Earlier this week I provided some tips for finding a great BANS niche. As you might expect, the main focus with BANS should be to find popular products that sell well on eBay but don’t have good representation in Google’s search results.
Today I wanted to talk about some strategy when you are using the more standard version of affiliate marketing, which is through the use of custom built niche websites and using affiliate marketing techniques such as landing pages to sell products.
The reason I broke it up into two posts is because you will typically want to take an almost opposite approach to this method of affiliate marketing. With BANS sites, you will typically want a physical product that is both popular and can easily be shipped. With niche blogs, you will actually want to avoid these types of products (for the most part) and place your focus on digital products, digital services, and other things people look to buy over the internet.
For example, if you start a niche blog and plan to monetize it with something like Amazon Associates, you can make money. The problem is, when you are marketing actual goods, there is a cost with producing these items, so you can only earn a portion of the companies take. One of my first BANS sites was to sell action figures and other types of figurines. I am an affiliate with a company that builds busts and sells them in the $200.00 range. Now, you think great comission right? Well, after they buy it from the company that makes them, that company may only get $20-$50.00 per sale. As an affiliate, you get a cut of their share. In my example, I make about $10.00 each time I sell a $200.00 item. Is that really worth it? I mean, how many busts do you need to sell in order for this to become truly beneficial?
Digital and other internet products are different, however, because there is only the one-time cost of production. This means once they’ve created the eBook, built the plugin, or written the guide, there work is done. There is no additional cost associated with selling additional copies of it. As a result, these people can offer very lucrative affiliate percentages to their affiliates.
I have one affiliate where I get 70% of the sale price, and the sale price is usually around $100.00 each. They only get $30.00 per sale, but there is no additional cost with each sale beyond the first sale so the high percentages attract more affiliates and create free advertisements for your product. As a general rule, I try to only associate myself with products that pay a minimum of $20.00 per sale, so that it is worth it each time a sale is made.
So, as you can see, if you find a good digital product, you can make large sums of money in a short period of time. Build your landing page to sell the product, then create or buy relevant traffic to your post and watch the money roll in.
A few things to keep in mind:
- Do Niche Research – Some niches are extremely lucrative, while others aren’t very lucrative at all. Focus on profitable online niches such as insurance sales, debt consolidation, and other areas that have large payouts and a lot of interest.
- Build a Christmas Site Now – If you intend to compete for affiliate sales this Christmas, your website needs to be up now. You’ll want to start building quality backlinks and give it plenty of time to earn Google’s trust. If you launch it three months or less before the holiday, people probably won’t find it.
- Affiliate Shares – There has never been a better time to be an affiliate marketer because these companies are competing for you! Feels great, doesn’t it? Monitor how much each affiliate pays and keep an eye out for better deals. If you have a large number of affiliations, keep a spreadsheet with this information to keep track of them all.
- Find What Works – If you know of some profitable affiliate campaigns, study the site to figure out what made it successful. Even if you are in a different niche, look at advertising placements, the sales pitch, or whatever else successful people are doing. Experimenting is good, but it can sometimes be more beneficial to look at what works for successful people.
Anything else you’d like to add? Let me know in the comments below!