The Death Of Afilliate Marketing

55 replies
Just read this Blog from Perry Marshall, the Guru of Google Adwords. I have not done any affiliate marketing on Google for years but know many in this Forum are still using Adwords to make a living. Below is link to Blog, though I would share !!!

Here is a Quote From Blog

Yesterday on a teleconference Amit Mehta announced the death of affiliate marketing as we know it, on Google.

The days of "thin affiliates" brokering clicks on the Big G are over.


The Death of Affiliate Marketing on Google
#afilliate #death #marketing
  • Profile picture of the author RNMKR
    I just got freakin started with Adwords... X(
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    • Profile picture of the author butters
      So basically he is saying... the day of crappy landing pages are gone and the age of good content is upon us... Thats what I am reading, its not the death of affiliate marketings, its the death of crap affiliate marketers which just spam and produce crap.
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      • Profile picture of the author Elle Holder
        Originally Posted by butters View Post

        So basically he is saying... the day of crappy landing pages are gone and the age of good content is upon us... Thats what I am reading, its not the death of affiliate marketings, its the death of crap affiliate marketers which just spam and produce crap.
        Exactly. This is actually a good thing for some of us. It's getting rid of the dross so the gold can be found!
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        • Originally Posted by ElleJ View Post

          Exactly. This is actually a good thing for some of us. It's getting rid of the dross so the gold can be found!
          Really, it isnt a good thing for any internet marketer. I know of a few people who had nice large content sites as landing pages, full of great content get their adwords accounts banned this week.

          It appears google is really cracking down on all affiliates, which isnt a surprise. They have been vocalizing their disdain for affiliate marketers for months. It will cost them a lot of money in the end.
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      • Profile picture of the author sdentrepreneur
        Originally Posted by butters View Post

        So basically he is saying... the day of crappy landing pages are gone and the age of good content is upon us... Thats what I am reading, its not the death of affiliate marketings, its the death of crap affiliate marketers which just spam and produce crap.
        That is part of the message, I am hearing that Google is looking for more content related websites for the Adwords clients. No more landing pages with opt in e-mail boxes. I am working on some very large content and keyword rich websites that will meet their new standards. They won't be as efficient as a one pager but...times a changin....
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      • Profile picture of the author StaffPartyTrivia
        Originally Posted by butters View Post

        So basically he is saying... the day of crappy landing pages are gone and the age of good content is upon us... Thats what I am reading, its not the death of affiliate marketings, its the death of crap affiliate marketers which just spam and produce crap.
        I'd have to agree with that.

        Which of course means the death of Google hiring and Google STOCK
        cuz the crap landing pages people were supporting Google.
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  • Just because one traffic source goes away, doesnt mean it is the end of affiliate marketing. There are still a whole lot of Paid traffic sources that are as good as adwords or better (for targeting). I wouldnt get caught up in this.

    This is one of those rare moments where a major change happens and you can position yourself to be at the forefront of a revolutionary new method or idea.
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  • Profile picture of the author terryd
    Didn't the death of affiliate marketing happen already?
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    • Profile picture of the author Lee MacRae
      Originally Posted by terryd View Post

      Didn't the death of affiliate marketing happen already?
      Yes...but it was resurrected....shot....resurrected....stabbed....r esurrected...run over with a google tank...resurrected....blah, blah. blah
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    • Profile picture of the author knowwow
      Originally Posted by terryd View Post

      Didn't the death of affiliate marketing happen already?
      Affiliate marketing will die and resurrect in eternal recurrence until people will be able to find other attention-grabbing headline "formulas".

      I find this attitude VERY annoying and disrespectful to audience.
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  • Profile picture of the author Profit-smart
    Google MAY lose huge market share if this doesnt work; their plan is basically to run advertising on a CPA basis for themselves.

    Adsense folks still get pennied and dimed though.

    The risk here, is that they dont make as much money from CPA as from Adwords revenue.


    I think they will though- We've been doing something similiar on our webmaster network for about 6 months so far. The difference is that we give the lions share of the profits to the webmaster running our ads.


    Anyways, its a risk. But google IS a business, and occasionally risk is necessary to increase profits.
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    • Profile picture of the author Lawrh
      Perry is transitioning to the media buying model. Zero Google dependence and potential for astronomical traffic.
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  • Profile picture of the author Zach Booker
    1) Perry just released a book about Adwords again.

    2) It's all just pre-sell for some overpriced product that won't help anybody.

    'nuff said.
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    • Profile picture of the author sdentrepreneur
      Originally Posted by Zach Booker View Post

      1) Perry just released a book about Adwords again.

