, we may get attracted at once at what the
first merchant is offering, as $80 is definitely a lot larger than $10.
But by thinking things over before actually getting into them, one may be
able to see that the second merchant is offering us more opportunity to
earn a larger amount of money.
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Suppose a click on your affiliate
link results in a sale, you'll get paid once by the first
merchant. But with the second merchant, you'll get paid
monthly for as long as the customer you have referred to
the merchant continues to avail of the web hosting service. That
means that for the same effort of getting one customer to avail of
the merchant's service, you get paid monthly in residual affiliate
programs while you only get paid once in a one-time commission
type of affiliate programs.
So, are residual affiliate programs worth promoting? Definitely
yes, because you virtually get more money from these types of
affiliate programs in the long run! With the benefits that
residual affiliate marketing can provide, it would really be
unwise to ignore such programs.
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