When I first got into affiliate marketing, I tried a lot of different things. And one of the things that I tried was the deceptively high paying affiliate programs. I’ll explain what I mean about this, but let me first just go over affiliate marketing for a quick second.
Affiliate marketing is, as the name suggests, the type of business where it is the responsibility of the affiliate to do all of the marketing for the project. Therefore, instead of the person who owns the product/good doing all of the marketing, other people around the world do the selling for you. In exchange for doing all of the marketing, the affiliate gets a percentage of the revenue.
So, naturally, when you are selling a product that is only $25 and you get 10% or 20%, you only walk away with $2.50 to $5.00. On the flip side, if you are selling watches like I was with products such as Fossil and WeWood, you might only get 10%, but with a watch going for much more money (hundreds of dollars per watch), suddenly you’re seeing yourself make higher commissions. If you sell a watch, especially one of the very expensive ones, you might walk away with $100 in commission.
But, here’s the problem and the reason I wrote this post. When a watch costs $25—and there are a lot of cheap ones that do—you’ll make only $5.00 a watch. But, on the flip side, you’re going to sell many more than you would the expensive watches (potentially) because they’re cheaper. So, is it better to sell 10 watches at $25 a piece of 2 watches at $50 a piece with 10% commission. Yeah, you did the math. You want the 10 watches at $25 a piece.
But, it’s not as simple as just looking at the price of an item and determining whether it’s the one to sell. There’s actually a lot that goes into it. And that’s really what I want to talk about.
When you’re marketing, you determine the type of audience that you are going to market to. You can market to a cheaper audience—college students who might need a watch, but can’t afford an expensive one—or you can market to an expensive audience. That expensive audience might be less common than the cheaper audience, but they know what they’re looking for.
For example, if someone knows that your site is the place to go for reviews on nice, expensive watches, they’re going to come back time and time again. In other words, they’ll read what you have to say and your conversion rate will be higher because they’re in the mindset of gathering that information about the expensive watch. The same can be said for the cheap watch, but do we ever do as much research on cheap products as we do on expensive?
Affiliate marketing, according to a lot of “experts,” is as easy as throwing products up and going to town. However, that’s not the case. Instead, affiliate marketing is really choosing the type of people you want to target for a good. I want to target your average, middle class person who has $100 to spend on a watch. Do I want to target the $5,000 Rolex? While the commission is nice, how much energy will I have to put in to it to get that one commission? If I sell 100 watches at $100 before I sell 1 watch at $5,000, my commission is great.
In the end, choose your market and choose it well. The amount of money you’ll make will show based on your market research. You’ll sell fewer watches if you market to the expensive, but every commission will be greater. Good luck!
Jay is an Internet marketer who has done a lot of affiliate marketing. He runs www.WeightLossTriumph.com, a site that is affiliated with a number of merchants, including We Wood and Fossil. Jay writes reviews that help buyers make intelligent choices. fossil watch coupon code. Fossil and Wewood are good places to shop quality watches online. While Fossil and WeWOOD are two great companies that both offer affiliate marketing, if you're going to get in to the business, make sure you do your research. The research will totally pay off.