      2) It's all just pre-sell for some overpriced product that won't help anybody.

      'nuff said.
      True he is coming out with a new book but many of us have seen real time what Google is doing to their Adwords clients.
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      • Profile picture of the author Zach Booker
        Originally Posted by sdentrepreneur View Post

        True he is coming out with a new book but many of us have seen real time what Google is doing to their Adwords clients.
        I've seen them just as much as anybody. I've had two accounts banned in the past six months.

        But saying this is the end of "affiliate marketing with Google" is complete hype to try and pre-sell his book and Amish's product. This happens all the time and unfortunately it catches on like wildfire and all of a sudden it's accepted as reality.

        When your accounts get banned you learn from it and create new accounts (which isn't the easiest thing to do but that's another thread all together).

        He also portrays that PPC is the only way to make money with Google neglecting to say that SEO is as strong as ever.

        There's much stronger traffic sources to be tapped into than Google. Google just so happens to be the most "newbie friendly".

        Adapt or fall.

        Zach
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  • Profile picture of the author MJ Schaefer
    Originally Posted by Matt Jutras View Post

    Beware of anyone who claims the "death" of anything.
    Agreed. I hate this kind of hyperbole. Pure link-bait, and an irritant to boot.
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  • Profile picture of the author Lance K
    The Death Of Afilliate Marketing
    Why the thread title? Nobody said affiliate marketing was dead.
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    • Profile picture of the author sdentrepreneur
      Originally Posted by Lance K View Post

      Why the thread title? Nobody said affiliate marketing was dead.
      Thread was named this because it was the title of the Blog. In the content of the blog, it explains the title. :-)
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      • Profile picture of the author Lance K
        Originally Posted by sdentrepreneur View Post

        Thread was named this because it was the title of the Blog. In the content of the blog, it explains the title. :-)
        Actually, I believe the title of the blog post included the words "on Google".
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  • Profile picture of the author AnnaHamer
    I guess it is just incentive to stick to my New Years resolution to create a product.

    funny- Just told hubby about the article and he says, "there's more to life than google" ha so true
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  • Profile picture of the author danalingga
    Yeah, adwords affiliate marketing may die but blog affiliate marketing still in great growth.
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  • Profile picture of the author Lance Johnson
    Gary Vaynerchuk's book made me think that affiliate marketing is getting rocked more than Google's changes.

    Doesn't it make sense for the thin pages that aren't offering any substance to start dying out when you have like no entry barrier to people who are nuts about their topics, and then find out they can make money with it to?!?

    Seriously, with all of the free content publishing platforms and the number of people moving online to talk about their passions it's just a matter of time until the big advertising dollars (an affiliate is just another advertiser) follow.

    But I really don't think affiliate marketing is dead. Just shifting. The sales letters are getting more and more "horizontal."
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    • Profile picture of the author sdentrepreneur
      Originally Posted by Lance Johnson View Post

      Gary Vaynerchuk's book made me think that affiliate marketing is getting rocked more than Google's changes.

      Doesn't it make sense for the thin pages that aren't offering any substance to start dying out when you have like no entry barrier to people who are nuts about their topics, and then find out they can make money with it to?!?

      Seriously, with all of the free content publishing platforms and the number of people moving online to talk about their passions it's just a matter of time until the big advertising dollars (an affiliate is just another advertiser) follow.

      But I really don't think affiliate marketing is dead. Just shifting. The sales letters are getting more and more "horizontal."
      Very good points Lance, look how much has changed in the past 10 years. We would not have even had this thread in 2000.

      It would be funny to look back at some threads from 2000....
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  • Profile picture of the author The_Archer
    It's not dead, it's a scam!! No honestly, it is neither. Fact is most people who first started with adwords, were pioneers and likely made a killing. Some people never change their techniques, that's the problem. Do you always drive at the same speed? If you do, you're not very bright.

    Same goes for adwords marketing. If you always do the same things your asking for trouble. Online marketing is something that changes daily. If you like Google adwords, thre are TONS of free information on the web (go check out the special offer section).

    Marketing, either it is online or offline is pretty much in constant change. What works today, probably won't work in a few months from now. That's the same as tradespeople who need to go take quick courses on new stuff that comes out that you need to keep working.
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  • Profile picture of the author GreatWebSuccess
    It's like all the hype about 2012, only God truly knows the end time - nobody else.
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    • Profile picture of the author blue_sky
      some governments already issued a warning towards Google..

      having a thread like this every 6 month or so kind of sucks...
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      • Profile picture of the author Lee Wilson
        I think people worry to much. I can't think of many businesses that can survive without adapting to ongoing changes. Affiliate marketing is too big to just dissappear on Google's say so. If it were that cold cut then Google themselves would suffer, a massive part of their income relies on big affiliates.

