Why Would A Vendor Ever Choose Clickbank Over PayPal If The Vendor Doesn't Care About Affiliates?

40 replies
I'm the vendor in this case.

I should add, ... doesn't care (much) about affiliates.

My wife pointed out that the fees with PayPal are less.

So as a vendor, why would I have any motivation to stay with Clickbank?

Just curious.

Thanks in advance.
#affiliates #care #choose #clickbank #paypal #vendor
  • Profile picture of the author newton
    If you're not bothered about affiliates, then I wouldn't even think about Clickbank.

    Too easy to get refunds.

    Too pricey.

    Too difficult for them to release payment (5 CC payments and ones through Paypal don't count)

    So for me, it would be Paypal as you'll be saving about 4% too.

    Tony
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    • Profile picture of the author NicheCowboy
      Originally Posted by newton View Post

      If you're not bothered about affiliates, then I wouldn't even think about Clickbank.

      Too easy to get refunds.

      Too pricey.

      Too difficult for them to release payment (5 CC payments and ones through Paypal don't count)

      So for me, it would be Paypal as you'll be saving about 4% too.

      Tony
      I agree...good luck getting a refund through paypal on a digital item. Paypal is the way to go if you're a one man show.
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    • Profile picture of the author innocent07
      Banned
      Originally Posted by newton View Post

      If you're not bothered about affiliates, then I wouldn't even think about Clickbank.

      Too easy to get refunds.

      Too pricey.

      Too difficult for them to release payment (5 CC payments and ones through Paypal don't count)

      So for me, it would be Paypal as you'll be saving about 4% too.

      Tony
      Where do you go to seach your Paypal products to promote?

      In other words, where is Paypals equivelent of the 'clickbank marketplace'?
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  • Profile picture of the author KirkMcD
    You won't have to deal with the accounting to manage affliates for one. Clickbank sends out the checks, and neccessary tax forms.
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  • Profile picture of the author KINGOS
    Payment is easier and there are really "no limits" to how much you can generate. Paypal freezes your acct if you make "too much money". Who wants that stress!?
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    • Profile picture of the author Steven Wagenheim
      If you don't care about or want affiliates, then no, you wouldn't go with
      Clickbank.

      Almost all my products I create now I sell through PayPal. In fact, I only
      have about 6 Clickbank accounts at this point in time.
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      • Profile picture of the author John Romaine
        Originally Posted by Steven Wagenheim View Post

        If you don't care about or want affiliates, then no, you wouldn't go with
        Clickbank.

        Almost all my products I create now I sell through PayPal. In fact, I only
        have about 6 Clickbank accounts at this point in time.
        Interesting Steve....

        I cant understand however why you would *not* want affiliates???
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        • Profile picture of the author Steven Wagenheim
          Originally Posted by ramone_johnny View Post

          Interesting Steve....

          I cant understand however why you would *not* want affiliates???
          Long story that I've gone into in other threads.

          Bottom line:

          It takes as much promotional time to find affiliates as it does to promote
          the products themselves (no, they don't just come) so why go through
          all that hassle when:

          1. You're giving away 75% commission.
          2. 90% of the affiliates you recruit don't do crap anyway.
          3. You can sell just as many product on your own if you know your sh*t.

          That's why I don't care about getting affiliates.
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          • Profile picture of the author opiel
            Originally Posted by Steven Wagenheim View Post

            Long story that I've gone into in other threads.

            Bottom line:

            It takes as much promotional time to find affiliates as it does to promote
            the products themselves (no, they don't just come) so why go through
            all that hassle when:

            1. You're giving away 75% commission.
            2. 90% of the affiliates you recruit don't do crap anyway.
            3. You can sell just as many product on your own if you know your sh*t.

            That's why I don't care about getting affiliates.

            Amen to that. It was exactly my experiance with affiliates at Clickbank.

            I remember I started getting PMs from these "pumpkins" asking how I was going to help them if they decide to promote my product.
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          • Profile picture of the author Daniel Brock
            Originally Posted by Steven Wagenheim View Post

            Long story that I've gone into in other threads.

