Do you want to start a business around affiliate marketing? Who does not want passive income? This can be the holy grail for those working from home or for those who are at work and want to start something on the side.
Over 90% of all blogs have affiliate marketing and this is their main source of income. Affiliate marketing is where you have a URL link sending traffic to another site to make sales and then you receive some commission. The link from your site is a unique link given to you by the affiliate company or the product company.
I will show you how much affiliate marketers can make each month and then the steps on how do you make money with affiliate marketing.
51 Amazing Facts About Blogging
Lets Look At Some Facts Around Affiliate Marketing
Affiliate marketing is a powerful strategy for any blogger and can generate a huge passive income to your blog.
Knowing some facts around this can give you the evidence that this can help your blog.
- 40% of marketing professionals quote affiliate marketing as the most desired digital skill
- 78% of CMOs admit affiliate marketing to be their least mastered area of digital marketing
- Approximately 15% of all digital media industry’s revenue comes from affiliate marketing
- Developed affiliate programs account for generating 15% to 30% of all advertiser’s online sales
- 38% of marketers call affiliate marketing one of the top customer acquisition methods
- Nearly 50% of affiliate-referred traffic originates from a mobile device
- More than 30% of affiliate-generated sales originate from a mobile device
- ShareASale affiliate network has more than 1,000,000 affiliate accounts registered
- Over 80% of brands utilize affiliate marketing
- In the UK brands spend £1.3B a year on affiliate marketing and lead generation
- In 2015 Amazon.com revenue surpassed $100B. Likely, its affiliates generated at least $10B of it
- As early as in 2008 Amazon’s affiliate program already had over 2 million affiliates aboard
- Rakuten’s acquisition of Ebates for $1 billion marked largest amount paid for an affiliate
- More than 75% of Australian market is owned by one affiliate network – Commission Factory
- In most affiliate programs less than 10% of affiliates drive 90% of traffic and conversions
- Over 50% of top affiliate programs fall into 4 categories: Fashion, Sports, Health & Beauty, Travel
Now have a look at what some bloggers are earning each month.
The process can be split between the following three areas and I want to show you what they mean.
- The Merchant
- The Affiliate (this is you)
- The Consumer Sales Funnel
1.The Merchant and How to Link Up With Them
An affiliate merchant is a business that increases it sales, traffic and brand awareness through online advertising through affiliate websites.
Merchants will give the support to affiliate blogs in terms of text links, static banner ads, flash banner adds, videos and even emails.
Here is an example of a blog that has an affiliate link to amazon site.
The reader can click on this affiliate link in the post and can go direct to the merchant. Here is another blog that has a number of affiliate links on the same page.
Once the reader has clicked on the Check Price link, this will then open up the merchants site which actually sells the products. The customer then may end up buying the projector
The link page has the code embedded so that if the customer buys this product then the affiliate will receive some commission.
The biggest advantage to the merchant is there is no cost of advertising a product as this is mainly borne by the affiliate who is driving traffic to their site.
The second advantage is that once a customer has bought a product say from Amazon then the customer is more than likely to go back to buy more products in the future.
Where To Find Merchants
To join Amazon affiliates it free!! To join you need to go to Here and sign up with them.
Once you have registered with them, you go through and start to source products around your niche. When you have found a product, you can copy the link and pictures over to your site.
The picture or the HTML can then be copied over to our site. You can get a link to any product on Amazon.
The commission varies with Amazon but the more you sell then the more you earn. The cap is at 8% for some products and 10% on digital video games.
Amazon is a trusted site and probably has the highest conversion rate than any other site.
Amazon.com is also a master of marketing. Its layout is specifically designed to be easy to navigate, helpful, and of course sell products. Amazon has top notch professional web designers that know what they are doing.
Clickbank is another affiliate site where there are thousands of products to pick up to markets in your blog. Clickbank sells digital products. Have a look at the different categories they can offer.
As more and more people are buying into digital products then this is a great site for start your affiliate journey. There are over 10,000 products to choose from. To pick a product to market, you need to understand how to read the information they supply.
- Initial $/sale: How much money you make for each sale
- Avg %/sale: The percent commission you make of total cost
- Avg Rebill Total: If there is a recurring payment, the average total of all rebilled commissions
- Avg %/rebill: If there is a recurring payment, the percent commission you make
- Grav: How many affiliates have made commissions in the last 12 days
A high commission, recurring payments, and a high gravity is what you want to look for. Be sure to watch out for that gravity!
The above has low gravity and low commissions and so please stay away from these types of products.
These are very good examples what to look for. High dollar amount per sale, recurring commissions, and a high gravity. How do you make money with affiliate marketing is easy once you have the right merchants set up and aligned with.
2.The Affiliate – This is You and Your Blog
You need to pick merchants that are around your niche to add value to your clients. If your niche blog is about home projectors then you don’t want to have affiliate links to garden furniture.
Pick a handful of good products that you have used or are very familiar with. You want to be successful in channeling your reader to click on the link and so your post and site must be adding huge value to the reader.
The blog above is reviewing the Best Facial Steamers and the author clearly loves health products and has done her research. Each link is an affiliate link back to Amazon for the customer to buy.
Please make sure that the products are you are recommending are the best for your readers.
In Wealthy Affiliates by Kyle and Carson founders, they have set up probably one of the biggest affiliate marketing site in the world and they confirm that you should choose your niche based on things that you are interested in.
The Best Affiliate Marketing Course
3.Consumer Sales Funnel
Consumers are looking for great high quality content and want to read posts that are informative and can add value to them. This creates trust between the blog and the reader and thus will keep the reader on the site longer.
Once this has been established there is a high chance the reader trusts the recommendations and would be happy to click through the links provided.
How Do You Make Money With Affiliate Marketing doesn’t need to be hard. With a little research, anything can be easily done.
There are thousands of people making money with affiliate marketing. How do you make money with affiliate marketing – take the steps to join a merchant for your blog.
There are of course numerous programs that help learn more about affiliate marketing for beginners. Click here if you want to join one for free.
- You (affiliate) sign up for an advertiser’s affiliate program, so that you get an affiliate link (a special URL which contains the username/id of the affiliate).
- Whenever you mention the advertiser on your website you use the affiliate link.
- A customer visits your website and clicks on affiliate link to visit advertiser’s website.
- The advertiser drops a cookie to your customer’s computer.
- The customer orders something from the advertiser’s website.
- As the customer completes the checkout process, the advertiser checks the cookie on his/her computer.
- The advertiser finds an affiliate cookie that belongs to you and credits you for the sale.
- The advertiser updates the reports to shows all the clicks (traffic) and sales generated from your affiliate link.
- Commissions are paid out – usually on a monthly basis – for all the leads/sales referred in the previous month depending upon advertiser’s payment policy.