        They have to protect their long term interest and it's a no brainer that with the new FTC update they will have to also update their own TOC's. Any serious business will simply adapt. I'll bet most of the affiliates that lose their accounts rarely stay on top of their game or just give up without doing any homework for themselves.
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  • Profile picture of the author drwhogoesthere
    As far as I can see, there is little problem. As Perry's article say's as long as you have your own product to promote then your fine.

    Just create your own product.
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  • Profile picture of the author Troy_Phillips
    We must figure out how to drive a stake in affiliate marketing's heart .

    I have saw the report of it's demise at least 10 times last year .

    Shoot , I went to it's funeral... twice .

    I think we are going to need to shoot the sucker that keeps selling affiliate marketing the shovel to keep digging back out with.
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    • Profile picture of the author Zeus66
      Originally Posted by Troy_Phillips View Post

      Shoot , I went to it's funeral... twice .
      I thought that was you at the wake, making a drunken ass of yourself and hitting on the wait staff. Dang, man, we can't take you anywhere.
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      • Profile picture of the author Troy_Phillips
        Originally Posted by Zeus66 View Post

        I thought that was you at the wake, making a drunken ass of yourself and hitting on the wait staff. Dang, man, we can't take you anywhere.
        Notice I thanked your post . I think you are the smartest warrior of them all.

        You level of intellect is above and beyond any I know of .

        I would easily vote for you in the warrior of the year category .

        PS:
        I really would like to buy those pictures back
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  • Profile picture of the author Revolves
    Allen himself once mentioned that creating your own network is what you should do as a long term strategy. An example of this is WarriorForum itself.

    Many people visit certain blogs on a regular basis and do buy through affiliate links (even if they know it's an affiliate link). It's because of the great content these blogs provide.

    What do we learn? Just like you add opt-in to your landing pages so that you no longer require "traffic" to communicate to your target audience, you should pull in the traffic you get through quality content. A time will come when Google will not play a "big" role in bringing traffic to your site, it'd rather be the people who like your site and spread the word.

    Anyone interested in this kind of thinking can read up stuff written by Seth Godin. I like his ideas, maybe you will too?

    Regards,
    Revolves.
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    • Profile picture of the author knowwow
      Originally Posted by Revolves View Post

      Anyone interested in this kind of thinking can read up stuff written by Seth Godin. I like his ideas, maybe you will too?
      Yeah, although many people found it weak, I liked the "Tribe" a lot. The audio book version was free when I had it. By the way, I read all his other books and got something from each.

      Still, that he talks about tribes but not opening his blog for comments is bothering me. He is pushing the ideas and just letting people appreciate them.

      "Thank you tribe leader!"
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  • Profile picture of the author Emily Meeks
    Yay for another Sky is Falling article... if only I had a nickel for every time I saw one of those...
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  • Profile picture of the author Asher
    The day affiliate marketing dies is the day
    when all sales people cease to exist.

    Nah.

    The "death" of anything is really just a
    marketing attempt to profit on fears...

    Originally Posted by Matt Jutras View Post

    Beware of anyone who claims the "death" of anything.

    Let's face it, the "game" is going to change on a consistent basis.

    Don't fear change, adapt and outflank it.
    Quoted for truth.

    Asher
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  • Profile picture of the author Branlan17
    I think it would be silly if they banned any affiliate but um, I dunno I could totally be wrong.
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  • Profile picture of the author parlaybuck
    I believe that Affiliate Marketing will not die at all. Its a great money making opportunity, and smart marketers WILL find a way to utilize affiliates. No doubt about it. Well thats what I believe.
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    • Profile picture of the author tryinhere
      Originally Posted by parlaybuck View Post

      I believe that Affiliate Marketing will not die at all. Its a great money making opportunity, and smart marketers WILL find a way to utilize affiliates. No doubt about it. Well thats what I believe.
      I would like to think the reverse is about to happen, instead of marketers using and abusing affiliates as some disposable product, where old and used ones are fed to to the dogs as dinner bait to bannings of google and other such devices as a leftover takeaway meal of the marketer or network who does not care.

      There is enough information out there now that puts some control back into the hands of the affiliate ( or the sales person ) and the days of treating the foot soldier like crap are over.

