Affiliate programs are an excellent way to make money online, particularly if you
don't have a product or service of your own. Here we have answered some of your most frequently
asked questions.
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Frequently Asked Questions |
What are affiliate programs?
Affiliate programs are revenue sharing agreements between companies and Webmasters. In return for
placing product links on websites, in ezines or advertizing, the company pays the Webmaster
a stated commission when a customer purchases a product or service thru the Webmaster's link. This
is a rapidly growing, cost effective way for businesses to increase sales and for webmasters to
make money.
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How much money can a webmaster make with affiliate programs?
The potential for high earnings is tremendous. Affiliate marketing is a 100+ billion dollar
industry, and growing strong. However, many affiliates only earn a few dollars a month. It all
comes down to you. High earners know the products they are promoting, know their customer
base and have put real effort into promoting the programs. Many affiliates simply put a link
on their site and expect the money to come rolling in - that simply isn't going to happen.
As with any other business time and effort is going to produce the most rewards.
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Do I need a web site?
Some programs state that you don't need a website to promote their products, but I believe it is
far easier and more profitable if you do have a website. With your website you build trust and
confidence with your customers, making them far more susceptable to believing in a product that
you are offering (and far more susceptable to purchasing the product once they get to the product site),
than if they are just reading a cold ad by an unknown entity.
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How much traffic do I need to make money with affiliate programs?
It's a given that the more traffic you have the more chances you will have to make a sale. But
a lot depends on what you do. For instnce, does the product or service you're promoting
fit into your website theme and customer base? Do you write articles and actively promote the
products or do you simply set up links and banners?
Bottom line, if you have 15,000 unique visitors a month (500 per day) and make a good effort to
promote the products you should be able to begin earning a decent income from your
affiliate programs.
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What is a two-tier program?
Two-tier affiliate programs pay you a commission for any sales you make directly, and also pay
you a commission (usually a substantially smaller percentage) on the sales of any sub-affiliates
that have signed up for the program from your links.
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Isn't a two-tier program the same as multi-level marketing?
A two-tier program is simply that. There are not multi (many) levels involved. There is no "downline
spill-over". You make your commision for products/services sold, and receive a small percentage for
the recruitment of other "sales people", and that is as far as it goes.
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Can I make a living just from associate programs?
Most Webmasters use affiliate programs as a supplement income, apart from their main service or
product, but with some creativity and effort, you can certainly make a living with them.
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What is the best affiliate program?
That would depend on your site. The best affilate program for your site, might not work for someone
else's site. You need to direct your attention to products that are suitable to your site and to
your customers. That is what will make the best program for you. You can also check out our
Top Affiliate Programs listing.
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How can I increase my commissions?
If you are primarily using banner ads, try using text links instead, or in addition to. Text links
receive a much better click-through/sales ratio than banner ads.
Secondly, personal product endorsements will be received very well by your customers, and could
double or even quadrouple your sales. To do this, purchase the product/service for yourself so
that you can write a truthful, enthusiastic endorsement.
Thirdly, promote good two-tier programs and/or programs that provide residual income from sales.
This will give you extra income, without extra effort. For a listing of some of the best programs
in this category see our
Top Affiliate Programs.
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What is the best way to promote an associate program?
Personal endorsements are a very effective way to promote a product. Placing them in your opt-in
newsletter should boost sales even more. For more in-depth information on promoting affiliate products
join Ken Evoy's (free to join)
5 Pillar Club and read the FREE affiliate manual.
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If I sign up with an affiliate program, can I have links on my site from other
programs?
Yes. There are only a handful of companies, such as Barnes & Noble that have an exclusivity clause.
Just make sure all the programs are relevant to your site, and that you don't have a hodge-podge
of links and banner ads that will ultimately distract from your site theme and appearance.
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Do most affiliate programs require that their products be related to my site
theme?
There are some companies, Disney for example, that require a certain type of site, but the majority
approve you instantly without any type of site check. More important to you is not whether they
approve you, but rather is the program right for your website? There are many affiliate programs
out there relating to almost every type of business, so be choosy!
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What are the worst mistakes affiliate marketers make?
The worst thing any marketer or business person can do is send spam (bulk unsolicited email).
Not only will your reputation be ruined, but you may lose your Internet service provider as well.
Secondly, selling products/services that are not what they claim. Make sure you check out the program
and the product/service before you apply - try it out yourself, if necessary. To keep your reputation
in tact, you should only promote quality products backed up by a quality program.
Thirdly, make sure you have a well oiled website. A website that is very slow, is poorly organized,
has a color scheme that is hard on the eyes will not keep visitors, they will quickly click away. Most
importantly, make sure your website is search engine optimized or customers won't find you. If you
need more information on this topic go to
Search Engine Optimization.
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Do I have to pay taxes on income from affiliate programs?
Yes. Whatever tax laws in your country, state or locality that apply to the income you earn,
apply to an Internet business as well.
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I don't live in the USA. Will companies still pay me?
While there are a few that won't, most companies are set up for International business - this
is the World Wide Web after all. Make sure you read the agreement contract before you sign up
for any affiliate program.
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