            Bottom line:

            It takes as much promotional time to find affiliates as it does to promote
            the products themselves (no, they don't just come) so why go through
            all that hassle when:

            1. You're giving away 75% commission.
            2. 90% of the affiliates you recruit don't do crap anyway.
            3. You can sell just as many product on your own if you know your sh*t.

            That's why I don't care about getting affiliates.
            Steve,

            Do you do all your sales yourself?

            I haven't been bothering with affiliates yet either as right now I am mainly focused on building my own assets first before trying to beg and plead with someone to send me an email to their list.

            Is that your mentality behind it all?
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            • Profile picture of the author Steven Wagenheim
              Originally Posted by Daniel Brock View Post

              Steve,

              Do you do all your sales yourself?
              In a word...99.9% of them.

              I have one or two affiliates promoting a couple of my products, but for the
              most part, like my mom used to say, if you want something done right, do
              it yourself.

              It's probably the main reason for my success.

              ** DISCLAIMER ** This is what works for me. Each person has to see
              what kind of business model works for them. I am in no way suggesting
              that people shouldn't try to get affiliates.
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          • Profile picture of the author Steven Fullman
            Originally Posted by Steven Wagenheim View Post

            3. You can sell just as many product on your own if you know your sh*t.
            Steve...that's not true.

            If it were, Amazon wouldn't have an affiliate plan, nor would eBay, or any else of the major online "players"...

            Steve
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            • Profile picture of the author Steven Wagenheim
              Originally Posted by Steven Fullman View Post

              Steve...that's not true.

              If it were, Amazon wouldn't have an affiliate plan, nor would eBay, or any else of the major online "players"...

              Steve
              Depends on your business model. For mine, I don't need affiliates. And
              since almost all my products I create now are limited releases, that's even
              more true.

              Again, I am not telling people how to run their business. I am just saying
              what works for me.
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              • Profile picture of the author Steven Fullman
                Originally Posted by Steven Wagenheim View Post

                Depends on your business model. For mine, I don't need affiliates. And
                since almost all my products I create now are limited releases, that's even
                more true.

                Again, I am not telling people how to run their business. I am just saying
                what works for me.
                Hey, Steve...

                To me, you're an untouchable...and a great guy to boot...AND you always personally acknowledge every sale with a personal reply (pure class)...

                However, you will ALWAYS sell more if you open your product up to affiliates.

                Not necessarily a whole heap more, but more nonetheless.

                Kind regards,
                Steve
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                • Profile picture of the author Steven Wagenheim
                  Originally Posted by Steven Fullman View Post

                  Hey, Steve...

                  To me, you're an untouchable...and a great guy to boot...AND you always personally acknowledge every sale with a personal reply (pure class)...

                  However, you will ALWAYS sell more if you open your product up to affiliates.

                  Not necessarily a whole heap more, but more nonetheless.

                  Kind regards,
                  Steve
                  Well, here's my theory and I think after I explain it, you'll see why I do
                  things the way I do.

                  I have Clickbank products, so there are things out there for affiliates to
                  promote.

                  But they don't because they can't find them.

                  The misconception of the Clickbank Marketplace is that if you put it there,
                  they will come.

                  It doesn't work that way.

                  If you want affiliates, you have to promote your affiliate program the same
                  way you would promote your product.

                  Agree so far?

                  Okay, if you have limited promotional resources (time, money, whatever)
                  then if you're going to promote for affiliates, that takes away from the
                  time and/or money you can use to promote your product directly. And if
                  you think recruiting affiliates isn't a ton of work, it is.

                  Now, you know that given X amount of product promotion (if you've been
                  doing this long enough) you're going to make Y number of dollars.

                  However, if you do X amount of affiliate recruiting, you have no idea
                  what percentage of Y is even going to make ONE SALE.

                  Do you think every affiliate you find is going to be a killer?

                  Yeah, I know what you're going to say.

                  "But Steve, you only need ONE GOOD AFFILIATE."

                  Question to you.

                  Can YOU guarantee me that I'll GET one good affiliate?

                  No, you can't.

                  But I can guarantee YOU that I can sell the sh*t out of my own products
                  with my marketing knowledge and current list.

