Are you Making Pennies or Dollars?

Out of all the people who make money online, my guess is that around 70% of them make money from PPC ads like Google AdSense. A very few of these after some time think about affiliate marketing when they know affiliate marketing is big money. Affiliate Marketing is about selling other’s products and this is where people make good money. Affiliate Marketers spend money on PPC ads like Google AdSense, Yahoo Search Marketing, MSN AdCenter, AdBrite etc. and get traffic. This traffic in turn buys a product which makes money for the affiliate and the product seller.

Lets assume Person A has a product and he wants to sell it in the market. Person A, on his website says that anyone who sells his product will get a cut from the product sale money. Person B chooses to do this. Lets assume the product costs $100 and anyone who sells this product gets a $25 commission. This means if person B sells person A’s product then person B would get $25 and person A would get $75. Now, person B needs some traffic so that people can buy this product through his link. Lets say you are person C now and have good articles on the product person A is selling. Person B now buys $1 keywords on your website using Google AdWords and displays link to his site (AdSense). A visitor now comes to your website clicks on the PPC AdSense Ad which makes you something below $1 (Google will take its share). The visitor might or might not buy the product but if he does, then person B makes $24 profit while person A who owns the product makes $75. Person A’s profit depends on his actual product cost + other expenses. But it should be higher than something around $30 for sure. So person A need not worry about getting traffic or spending money on regular basis. Thousands of people lilke Person B are selling his product and making him more money everyday.

So everyone who makes money on the Internet is directly or indirectly related to sales on the Internet. We all know that countries like the US and the UK have more online shoppers as compared to others. The main idea here is to choose between the less than $1 income, $25 income or the $75 income. Lets imagine putting direct sales ads instead of PPC ads like AdSense. Agreed that not everyone will buy the product but if they have clicked the ad it means that they have some interest in the product. Out of 10 clicks atleast one will buy the product. Ten clicks will give you around $7 but if it was the direct sales ad then it would have been a $25 profit straight for you.

This is the key in affiliate marketing. People bid on keywords so that their ads are displayed on relevant sites and search results. Doing some research on this and generating relevant content always does wonders. The best way should be to see what the PPC ad on your site has to offer. If its offering a product, then check if you can directly become and affiliate for that product and sell it directly. Whereas, the bestest idea would be having your own product and selling it. So all you PPC publishers, now think over this and see if you can become the Person A or B and make BIG Dollars rather than making a few cents from PPC ads.