      The days of just throwing out crap information or dancing on the edge of what is right or wrong covered in a vale of smoke and mirrors to get that elusive next magic sale regardless of any ill effect to the affiliate are over, people are tired of being treated in this crap way.

      These guys need to step up to the plate and act responsible to their teams or risk being slammed. affiliates will continue but the crap will not, affiliates have enough and wont take crap as lightly as they did before.

      For that reason those companies, networks and marketers who do look after the guys will prosper along with the loyal affiliates.

      Dish up crap and you going to be eating it at a empty table.
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  • Profile picture of the author warrior82
    No, to me this does not seem to be the death of affiliate marketing.... far from it actually..... instead i hope a new era of quality content sites instead of one landing page full of marketing and promotional talking with email optin forms is going to be started soon.

    we need to adopt the changes. good luck to every affiliate marketer for the future challenges
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  • Profile picture of the author DogScout
    Fact: 1.3% of Google Adwords customers pay 98% of Adwords gross income
    Fact: If Google banned 98% of adwords customers, their gross Adwords income would go down 1%
    Fact: If they banned 98% of their customers, their overhead would be reduced by billions.
    Fact: if they banned 98% of their customers, their net would go up by billions.

    Why would they not ban 98% of their customers in the course of the next 24 months?

    They are not idiots. It is a smart business move. AND it returns dividends to stock holders. IF they don't ban 98% of their current customers, whoever makes that decision should be fired based on having a lack of sound business practices. It ain't rocket science. Simple math. Get rid of dead weight. And in this case they have more dead weight than most. (It's the 80/20 rule on steroids!) If you are spending under 7 figures a month with them, you might cost too much to keep. (Unless you don't test and your QS sucks and so pay too much per click.)

    And as has been said, if all your eggs are in that basket, you are doing something wrong. You need to have a marketing model that relies on no single entity, Google or anyone else. If they go under or decline your business, you get to start over.

    The title of the post was to make a point, especially to his readers who focus on Adwords. The biggest point is the paragraph above^. Diversify, you never know when a resource you use will crash and burn or sink your battleship. Lol.
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    • Profile picture of the author Daniel M
      I quickly glanced at the blog. I personally had my account banned and I hadn't even used it for 6 months. I guess they did it because at one point in time I advertised a site that was against a policy, forgive me damn. Anyway, Google is just the most newbie friendly as somebody mentioned, there's still bing and yahoo and many other small engines for PPC. Even at that PPC is only one of what 1000 ways to get traffic. This just means that if wanna use adwords you have to create full blown content sites. Not all that bad.
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    • Profile picture of the author knowwow
      Originally Posted by DogScout View Post

      Fact: 1.3% of Google Adwords customers pay 98% of Adwords gross income
      Fact: If Google banned 98% of adwords customers, their gross Adwords income would go down 1%
      Fact: If they banned 98% of their customers, their overhead would be reduced by billions.
      Fact: if they banned 98% of their customers, their net would go up by billions.
      What if those few sack Google as their traffic provider?

      You must've followed the recent discussions about Rupert Murdoch considering opting their media out of the Google index. I don't think Google would want to put all its eggs in one basket either (= serving the big spenders).

      Without the competition big spenders could end up spending less for their clicks. In the hands of a few bidders, it may even be a viable scenario that big spenders share keywords and pay small fees for each their own.

      If Google wanted to reduce overhead, they'd go the way of technology. Make their dashboards more intuitive, put the power into the webmasters' hands (think Google Webmaster, Analytics, Google Adsense tracking, Google Ad Manager... the whole suit.)
      Plus, they are really pushing to sperad Google Adwords Professionals/Agencies all around. I don't think Google has a big overhead coming from the small spenders' side now, and it can it can only decrease in the future.

      I can see Google clipping off from the share of its Adsense publishers but firing Adwords advertisers doesn't seem like a possibility to me.
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      • Profile picture of the author DogScout
        Originally Posted by knowwow View Post

        What if those few sack Google as their traffic provider?

        You must've followed the recent discussions about Rupert Murdoch considering opting their media out of the Google index. I don't think Google would want to put all its eggs in one basket either (= serving the big spenders).

        Without the competition big spenders could end up spending less for their clicks. In the hands of a few bidders, it may even be a viable scenario that big spenders share keywords and pay small fees for each their own.
        If I know the way his organization works, even if he was spending 9 or 10 figures a month I am sure they are testing and pay low enough per click that they fall into that 98% Google doesn't want. And I doubt Google has to worry about most large corporate accounts that are poorly opimized from pulling out any more than TV has to worry about not selling all the over-priced super-bowl ad slots.