                  So why on Earth would I waste my time trying to get people to sell my
                  products when I have no guarantee that any of them will even sell one?

                  If you can give me a good answer to that question other than...

                  "All you need is one"

                  Or

                  "You don't know if you don't try"

                  then I'll keep doing what I'm doing.

                  Make sense?
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                  • Profile picture of the author CDarklock
                    Originally Posted by Steven Wagenheim View Post

                    Well, here's my theory and I think after I explain it, you'll see why I do things the way I do.
                    I was talking to someone else about this the other day.

                    There are two games people play in this business: the bell-curve game, and the black-swan game.

                    You, Steven, play the bell-curve game. You try to put all your stuff in the fat part of the bell curve, where it's most efficient on the average. And that's done fine for you, because you played the game the way it needed to be played, and you played it well. And your strategy here is classic bell-curve strategy: minimum effort for maximum result. Leverage. It's good stuff.

                    But ALL of the big, famous players and performers in the IM game... the ones who do million dollar days, and multi-million dollar launches, and the things we all dream about... are playing the black-swan game. They put all their stuff out on the fringe, where the overwhelming majority of it falls over and dies.

                    The difference is that when that one product catches fire and takes off, they make HUGE returns. And once they've done that ONE TIME, that's all they need. (If you're Frank Kern, you might need to do it twice.)

                    So what everyone out there needs to decide is whether they want to play the bell-curve game, which is safe and reliable and secure; you never lose too much money, but it takes a long time... or the black-swan game, where you will probably lose everything at least once or twice, and you may just plain not last long enough to get your black-swan product. (I'm playing black-swan, and it's killing me. But I ain't dead yet.)

                    And whichever one they decide to play, they have to learn from other people playing the same game. They shouldn't try to learn bell-curve from Frank Kern; they won't, and what they do learn will not get them what they want.

                    And in my opinion, that's the source of a LOT of frustration in the IM community. Almost everyone out there slamming the gurus wants to play bell-curve, but they're learning black-swan, and they simply don't understand the problem.
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                    • Profile picture of the author Steven Wagenheim
                      Originally Posted by CDarklock View Post

                      I was talking to someone else about this the other day.

                      There are two games people play in this business: the bell-curve game, and the black-swan game.

                      .
                      .
                      .

                      And in my opinion, that's the source of a LOT of frustration in the IM community. Almost everyone out there slamming the gurus wants to play bell-curve, but they're learning black-swan, and they simply don't understand the problem.
                      Once again you come through with a very well thought out post that
                      pretty much explains it.

                      With your brains...you'll win that game yet.

                      My money is certainly on you.
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          • Profile picture of the author MichaelHiles
            Originally Posted by Steven Wagenheim View Post

            Long story that I've gone into in other threads.

            Bottom line:

            It takes as much promotional time to find affiliates as it does to promote
            the products themselves (no, they don't just come) so why go through
            all that hassle when:

            1. You're giving away 75% commission.
            2. 90% of the affiliates you recruit don't do crap anyway.
            3. You can sell just as many product on your own if you know your sh*t.

            That's why I don't care about getting affiliates.
            If these were true statements on a blanket basis, then there would be no such thing as a retail distribution channel, and you'd buy bananas from the banana farm instead of from Publix or Kroger.

            Why do large tech companies like Microsoft or Cisco still sell through channels like TechData or CDW?

            If you approach developing you channel marketing in the same way that you approach your "selling" to end consumers, then yeah, playing the sheer numbers game will get you a bunch of low-quality, non-performing marketing partners that don't do as much.

            But when we look to channel marketing efforts of large companies, we can see how they build phenomenal support systems, promotions, etc... that their "affiliates" can use. The better tools that you give to marketing partners, the more likely they will actually promote your stuff... because THEY don't want to work any harder than YOU do either!

            Even giving away an extremely high percentage of sales on the front end of an affiliate-based product launch, you're going to work really hard for a very long time to build the same list numbers as a combined, serious JV effort in a managed product launch. And if you structure your campaign and product funnel correctly, you can give away 100% of the sales on your affiliate product because you end up with the big list that you can now leverage on your own.

