Assuming a four-percent cut may be underestimating the overall commission rate the media giant averages. Amazon’s commission structure consists of multiple classes of commission rates. Certain product categories have fixed commission rates, while commissions on General Products start at four percent and can go up to 8.5 percent, depending on sales volume.
I then got the marketing consultant to lower the commission we pay to half the sites on the network to zero percent. Amazingly, they still kept driving sales. Something wasn’t right. Upon further investigation, I noticed that many of the sites that were driving sales were ranking highly for Google search terms like “Kogan Voucher” and “Kogan Discount Code”. The funny thing was that we rarely have any publicly available discount codes active on our site. These guys were all advertising codes that don’t even exist and capturing some of our brand traffic.
This over simplifed example is a pretty poorly written as the author clearly did not do the research on this or talk to any company or industry professionals. Every single brand you interact with or see on TV has an affiliate program. To characterize this $1 billion per year industry in this light on the FTC blog shouldn't happen and is an insult and a disservice to every single affiliate company and employee that works in the industy. Every single industry from doctors to lawyers to salesman to As Seen on TV products have good and bad portions. I feel like the FTC blog has a responsibility to be truthful to consumers and an obligation to understand any concepts and business models spoken about on their blog and website. Any good blog post or writer should speak factually about both sides of said debate, consult and reference industry professionals and focus on examples of best practices. Step up your content FTC.
The easiest way to find out the legitimacy of any affiliate program or training course is to Google it. If it's a well known scam, you will more than likely see reports about it online. If you can't tell just by searching for the name, try searching for variations, such as "[affiliate program name] scam" or "[affiliate program name] ripoff." You can also search for "[affiliate program name] reviews," etc. 
The affiliate marketing industry is growing steadily. An independent survey commissioned by Rakuten Affiliate Network found that affiliate marketing is set to reach $6.8 billion by 2020. Ninety percent of advertisers included in the survey said that affiliate programs were important or very important to their overall marketing strategy, with the majority of publishers reporting that affiliate partnerships drove more than 20% of annual revenue.

Good post Malan. I have lost almost $ 10 000 by investing to my friend’s business. It is huge sum of money for me. The lesson – if you wanna loose the close relationship – give money without any agreement ), just trust the words))). But If you wanna have graft/vaccination for the whole life – do the same, I am not sure that any story can teach this. After that you will think more then 7 times in future to give your own money to somebody or not. The great takeaway for me from the story is the emotion which I was feeling, I am sure that I will forget after some years the number of lost money, but I will never forget that feeling and emotion. I can say thank you to the friend). P.S. I do not hate that guy ( and as Malan wrote earlier – may be he needed money much more than me), because hatred makes you the hostage of the situation, and I wanna be free man ); it was just his desire to do like this.
The best way to think about affiliate marketing is quality over quantity. There are a lot of small websites that will promote your product, but the key is finding a small number of partners that will deliver conversions. For example, an equity management services firm has over 20,000 affiliates in its system, but only about 25 affiliates generate 85 percent of revenue.
Thanks for your kind words Stu and I am so glad your eyes have opened to not only the idea of what a real business looks like online and you have some sound direction moving forward with the build out of your business. We all run across things along our journey to find something that works and you definitely cannot dwell on your past or your involvement in the particular MLM that you were involved with.
I hardly ever try to commutate with other affiliate marketers but it’s something about your site that is very interesting. Maybe it’s because your black who knows. Anyway I’ve known about affiliate marketing for 10 yrs. Never made over 100 bucks a month doing but for the live of the game I’m building a an affiliate blog promoting Amazon kitchen products. I’m very confident in my skills and by the end of 2018 I plan to have my monthly income at 2000 or better. Enjoying reading your site.. Keep up the awesome work. Your writing skills are extremely sharp.
Well I am co-founder of Wealthy Affiliate and I can assure you that if you do take the step to even create a free Starter account at WA, you will be entering a world that you have not experienced anywhere online. We are the only all-inclusive affiliate marketing platform in the world and even with the free membership (truly, no catches) you will be able to get training, help, websites, hosting, and access to network with other like minded entrepreneurs.