        It won't be all the big accounts (7 figures isn't all that big to these guys), it will be the ones that pay low CTRs that end up on the floor with most of the 'small' accounts. It is not just affiliate marketers they have banned. They have banned other medium (6-7 figure/mo accounts) that had nothing to do with affiliate marketing. Note, they have yet to give anyone a reason for the action and I doubt they ever will. It will just be a continual release of accounts over a 2-3 year period of time.

        That is my prediction. Based on the way American business thinks, that would be the logical next step for them. I might be wrong... time will tell, but everyone is right that says affiliate marketing is not dead. Just dead in Perry's world who has made a huge living teaching one product over 7 years. I think HE has come to realize he needs to diversify and that is the essence of the Maui 'summit'. Making all his followers that only focus on Google realize that that is a flawed model. Few here need to be told that, but in his world there are a lot of people that do need to be told that.
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    • Profile picture of the author Lee Wilson
      Originally Posted by DogScout View Post

      Fact: 1.3% of Google Adwords customers pay 98% of Adwords gross income
      Fact: If Google banned 98% of adwords customers, their gross Adwords income would go down 1%
      Fact: If they banned 98% of their customers, their overhead would be reduced by billions.
      Fact: if they banned 98% of their customers, their net would go up by billions.

      Why would they not ban 98% of their customers in the course of the next 24 months?

      They are not idiots. It is a smart business move. AND it returns dividends to stock holders. IF they don't ban 98% of their current customers, whoever makes that decision should be fired based on having a lack of sound business practices. It ain't rocket science. Simple math. Get rid of dead weight. And in this case they have more dead weight than most. (It's the 80/20 rule on steroids!) If you are spending under 7 figures a month with them, you might cost too much to keep. (Unless you don't test and your QS sucks and so pay too much per click.)

      And as has been said, if all your eggs are in that basket, you are doing something wrong. You need to have a marketing model that relies on no single entity, Google or anyone else. If they go under or decline your business, you get to start over.

      The title of the post was to make a point, especially to his readers who focus on Adwords. The biggest point is the paragraph above^. Diversify, you never know when a resource you use will crash and burn or sink your battleship. Lol.
      If they ban 98% they will do it by automation and the chances of that picking out only the best 2% is not likely. Sounds like a bad and risky strategy. Either way, it's not the death of affiliate marketing, if anything it's an improvement.
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  • Profile picture of the author truesouth
    I think he wants to kill competition.
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  • Profile picture of the author GeorgR.
    this is really nothing new, i say for some time already that affiliate marketing especially with ADWORDS does *rarely* work, not for the majority of those typical Clickbank $25/sale 1:85 conversion affiliates. This does NOT take rocket science.

    The fact that Google started to actively drop those affiliates...well it's just the nail in the coffin when it comes to affilliate marketing + Adwords. But, there are better ways to market anyway, eg. SEO, article marketing. Haven't shed a tear since i stopped adwords..in fact i am making more money with CB than ever before.

    The super-affiliates are using media buys or other ways, they do NOT advertise weight-loss using weight-loss keywords on adwords.

    I think Google "unwillingly" helps MANY newbie/intermediate affiliate marketers which otherwise would lose big time...and people who got dropped should take it as an opportunity (really!) rather than crying that they were banned from adwords.
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  • Profile picture of the author rawservices
    This is fantastic. The true visionaries of affiliate marketing will rise to the top and the filth will sink to the bottom.

    Great read, thanks for the link!
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  • Profile picture of the author timer
    More hype and exaggeration. Life goes on, the internet goes on, affiliate marketing goes on, hyping before launching a new prodcut goes on. C'est la vie!
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  • Profile picture of the author Roy Carter
    Google will do what Google will do and as someone above said, they are not the only game in town. Adapt and flourish.

    What's really annoying is that they don't even tell you what you've done wrong or why your account is suddenly getting zero clicks anymore. So no chance to fix it. Your account just stops working.

    Customer relations experts they aint, as we all know.
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  • Profile picture of the author oggobis
    Originally Posted by Matt Jutras View Post

    Beware of anyone who claims the "death" of anything.

    Let's face it, the "game" is going to change on a consistent basis.

    Don't fear change, adapt and outflank it.
    Reminds me of Darwin quotation of adaptation

    "It is not the strongest of the species survives, nor the most intelligent. It is the one that is the most adaptable to change"
    Charles Darwin
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