            I know you well enough that this won't change your mind, because you're set in your business model with what works for YOU. And that's super. But this is for the edification of anyone who might read this topic and forego the idea of creating affiliate relationships.

            That being said, I am such a non-fan of Clickbank in general on multiple fronts and would rather invest in my own affiliate management system or use one of the many fine hosted services available.
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      • Profile picture of the author SaSeoPete
        Originally Posted by Steven Wagenheim View Post

        If you don't care about or want affiliates, then no, you wouldn't go with
        Clickbank.

        Almost all my products I create now I sell through PayPal. In fact, I only
        have about 6 Clickbank accounts at this point in time.
        I have actually just had my first product approved on Clickbank (woo hoo!!). The reason I went with them was that I would seriously like to try and attract affiliates. As I used to only make money as an affiliate I know the way I used to go about finding products to promote so hopefully I can use that knowledge to gain affiliates for my product.
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        • Profile picture of the author Mark Blaze
          Originally Posted by KINGOS View Post

          Payment is easier and there are really "no limits" to how much you can generate. Paypal freezes your acct if you make "too much money". Who wants that stress!?
          That is the main problem with using paypal. You would think they would want you to have more and more money going through them rather than someone else but too much and bam you have to sort out the big paypal headache of getting your account back.

          Originally Posted by SaSeoPete View Post

          I have actually just had my first product approved on Clickbank (woo hoo!!). The reason I went with them was that I would seriously like to try and attract affiliates. As I used to only make money as an affiliate I know the way I used to go about finding products to promote so hopefully I can use that knowledge to gain affiliates for my product.
          That's great but don't rely on it being in the clickbank marketplace alone! You will still need to promote it yourself or find affiliates too.

          Mark Blaze
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    • Profile picture of the author SageSound
      Originally Posted by KINGOS View Post

      Payment is easier and there are really "no limits" to how much you can generate. Paypal freezes your acct if you make "too much money". Who wants that stress!?
      This is total BS.

      In TRUTH, PayPal is much more liberal than traditional merchant credit card processors, who'll freeze your account if you deviate by more than about 10% of your average monthly sales volume.

      That said, if you sell a product that attracts lots of phony buyers who file complaints and/or file chargebacks, or if you tend to offer products that promote "biz-opp" things rather than digital products, plan on getting your acct frozen by either one. Sell products, not "opportunities". And don't promote multi-tier affiliate programs on your main site. Some people never learn, and love to complain in spite of their own ignorance (or just unwillingness to follow the rules).

      Something that people forget -- PayPal has MILLIONS of accounts, and only a tiny fraction of a percentage of them get frozen for any particular reason. The fact is, a LOT of those frozen accounts are among IMers who also happen to like getting onto forums like this and screaming bloody murder about how they're being victimized.

      There are lots of us who've been selling stuff via PayPal for a decade now, have run 6-figures through them, and never had a problem.

      The folks who HAVE had their accounts frozen OFTEN tend to fit into a very common pattern. It's predictable, it's totally avoidable, and you're just stupid if you choose to ignore the warnings that will lead to getting your account frozen.
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  • Profile picture of the author Ashley Wright
    Like everything really they both have their ups and downs, but if your not bothered about affiliates then Paypal will do as good job for you (just make sure all your limits are lifted etc...)
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  • Profile picture of the author Dan Bainbridge
    Possible reasons why you should / could want to still go with clickbank:
    - their customer service is better than paypal's (imo)
    - their customer service systems are BRILLIANT - they will save you time as people can use their FAQs and order lookup system to find their download page again, not to mention that people can request a refund and it will process automatically (of course this could be bad if you want to save the order, but if you have massive volume then having to do a lot of refund requests will eat into your time)
    - ease of implementation
    - ability to accept credit cards as standard - no jumping through hoops with paypal, or getting approval etc.

    In short clickbank can make a lot of things a lot easier and I would not dismiss them just because you don't want affiliates - imo they are a viable checkout system in their own right.
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    • Profile picture of the author Stefan Vee
      1. They take care of the VAT (fantastic!)
      2. Don't underestimate a top 10 listing in their marketplace (top value!)
      3. They are highly reliable (this is a top network)
      4. Good products attract killer affiliates (I have a couple of those - yep, for free!)
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    • Profile picture of the author SageSound
      This may be valid for someone outside of the USA, but it is totally backward for Americans.

