Let’s get right to the bottom line. In order to make big money you need lots of sales. In order to make lots of sales you need lots of traffic. In order to get lots of traffic you MUST pay for it. But….. you don’t have to pay in advance. You can pay only after a sale was made. Sounds good, well it is. and we call it Affiliate Marketing

With PPC you Pay Per Click. With Affiliate marketing you pay per performance – for every sale the affiliate makes you pay a commission. Most of you already know it.

The big issue in the business is to attract more and more affiliate marketers to promote your product.
There are many ways to do so. On this post I will not cover them all (Yes you will have to visit my Blog again and to read the rest of this posts series )

The goal of affiliate marketers is to make money, the same as you. The offering is almost endless and you have to differentiate your product in a way. Your product and the things around it must support the affiliate marketers with their sales efforts.

Before you are running to develop a complete set of tools for affiliate marketers (which are absolutely important) you have to think about the most important obstacle – the product price, the pay out – How much money the end user need to pay.
Did you know that for a digital product with price tags less than $50 the chances to be sold are higher than a product that cost more than $100. You need measure very carefully what is the added value of your product to the consumer. How much the majority of the potential buyers will be willing to pay?

Suppose your market is estimate with 10,000 people. 10% will buy the product for $37 and only 2% will buy it for 97$. What is the price that you will choose to your product?

Affiliate marketers are well experienced with sales. It’s their professional. If you are not sure about the best price for your product, consult about it with them!
An experienced affiliate marketer can be your best advisor on this filed.

When you set the product price you need to decide about the commission percent – How much an affiliate marketer will get for every sale.
Ask yourself how much effort you need to put on your product on a daily basis. Usually e-Book is not a product that you need to give support in oppose to software. Therefore you will find that in most of the cases the commission for an e-Book is 75% (It’s the highest commission that a publisher can give on ClickBank).

Try to create a WIN WIN situation when you set the product price and the affiliate commission. If everyone can be happy that you can move to the next step – How to find the affiliate marketers to promote your product.
Read about it in my next post on this series.

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