After you’ve been an affiliate for a while, you may develop your own product, or purchase master resell rights to a product, which would allow you to start your own affiliate program, where other people sell the product for you, for a commission.
Getting an affiliate program set up for your product is easier than you may realize, and in some cases, there is no cost involved in setting up such a program, if you know where to look and what to do.
Point 18: Understand The Importance of An Affiliate Program
An affiliate program for your product gives you the ability to reach people in your market that you may not have reached any other way. While you will be paying out commissions to your affiliates, and there may be some initial cost in getting the program set up, you will find that you profit more by having an affiliate program.
An affiliate program essentially gives you your own private army of salesmen, all selling your product. Of course some affiliates will sell more than other affiliates, and some affiliates won’t sell anything at all, or even take any steps at all to sell your product – but the ones who do make an effort will earn you profits. |
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Imagine trying to contact the entire world all by yourself. There would be a massive involvement of time, money, and energy, and you probably still couldn’t reach everybody that you need to reach. With an affiliate program, you don’t have to. Your affiliates will go out and spread the word for you. They can reach more people in a shorter amount of time than you can by yourself, and this means that you make more sales faster.
Depending on your product and the countries that can make purchases through your merchant processor, you can literally have orders coming in from around the world in a matter of a couple of weeks after launching an affiliate program for your product.
While affiliate programs are virtually automated, there will be some effort required on your part not only to start the program, but also to keep it running smoothly so that you and your affiliates continue to profit. Don’t be a bad affiliate manager! Make sure that your affiliates stay motivated, commissions are paid on time, and that you provide your affiliates with the tools that they need for success.
Point 19: Use The Right Affiliate Management Software
There are many options when it comes to affiliate management software. It is vital that you use software to monitor affiliate sales and commissions. Trying to keep up ‘manually’ is not an option.
You simply set up your affiliate program using web based software. Then, you write the affiliate terms and conditions, as well as the affiliate agreement, and get that posted on the site.
When writing the terms and the conditions, you determine what the commission structure will be for your program, including whether you will have a two-tiered or multi-tiered program, and what the commission payout will be for each tier. Following this, you list your program with the various affiliate directories online.
There are many different software titles that can be used to manage your affiliate program. Affiliate Wiz is good software, at www.affiliatewiz.com , as is All Affiliate Pro at http://www.allaffiliatepro.com . There is also web based services that can be used, to run an affiliate program, such as 1ShoppingCart at www.1shoppingcart.com .
There are even easier ways to set up an affiliate program by using an affiliate network, such as ClickBank at www.clickbank.com, Commission Junction at www.cj.com , or PayDotCom.com at www.paydotcom.com . Again, there are many to choose from, and using a network to manage your program is usually the easiest and fastest way to get an affiliate program up and running.
The important thing is that the network or the software used should provide each affiliate automated sign up, and assign them an affiliate link. The software or service should then track clicks and sales, and record commissions earned by affiliates, based on the information you put into the system at the very beginning.
Ideally, affiliates should have the ability to log into a website to view their affiliate statistics, to retrieve creatives such as banners and ads, and to change their own contact information as needed. You will find that the more automated the affiliate program system you use is the more smoothly the program will run.
Use caution when selecting software or services for your affiliate program. Some services and software are very high priced, while others are very low priced – but not all affiliate program management services and/or software are created equal, and some are better than others. Read customer reviews and try to contact people who are using the software or service personally for a recommendation before buying one.
Next: Launching Your Own Affiliate Program (Part 2)
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