Next Level of Affiliate Marketing
How will referring new affiliates to an affiliate program
make me money in the future?
make me money in the future?
An affiliate is a marketer who sends visitors to another
site using a variety of methods (such as placing banners
or text links on their own site, buying sponsored listings
on search engines, email marketing and many other
different methods) and gets paid when an action happens.
site using a variety of methods (such as placing banners
or text links on their own site, buying sponsored listings
on search engines, email marketing and many other
different methods) and gets paid when an action happens.
This action can be a lead (CPL stands for Cost per Lead),
a Sale (CPS stands for Cost per Sale), a download
(CPD stands for Cost per download) and many other
variations.
a Sale (CPS stands for Cost per Sale), a download
(CPD stands for Cost per download) and many other
variations.
Some in the Internet industry refer to performance
based marketing as CPA (cost per acquisition), although
the term is also sometimes used for specific types of
campaigns such as leads or sales.
based marketing as CPA (cost per acquisition), although
the term is also sometimes used for specific types of
campaigns such as leads or sales.
Now that we’ve got over the hard part, the rest is
easy to understand.
easy to understand.
The affiliate gets paid for sending visitors to a specific
landing page where an action happens - either a lead,
a sale, a download or some other sort of action that
the advertiser requires. As an example, some advertisers
are looking to build up their databases, so they pay
for each opt in email address they receive, others want
leads from specific locations, so they pay for zip codes,
and then try convince the visitors after they fill in their
zip code, to fill in a more detailed lead form.
landing page where an action happens - either a lead,
a sale, a download or some other sort of action that
the advertiser requires. As an example, some advertisers
are looking to build up their databases, so they pay
for each opt in email address they receive, others want
leads from specific locations, so they pay for zip codes,
and then try convince the visitors after they fill in their
zip code, to fill in a more detailed lead form.
The common denominator is that the affiliate gets paid
when an action happens.
when an action happens.
A 2 Tier affiliate program is simply finding new marketers
to sign up under you to do EXACTLY what you are doing -
sending visitors to different offers and getting paid
when the visitors perform some sort of action.
to sign up under you to do EXACTLY what you are doing -
sending visitors to different offers and getting paid
when the visitors perform some sort of action.
So why would you want other marketers to sign up under
you to promote the same offers? Simple - you get paid
a percentage of the amount the affiliate you refer gets paid?
Sounds complicated?
you to promote the same offers? Simple - you get paid
a percentage of the amount the affiliate you refer gets paid?
Sounds complicated?
Don’t worry, it’s not hard to understand. As an example,
say John promotes 5 different offers on a single affiliate
network.
say John promotes 5 different offers on a single affiliate
network.
He gets paid for every lead, sale, email and zip code he
generates from these different offers. John now tells Mark
about the Network and gets Mark to sign up using a banner
or text link that has John’s referral code built into it.
generates from these different offers. John now tells Mark
about the Network and gets Mark to sign up using a banner
or text link that has John’s referral code built into it.
Mark now signs up to the Affiliate Network under John
and starts promoting various offers and advertisers from
the Affiliate Network. These offers DON’T have to be the
same offers that John is promoting. Mark can promote
ANY of the offers on the Affiliate Network.
and starts promoting various offers and advertisers from
the Affiliate Network. These offers DON’T have to be the
same offers that John is promoting. Mark can promote
ANY of the offers on the Affiliate Network.
And this is the best part…
For any amounts that Mark gets paid, John receives a
percentage of the amount over and above what Mark gets
paid. So if Mark gets paid $1000 in Month 1, and the 2 Tier
Affiliate program is paying 5%, then John would receive
$50 just for referring Mark.
percentage of the amount over and above what Mark gets
paid. So if Mark gets paid $1000 in Month 1, and the 2 Tier
Affiliate program is paying 5%, then John would receive
$50 just for referring Mark.
But it gets even better…
Some 2 Tier Affiliate Networks pay LIFETIME commissions.
So John wouldn’t get a referral commission just for a month
or a year - he receives it FOR ALL TIME.
So John wouldn’t get a referral commission just for a month
or a year - he receives it FOR ALL TIME.
If Mark becomes a super affiliate and starts generating
HUGE commissions every month, John can just sit back and
collect the checks as he referred him.
HUGE commissions every month, John can just sit back and
collect the checks as he referred him.
There are 3 important things to know when finding affiliates
to sign up under you on 2 Tier Affiliate Programs:
to sign up under you on 2 Tier Affiliate Programs:
Is the affiliate program or affiliate network credible, has
proper tracking so your referrals are correctly tracked, has
good campaigns and offers for the affiliates to promote so
they actually do make money, and do they pay timeously?
proper tracking so your referrals are correctly tracked, has
good campaigns and offers for the affiliates to promote so
they actually do make money, and do they pay timeously?
Assuming that the affiliate program or network is good,
what percentage do they pay you on amounts that your
referrals get paid? All programs vary so compare different
programs to see what the industry standard is.
what percentage do they pay you on amounts that your
referrals get paid? All programs vary so compare different
programs to see what the industry standard is.
How long do you continue receiving referral commissions for?
Some pay for a month, some for the lifetime, and of course
there are many variations in between.
So do your homework and find a 2 Tier program that can
make you money long in the future for the work you’re
doing today.
there are many variations in between.
So do your homework and find a 2 Tier program that can
make you money long in the future for the work you’re
doing today.
Thanks for the useful tips. Do you have a topic on a list of reliable affiliate programs?