      Clickbank's customer service is virtually non-existent (try finding a phone# t call). They funnel everything thru email, and they often don't respond for several days (in my experience).

      In contrast, I've found PayPal's customer service to be EXTREMELY FRIENDLY, Cooperative, supportive, helpful, and just doggone professional, both as a consumer and as a vendor. It's easy to call them and talk to someone virtually 24/7, and they can help regardless of where your purchase or sale was made.

      But I live in America, not Great Britain.

      -David

      Originally Posted by submp3s View Post

      Possible reasons why you should / could want to still go with clickbank:
      - their customer service is better than paypal's (imo)
      - their customer service systems are BRILLIANT - they will save you time as people can use their FAQs and order lookup system to find their download page again, not to mention that people can request a refund and it will process automatically (of course this could be bad if you want to save the order, but if you have massive volume then having to do a lot of refund requests will eat into your time)
      - ease of implementation
      - ability to accept credit cards as standard - no jumping through hoops with paypal, or getting approval etc.

      In short clickbank can make a lot of things a lot easier and I would not dismiss them just because you don't want affiliates - imo they are a viable checkout system in their own right.
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      • Profile picture of the author scrofford
        Originally Posted by SageSound View Post

        This may be valid for someone outside of the USA, but it is totally backward for Americans.

        Clickbank's customer service is virtually non-existent (try finding a phone# t call). They funnel everything thru email, and they often don't respond for several days (in my experience).

        In contrast, I've found PayPal's customer service to be EXTREMELY FRIENDLY, Cooperative, supportive, helpful, and just doggone professional, both as a consumer and as a vendor. It's easy to call them and talk to someone virtually 24/7, and they can help regardless of where your purchase or sale was made.

        But I live in America, not Great Britain.

        -David
        Actually Clickbanks phone number is easy to find if you do a search on 411.com. I have called them many times. I'm sure you can find the number on Google also.

        Although Paypal is also a good company, you can't knock CB. There customer service has always been very professional for me. Maybe you should dig a bit more for a phone number or look in the right places.
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      • Profile picture of the author Justin_nzpcs
        Originally Posted by SageSound View Post


        Clickbank's customer service is virtually non-existent (try finding a phone# t call). They funnel everything thru email, and they often don't respond for several days (in my experience).

        -David
        I as a vendor find Clickbank customer support very good and they started a new ticket service for buyers as well where the query is forwarded direct to the vendor! You can reply to the customer directly via Clickbank ticket service.

        this is a new feature Clickbank has started using and works wells.

        Example of a ticket a customer opened for one of my products sold via Clickbank

        This is an automated message from the ClickBank.com ticket system to confirm
        that this ticket has been created. Below is the most recent comment regarding
        this ticket.

        CUSTOMER: CREATED: 2010-04-09 12:33:33 PM
        I'm unable to download the zip file and open it.

        --------------------------------------------------------------------------------
        You should receive an email response to tech support requests within 2 business
        days. Refunds and cancellations are processed within one business day (except if
        a product has been shipped, in which case refunds and cancellations are
        processed within 7 business days). You may return to this ticket at any time to
        check for a reply, to further comment on your ticket, or to close the ticket
        should you no longer need assistance.

        --------------------------------------------------------------------------------
        View, respond, or change the status of this ticket by clicking on the link
        below:


        I looked at paydot com as an alternative but have noticed what looks to be either deliberate fraud or very poor tracking of affiliate ids promoting products as an affiliate. ( I offered a bonus for a few products I promoted via paydot com and got emails from irate customers asking why they never received them got my next door neighbor to buy the product in front of me wasn't credited with the sale so I will not even look at paydot com as an alternative.

