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Posts Tagged ‘eccommerce’

Affiliate Selling – What Not To Do

Thursday, December 17th, 2009

The affiliate marketing industry has grown at the same rapid rate as the Internet itself. As online retailers become more widespread and better established, affiliate sites provide another way to drive targeted traffic and at the same time make some bucks for themselves. When it comes down to it, both parties win. That said, there are some big problems that affiliates face, and they usually pop up time after time. Lets take a look at three of the most common and fatal mistakes made by affiliate sellers.

Thinking too small. What most affiliate marketers forget is that even if a market is big enough to support an online retailer or two, that doesn’t necessarily mean it’s big enough to support affiliates. This site selling snowboards for example may be able to survive, but seeing as they will only pass on around 10% of the profits to affiliates, it is unlikely that affiliates sites could servive in such a niche. This means that affiliates are required to umbrella a good number of smaller niches in order to stand a chance of capturing a decent amount of the overall market.

Thinking too large. When products cost a great deal of money, like buying a swimming pool or luxury cruises for example, sellers take a lot of time over their decisions.It is quite rare for buyers to follow affiliate links for expensive goods or services and then buy them on the same day. They will do more research, ask relatives, go to travel agents etc. And by the time they come to make the purchase the tracking cookie or alternative will have expired in lots of cases. Sticking to smaller items including gifts and downloads is far more likely to get results and people are more likely to buy these quickly.

Not competitive enough. With any successful market it is not long before it attracts quite a crowd, and you find that you are not only competing with lots more affiliate marketers, but on top of that you have to try and boost your profile over the online merchant. Of course, whilst they are marketing themselves with the goal of getting 100% of the sale, you are marketing for usually a much smaller percentage. What this essentially means then is you need to put in more effort or more ingenuity to keep ahead of the others.