“You need to build an internal calculator. You need to know exactly how your offers convert, so you can make a decision on how much to pay out. A lot of times, vendors will go negative during the first sale, but know their backend so well, that they can recover a lot of that revenue post-transaction, or on a continuity basis, based on your stick rate. Knowing and understanding the lifetime value of your customer will be huge in determining the payout,” DeHerrera said.
Hi Jamie, awesome content that is very helpful esp with the resources, links and the rich discussions. Want to start e-commerce and blog for money…selling others products, want to go full on with this, tired of the daily routine crunch working for others. I live in a developing country (PNG) that has high internet costs (work still in progress with getting rates down…) so will see how I go with your posts. Any advise? Don’t have a website yet, have to build one I guess….
“I emailed each partner via a mass broadcast email to let them know to stop sending traffic. I chose that route immediately because it informed everyone quickly, and allowed them time to stop sending their highly-targeted traffic to an offer not making them any money. After the broadcast, I began to personally call, Skype, Facebook, and text all the contacts one at a time. I wanted to ensure them we were doing everything possible to make things right, and thank them for their support,” he said.
Wow, Jeff! Fantastic article. Lots of great info to refer back on. You first came to my attention through the Profit Academy coaching & I sought your website from there. I love your very personal writing style. It is obvious that you are passionate about your work and care about people. You share top grade knowledge without the fluff. It is a powerful combination and why I listen when you speak. Thank you for gifting us the benefit of your insight.
In the BigCommerce affiliate program, you receive a 200% bounty per referral and $1,500 per Enterprise referral, with no cap on commissions. Plus, the more referrals you drive through the program, the higher your commission tier will go. BigCommerce uses an industry leading 90-day cookie, so you will receive credit for up to three months for the referrals you generate. Also, there are no obligations or minimum commitments to join the program.
The main downside to dropshipping is that as the store owner, you’re responsible for customer support. Fortunately, you can easily outsource the customer support to someone who specializes in it on Upwork.com for an affordable price. All you need to do is provide guidelines and general responses for the customer support representative to follow. By outsourcing this component, you free your time up to focus on marketing and optimization. This allows you to grow your business faster.
Unlike with advertising networks, you’ll rarely be rejected when applying to an affiliate network or program based solely on your audience size. I’ve processed thousands of applications and have never rejected someone for that ridiculous reason. Most program managers happily accept bloggers of any size because they know the blogger’s reach will grow in time and if they’ve nurtured the relationship early on, it will benefit the company when they break out.
If you are overwhelmed by the sheer number of advertisers that list their products on affiliate networks, you can simplify the process by looking at what products and services your competitors and other similar websites are promoting. If several other websites are all promoting a specific advertiser and they have been for several months, there’s a good chance they are making good money by promoting that advertiser. To identify which advertising network a particular advertiser is using, simply do a web search for the name of the advertiser followed by the word “affiliate program” and the sign-up link will appear more often than not.
At this point, what a lot of people are probably thinking is whether or not it is worth 15% of potential profit to have a business that is “hands-off”. By “hands-off”, people commonly think that I mean you are not processing orders or handling customer service. And I don’t want you to think this way because it’s a much more complex situation. It’s not that simple.
Honestly speaking, both dropshipping and affiliate marketing requires hard work to start. Most people enter online marketing thinking that they can easily get rich by making the website and streams of income will start popping out in no time. That is a grave mistake. Whether it is dropshipping business, affiliate marketing, or any other online business, it requires consistent effort to grow the business.