Today I'm going to share some of the most effective ways of monetizing your website to help you get into the profit sooner and to put things into perspective.
Chances are by now you've got your website up and running, written some content and you may even be getting visitors to your website by now. If so, great work! If not, don't stress!
If you're not quite ready for this bonus training that's fine.
Just complete level 3 of the training inside Wealthy Affiliate and bookmark this page so you can come back when you're done.
Does It Matter What You Promote?
Not all affiliate programs and products are created equal. Some are very profitable and others will leave you high and dry. Imagine there are two identical websites... same traffic, same content, same niche, same everything! Let's also pretend that Google doesn't hate duplicate content lol.
Anyway, one site makes 10 times more money than the other site. How could this be?
Assuming everything was exactly the same, it would be because of the product the person is promoting! Believe it or not, this is what can happen online. Some make tons of money, some struggle to even cover their costs.
The point being, just understanding the key differences between the different products and affiliate programs can make or break your success online. Really? Yes.
Low Ticket VS High Ticket Products
Most beginners tend to gravitate towards promoting lower priced products in the very beginning. This can be a mistake. You might be thinking it'd be easier to sell lower priced items though right? The more you sell the more money you can make?
To some extent that's true, but this is not the way to go and I'll explain why so stick with me.
You see, as an affiliate you are the one putting in all of the hard yards. You are the one writing all of the content, working hard on your site and sending all of your high quality traffic to the merchants website. After all of that, should you really sell yourself short and promote a product that only costs a few bucks? I'm hoping you said no!
This is a massive waste of your hard work I can assure you, and this gets much worse when you are paying for traffic. Fortunately with the training Wealthy Affiliate provides you don't need to pay for traffic, but paying for traffic to promote low ticket products is a very bad idea on it's own. Smart marketers either promote higher ticket products, have a good sales funnel in place or leverage email marketing. You are new to this, so trying to get your head around those strategies at this point on top of building a website etc. isn't a good idea.
I recommend looking for higher ticket products and recurring commissions.
For example, you could slave away trying to sell 20 x $5 widgets that pay you a 10% commission and bank $10. Cool. I'd prefer to sell 2 x $100 premium widgets to the right audience that pays out 10% commissions and bank $20 which is double the profit for 10% of the work! Makes sense right? Work smarter, not harder. We've all heard people say that, now it makes perfect sense and applies to your business.
So what's the perfect priced product to promote? That's a tough question and I don't think there is one, but I personally don't recommend promoting products that cost less than $20. Ideally, products going for between $20-$50 are decent. But...
Commission Rates Matter
Having the right priced product is good, but equally as important is the commission rate.
For example, you might be selling a $10 product that has a 50% commission rate OR a $5 product with a 100% commission rate. Both of these options are possible and viable and pay the same amount of profit.
Snapshot of Some Popular Affiliate Programs
Affiliate networks like ClickBank pay in excess of 50% commissions and the products are generally priced quite well. They have a broad range of digital products like courses in the health niche, Internet marketing, trading and self development niche among others. They are a pretty decent company to work with all things considered.
Amazon pays 4% commissions which isn't great, but it is adequate and there are perks to promoting Amazon products. Like the level of trust customer already have and the fact that you can make money on anything they buy within 24 hours of clicking on your affiliate link. This has happened to me many times. The other cool thing about Amazon is you can bump up your commission rate to 10% if you prove yourself to be a good seller.
Then there's places like Warrior Plus that pay their affiliates the full 100% commission on the 'front end product' sales which are generally under $10. What the heck is a front end product? It's just a low priced product designed purely to get people in the door as a customer. This is a smart method of marketing.
You see, when you promote one of their products and someone buys through your link, the customer always puts their BEST email on the order page because it's where their product is sent to. Guess who get's that buyers email address? The product owner!
They are willing to sacrifice the entire front end sale just to get that ONE email address from the customer because they know how valuable it is and they intend on marketing to this person over and over again to break even and make a tidy profit. The vendors within Warrior Plus also take 50% on anything the customer purchases after this, meaning all the upsells.
As you can see, there are various ways things are structured online and you can make money with any legitimate affiliate network. It pays to understand these concepts though so you can maximise your results and build the most profitable business possible.
This is one of the most powerful models you can get your hands on. If you can find a good product or service to promote with recurring commissions you can make a solid income online. You don't need to promote something like this to make a full-time income, but it is a very powerful way of doing it.
The reason being is that you can make a reasonably priced sale and it will continue paying you month on month. Let me give you a quick example of how powerful this is:
- Month 1: Earn 10 x $20 commissions= $200 per month
- Month 2: Earn 10 x $20 commissions= $200+ $200 ($400 per month)
- Month 3: Earn 10 x $20 commissions= $200+ $400 ($600 per month)
- Month 4: Earn 10 x $20 commissions= $200+ $600 ($800 per month)
- Month 5: Earn 10 x $20 commissions= $200+ $800 ($1,000 per month)
Achieving these kinds of sales is very realistic once you get into the swing of things and as you can see, it doesn't take very long for the profit to start adding up! Of course, not everyone will stay a customer but if you choose a good product to promote, many will.
What About Google Adsense?
A few of my referrals have asked me how worthwhile placing Google Adsense ads on your site is. For those of you that don't know, Adsense is just advertising banners you can place on your site and when people view or click on them, you make a few cents. It can be potentially lucrative BUT you need an absolute sh#t load of traffic to make this work.
When I was testing Adsense out on my site over a 5 month period I had about 75k eyeballs on my ads and only banked about $100 for my troubles! Granted, it took no extra effort and I only had one ad right down the very bottom of my site, but the point is I wouldn't get too excited about it. Adsense can absolutely work well for sites with massive traffic numbers but even then I would still rather promote an affiliate product.
It is also worth noting that getting accepted to Adsense can be tough if you have a new website and accounts sometimes get banned for no good reason. Never, and I mean never, click on your own ads! And always make sure you have a site full of high quality content.
Hopefully I haven't overloaded you with too much content here, don't stress if you are feeling a little overwhelmed. Anything new takes time to master. It's OK 🙂
The purpose of this was really just to give you some insight into how the money part of an online business works and the different kinds of products you can promote. In closing I want to answer the question that is likely on everyones mind right now...
What is the BEST strategy to go with? Here's my take...
If you are going to promote low ticket products, make sure you are getting a slice of the pie if they upgrade or buy additional products. Otherwise, it's probably not a good idea.
As far as price and commission percentage is concerned I recommend aiming for between $20-$50 products with at least a 10% commission rate. As mentioned, this is achievable with Amazon over time as you prove yourself a good seller.
If you can find a recurring commission product you think is worthwhile then this can be a great way to go. This is the model that pays me the most each month and it can be very lucrative indeed.
150 Day Member Bonus (sneak peek)
"The tools I Use to Grow and Scale My Business"
People often ask “Tim, what strategies and tools do you use to grow your online business?” Well, the truth is, there’s no secret trick or tool that will give you epic results online, but there are some very worthwhile strategies and tools that you can use to grow your online business in a very real way.
In the next bonus, I'll reveal some of the ways I grow my websites to get maximum results.