        So for me the best option is Clickbank and for my affiliates even if it does lead to having a ton of google adwords ads saying is Justin Boyce a scam... (lol thanks to another clickbank vendor for starting that trend)

        Finding affiliates for your products that put in the yards Steve isn't as hard as you think try recruiting your customers many of my best affiliates are customers.
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  • Profile picture of the author kswr123
    True Steven. If you dont want affs, dont use CB
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  • Profile picture of the author lexilexi
    Getting CB affiliates depends on how hot the product is IMO. There are a ton of affiliates - and they don't really care what they promote, they will just pump the heck out of whatever gives them a positive ROI. They are more interested in the gravity of your product than whether it's any good!
    As for Paypal, it's always worked well for me selling simple products - but lately I have had several "nightmares" using them for personal transactions i.e. sending / receiving money with friends and family. It's weird. They seem to be able to create spectacular train-wrecks out of what should be simple transactions. Anyone else had this problem?
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  • Profile picture of the author doylesoft
    Thanks everyone for your kind replies. I have been with Clickbank for 7 1/2 years and they do everything they say they are going to do to the letter. I have been happy with them so far.

    As always, thanks again!
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    http://doylesoft.com Simple, effective, and affordable software. Knowledge Base software.

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  • Profile picture of the author Jimian
    Originally Posted by doylesoft View Post

    I'm the vendor in this case.

    I should add, ... doesn't care (much) about affiliates.

    My wife pointed out that the fees with PayPal are less.

    So as a vendor, why would I have any motivation to stay with Clickbank?

    Just curious.

    Thanks in advance.
    In one word... EXPOSURE. No, it doesn't guarantee that affiliates will pick your product up and sell it, but there's a bunch of sites that scope out each new ClickBank product that comes out and then give it the once over.

    From my web stats, I've had plenty of people who found my real estate product ("Sold In 21 Days") on ClickBank and purchased it (and not refund it).
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    • Profile picture of the author deertrail
      Something else to consider:

      ClickBank collects all required taxes (such as VAT and, in Canada, GST) for you automatically.
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      • Profile picture of the author deertrail
        I've also seen some CB vendors run the affiliate's traffic through CB, then in a separate directory run their own traffic to an identical sales page that uses Paypal.
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  • Profile picture of the author tweetzon
    what about paydot.com? they pay through paypal instead of checks. isnt better than clickbank?
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    • Profile picture of the author David McGimpsey
      Originally Posted by tweetzon View Post

      what about paydot.com? they pay through paypal instead of checks. isnt better than clickbank?
      I'm both an affiliate and a vendor and here's why I would always use clickbank over paydotcom:
      • as a vendor it is more work because you have to pay affiliates yourself (additionally, I'm not sure what can of worms gets opened if you get a refund after an affiliate is paid)
      • as an affiliate you have to rely on the vendor being honest
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  • Profile picture of the author garyv
    I sell using both. But there's no beating a good ClickBank product. Some of my Clickbank products I haven't spent a dime on in advertising or lifted a finger to write on article on in over a year, and they consistently sell dozens per day through my affiliates.

    And yes, you do have to work at recruiting affiliates. However, the difference is that once you've found some good affiliates, they then start doing the work. Unlike when you're selling your own stuff, where you're constantly having to put out articles, or spend money on PPC to keep sales coming in.

    To me selling products online is like the guy at the circus spinning the plates on the sticks. It's much easier to put more plates up, if you can just get some people to spin some of the sticks for you.
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    • Profile picture of the author tigertale
      I'm going with Clickbank soon because they will handle a lot of stuff I don't want to do. Plus if an affiliate works to make a sale that I wouldn't have made, my 25% is still better than zero.

      I can still promote my stuff myself.
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  • Profile picture of the author Christophe Young
    Glad I found this thread. I've always wondered how others are doing who don't rely solely on the efforts of their affiliates. I'm definitely more of a conservative, "bell-curve" kinda guy and I like that model much better. I also like doing things myself.

    I've never been one to kiss ass or ride the coattails of others so I'm going to stick to my plan. That being said, I'm always open to building relationships with ethical, smart affiliates who know their ****.

    But, as was stated above, there are no guarantees that anyone is going to make sales for you.
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  • Quite frankly, the ONLY good point about Clickbank as a product owner is their INSANE affiliate base. If you dont care for affiliates, then it makes no sense to use Clickbank: they fees are atrocious, their refund policies humongous, their product approval system medieval, etc.
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