Sunday, January 25, 2009

How To Choose the Best Affiliate Program


There are actually different types or classes of affiliate marketing, and the number of types will depend on how one will classify them. The most basic affiliate marketing programs, however, falls under two categories: pay-per-click (PPC), and pay-per-performance (PPP).
  • Pay Per Click (PPC)
    PPC is the most popular type of affiliate marketing for affiliates with small websites, and probably the easiest way for them to earn money. In this affiliate marketing type, the merchant pays his affiliate whenever a visitor is referred to his site, that is whenever someone clicks through the merchant’s banner or text ads. The affiliate gets paid a certain amount even if the visitor he referred does not purchase anything from the merchant’s site. However, typical fees for PPC affiliate programs are small, usually not exceeding a dollar for every click.
  • Pay Per Performance (PPP)
    PPP affiliate marketing is the most popular among merchant and is also the most lucrative type for the affiliates. In this type of affiliate program, the merchant only pays the affiliate whenever his referral translates into an action—that is whenever the visitor he has referred actually buys something from the merchant’s site or when the visitor becomes a lead. This means a lot of savings for the merchant. On the other hand, it becomes the most lucrative type for the dedicated affiliate, for commissions in PPP affiliate marketing usually comes in the range of 15% to 20% of the actual product sales.

There are 4 easy way to help you choosing the best affiliate program:

1. Check their conversion rate.

The first important aspect that can help you to target the best affiliate programs is to check their conversion rate mentioned in their corresponding affiliate network. Conversion rate is the percentage of visitors that your partner succeeded to convert them into sales. For example, if 1000 customers visited your website and only 100 of them purchased a sale, then your conversion rate is 10%. A good conversion rate is typically between 3-5%.

2. Have a deep Look at their website and Think of the following:

Do you have any difficulty navigating through their website?
Are they sand alone company and a well established one?
Would you ever shop on their site?
Is it easy and practical to purchase a product from them?

3. Never ignore to see how wild the competition is.

Before you join an affiliate program, consider is the competition in the market of the affiliate products you’d like to attack. To do so, type a key word in Google to see how many websites are targeting the same keyword. Additionally, if you find a decent amount of interest, say a thousand or more combined monthly searches on keywords directly related to your idea, then you may be in a solid niche.

4. A narrow niche should be your target.

In deed, the choice of your affiliate marketing partner involves a wise selection of his corresponding niche. It is not suggestive to target a niche or a key word where other millions of websites are competing to gain the lion share of the pie. Basically, to target the best affiliate program target a keyword such that the competition is not that high and concurrently receives fair amount of traffic. A niche with few thousands corresponding websites and receives around 1000 query per month is a nice one to start with.

You definitely also like this article: How to Success in Affiliate Marketing

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