The best article I read on the topic of scams online, very true all! From the moment I start to search for online business I have seen pretty much all of these. Companies are in the business of taking advantage of you these days it seems and it is rare that I don’t see at least one of these attributes in companies I come across. So glad I found Wealthy Affiliate and the awesome community you guys have there.

Most new affiliate marketers have no problem creating content…. at first. But 6 months in? Hardly anyone makes it that far. The reason is because most people simply don’t like to write as much as they think they do. Once writing becomes a job instead of a hobby, motivation to keep going can easily waver. As an affiliate marketer, you’ll essentially become a full time content creator, and most of that will be in the written form. Can you handle writing 1,000 word articles every single day?
I am surprised someone as experienced as you could be making such statements as Affiliate Marketers like myself are still making lots of money from it.You need to diversify your portfolio and set up multiple streams of income. Since you been in the game i presume you should have a sizeable email list that you have built up over those years. You need to concentrate on high ticket items and earn big commissions like myself rather than those $20,$30,$50 commissions. You should also try e-commerce as that is the money tree nowadays!
Most affiliate programs are very good about payment and will offer you their payment schedule (ever week, every month, etc). There are very rare circumstances where they don’t end up paying you on the date they were supposed to and that should create need for alarm. Either they don’t have the resource system in place to be able to pay on time or they simply do not have the money.

I understand where you're coming from. It can be difficult to tell which ones are legit and which ones aren't. My rule of thumb is if it sounds too good to be true, then it probably is. I also check a website and its product's online reputation. There are all sorts of forums and review sites that can help you find out if a company and its products are the real deal or not.
Dave makes a very valid point. If I visit each of my websites in succession (all are different topics), the Google ads tend to stick with the topic of the first site, presumably trying to get me to buy by repeating the same ads through my period of browsing different sites. I’ve certainly seen my affiliate income drop off dramatically in the last 2 years. Some free applications that folk download, install software to hijack affiliate banners. Meanwhile, merchants have become better at marketing themselves online without the need for affiliate help. I also believe that Google tends to ‘ban’ certain practices, to clear the way for them to take over where the competition has been suppressed. Affiliate marketing isn’t quite dead, but it’s getter tougher all the time!
(function(){"use strict";function u(e){return"function"==typeof e||"object"==typeof e&&null!==e}function s(e){return"function"==typeof e}function a(e){X=e}function l(e){G=e}function c(){return function(){r.nextTick(p)}}function f(){var e=0,n=new ne(p),t=document.createTextNode("");return n.observe(t,{characterData:!0}),function(){t.data=e=++e%2}}function d(){var e=new MessageChannel;return e.port1.onmessage=p,function(){e.port2.postMessage(0)}}function h(){return function(){setTimeout(p,1)}}function p(){for(var e=0;et.length)&&(n=t.length),n-=e.length;var r=t.indexOf(e,n);return-1!==r&&r===n}),String.prototype.startsWith||(String.prototype.startsWith=function(e,n){return n=n||0,this.substr(n,e.length)===e}),String.prototype.trim||(String.prototype.trim=function(){return this.replace(/^[\s\uFEFF\xA0]+|[\s\uFEFF\xA0]+$/g,"")}),String.prototype.includes||(String.prototype.includes=function(e,n){"use strict";return"number"!