Would you rather be the advertiser or the affiliate.

12 replies
What do you think is more profitable? Whose makes more money and who has less risk.
#advertiser #affiliate
  • Profile picture of the author SEO-Dave
    Originally Posted by ZephyrIon View Post

    What do you think is more profitable? Whose makes more money and who has less risk.
    Yes, how long is a piece of string?

    David
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  • Profile picture of the author owenlee
    I would try to be both...

    Why not right..
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  • Profile picture of the author JensSteyaert
    I agree, try to be both.

    A logical progression would be to start as an affiliate and then when you have more experience create your own products.
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    • Profile picture of the author Lucian Lada
      Originally Posted by JensSteyaert View Post

      A logical progression would be to start as an affiliate and then when you have more experience create your own products.
      I disagree. It takes a lot of time to create a product. Perhaps two months. In two months's time you can find at least 5 decent products on ClickBank. With an average commission percentage of 60%, that would be like you had 3 products. Not to mention it's much easier to scour through ClickBank than to create a product. Add to this all the benefits enlisted by Alexa just above, and there's practically little reason to make your own.

      To me, it's more logical to be an affiliate than a vendor, even though I wanted, at one point, to become a vendor.

      Anyway, to each his own.
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  • Profile picture of the author AceOfShirts
    In my personal opinion, it depends on the product.

    Providing customer service in the design and software business is nearly impossible. The customers will always find some combination of browser and operating system that your program won't work on. Or, facebook or Apple will do something to change permissions or security settings which causes problems for your software. Wordpress and browser updates like causing software havoc also.

    I don't think I would ever want to develop a software product. I would much rather be an affiliate and just earn the commission and hopefully build a list.

    If you can create an informational product (pdf, videos, ebook) that people will pay money for, and you can sell it for a high enough price to pay affiliate commissions, then go for it.
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    • Profile picture of the author Alexa Smith
      Banned
      No contest: I'd far rather be "just" an affiliate. Not "both".

      I also think that for most aspiring marketers, their chances of success, overall, are significantly higher through affiliate marketing than through product creation.

      I think being an affiliate has many advantages, and being a vendor has many disadvantages and risks (some obvious and some very much less obvious). I don't agree at all with people who imagine (and sometimes say) that becoming a vendor is the only way to start earning "big money".

      I think there's a huge number of reasons for affiliate marketing being better, overall, for many people, anyway. Here are just ten of them ...
      • Affiliates have almost complete flexibility of products to promote: we can add, remove and change products whenever the need arises and for whatever reason, without needing to create a new one
      • When you're an affiliate, you get the chance to build up an asset-based business based on genuine residual income without your fortunes being tied in to the longevity, success and demand for any specific, individual product at all
      • Affiliates don't have to do (or outsource) the market research necessary to determine exactly which type of product's going to be a success - not to anything like the same extent as vendors, anyway
      • Statistically, just among the people I know really well (this point is clearly subjective and I don't pretend otherwise) the long-term successful affiliates I know are mostly earning far more from internet marketing than the long-term successful vendors I know, and their businesses are far more stable for the long-term
      • Affiliates don't have all the potential legal liability, compliance and enforcement problems (which incur time, effort, energy, worry and sometimes money to resolve) that vendors typically have
      • Affiliates don't generally have most of the customer service/support problems that vendors tend to have to deal with all the time
      • Affiliates have far greater flexibility of income-sources than vendors do: once I've built up my lists in a few different niches, covering a large range of products, if any one supplier gets into trouble, I can fairly easily promote things from other income-sources instead, so the sudden demise of a retail outlet (or even a payment processing method) doesn't affect me nearly as adversely as it would typically affect a vendor
      • As an affiliate, it's far easier to offer a range of promotions at very different price-points than it typically is as a vendor
      • Affiliates don't have to do (or outsource) the actual product creation-process and "put it all together"
      • Affiliates have to pre-sell rather than sell (it's much easier and it doesn't involve sales copywriting, which vendors either need to be really professionally good at, or pay quite a bit to outsource)
      I could easily go on ... those are just a few of the more obvious advantages that spring immediately to mind.

      You might want to bear them in mind if anyone tells you, mistakenly, that "all the real money is always in having your own products".


      .
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  • Profile picture of the author Tom Addams
    Me? Both.

    Doing one thing and not the other is leaving money on the table. Believe it or not, most well-known advertisers are also affiliates.

    Which makes more money? Affiliate or Advertiser?

    There is no hard and fast answer; too many variables. Typically, the advertiser should be making more money, and certainly the average advertiser should be earning more than the average affiliate. But then you have super affiliates pushing $x,xxx to $xx,xxx per day.

    Tom
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  • Profile picture of the author attackdome
    As J.D. Rockafeller said, and I'm paraphrasing, "I'd rather make 1% of 100 people's money than 100% of my own."
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    • Profile picture of the author jasondinner
      Originally Posted by attackdome View Post

      As J.D. Rockafeller said, and I'm paraphrasing, "I'd rather make 1% of 100 people's money than 100% of my own."
      It was J Paul Getty who said that.

      Good, so while you're busting your ass to make 1% of 100 people's money, I will continue to make 1% of hundreds of money magnets I have out there as an affiliate.
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  • Profile picture of the author Robert Brown1
    I think, affiliate will be more profitable, but both are good.
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    • Profile picture of the author discrat
      I say both !!

      However, I do think it is a HUGE mistake to tell people starting out in IM to just focus SOLELY on creating a Product and getting it on the Market. And screw EVERYTHING else

      I know many people here will disagree and frankly I do not care.

      Get your feet wet and get some confidence by making some sales with affiliate marketing. While you are doing this you can be creating your Product.

      But do not sit their day and night as a Newbie trying to create a product that you do not even know people will buy.

      Get some experience under your belt and get some cash flow going in the beginning



      - Robert Andrew


      P.S. It's pretty well known Matt Bacak made $2 million in 9 months from strictly aff. marketing
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      • Profile picture of the author Tom Addams
        Originally Posted by discrat View Post

        I say both !!

        However, I do think it is a HUGE mistake to tell people starting out in IM to just focus SOLELY on creating a Product and getting it on the Market. And screw EVERYTHING else

        I know many people here will disagree and frankly I do not care.

        Get your feet wet and get some confidence by making some sales with affiliate marketing. While you are doing this you can be creating your Product.

        But do not sit their day and night as a Newbie trying to create a product that you do not even know people will buy.

        Get some experience under your belt and get some cash flow going in the beginning



        - Robert Andrew


        P.S. It's pretty well known Matt Bacak made $2 million in 9 months from strictly aff. marketing
        This.

        And there are multiple reasons for why I agree, but I'll stick to the one:

        Learn how to be a great affiliate first, then learn how to promote your own product and manage great affiliates.

        Tom
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