=typeof n&&(n=0),!(n+e.length>this.length)&&-1!==this.indexOf(e,n)})},"./shared/require-global.js":function(e,n,t){e.exports=t("./shared/require-shim.js")},"./shared/require-shim.js":function(e,n,t){var r=t("./shared/errors.js"),i=(this.window,!1),o=null,u=null,s=new Promise(function(e,n){o=e,u=n}),a=function(e){if(!a.hasModule(e)){var n=new Error('Cannot find module "'+e+'"');throw n.code="MODULE_NOT_FOUND",n}return t("./"+e+".js")};a.loadChunk=function(e){return s.then(function(){return"main"==e?t.e("main").then(function(e){t("./main.js")}.bind(null,t))["catch"](t.oe):"dev"==e?Promise.all([t.e("main"),t.e("dev")]).then(function(e){t("./shared/dev.js")}.bind(null,t))["catch"](t.oe):"internal"==e?Promise.all([t.e("main"),t.e("internal"),t.e("qtext2"),t.e("dev")]).then(function(e){t("./internal.js")}.bind(null,t))["catch"](t.oe):"ads_manager"==e?Promise.all([t.e("main"),t.e("ads_manager")]).then(function(e){undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined}.bind(null,t))["catch"](t.oe):"publisher_dashboard"==e?t.e("publisher_dashboard").then(function(e){undefined,undefined,undefined,undefined,undefined,undefined,undefined,undefined}.bind(null,t))["catch"](t.oe):"content_widgets"==e?Promise.all([t.e("main"),t.e("content_widgets")]).then(function(e){t("./content_widgets.iframe.js")}.bind(null,t))["catch"](t.oe):void 0})},a.whenReady=function(e,n){Promise.all(window.webpackChunks.map(function(e){return a.loadChunk(e)})).then(function(){n()})},a.installPageProperties=function(e,n){window.Q.settings=e,window.Q.gating=n,i=!0,o()},a.assertPagePropertiesInstalled=function(){i||(u(),r.logJsError("installPageProperties","The install page properties promise was rejected in require-shim."))},a.prefetchAll=function(){t("./settings.js");Promise.all([t.e("main"),t.e("qtext2")]).then(function(){}.bind(null,t))["catch"](t.oe)},a.hasModule=function(e){return!!window.NODE_JS||t.m.hasOwnProperty("./"+e+".js")},a.execAll=function(){var e=Object.keys(t.m);try{for(var n=0;n=c?n():document.fonts.load(l(o,'"'+o.family+'"'),s).then(function(n){1<=n.length?e():setTimeout(t,25)},function(){n()})}t()});var w=new Promise(function(e,n){a=setTimeout(n,c)});Promise.race([w,m]).then(function(){clearTimeout(a),e(o)},function(){n(o)})}else t(function(){function t(){var n;(n=-1!=y&&-1!=g||-1!=y&&-1!=v||-1!=g&&-1!=v)&&((n=y!=g&&y!=v&&g!=v)||(null===f&&(n=/AppleWebKit\/([0-9]+)(?:\.([0-9]+))/.exec(window.navigator.userAgent),f=!!n&&(536>parseInt(n[1],10)||536===parseInt(n[1],10)&&11>=parseInt(n[2],10))),n=f&&(y==b&&g==b&&v==b||y==x&&g==x&&v==x||y==j&&g==j&&v==j)),n=!n),n&&(null!==_.parentNode&&_.parentNode.removeChild(_),clearTimeout(a),e(o))}function d(){if((new Date).getTime()-h>=c)null!==_.parentNode&&_.parentNode.removeChild(_),n(o);else{var e=document.hidden;!0!==e&&void 0!==e||(y=p.a.offsetWidth,g=m.a.offsetWidth,v=w.a.offsetWidth,t()),a=setTimeout(d,50)}}var p=new r(s),m=new r(s),w=new r(s),y=-1,g=-1,v=-1,b=-1,x=-1,j=-1,_=document.createElement("div");_.dir="ltr",i(p,l(o,"sans-serif")),i(m,l(o,"serif")),i(w,l(o,"monospace")),_.appendChild(p.a),_.appendChild(m.a),_.appendChild(w.a),document.body.appendChild(_),b=p.a.offsetWidth,x=m.a.offsetWidth,j=w.a.offsetWidth,d(),u(p,function(e){y=e,t()}),i(p,l(o,'"'+o.family+'",sans-serif')),u(m,function(e){g=e,t()}),i(m,l(o,'"'+o.family+'",serif')),u(w,function(e){v=e,t()}),i(w,l(o,'"'+o.family+'",monospace'))})})},void 0!==e?e.exports=s:(window.FontFaceObserver=s,window.FontFaceObserver.prototype.load=s.prototype.load)}()},"./third_party/tracekit.js":function(e,n){/**
This is definitely the case and you have to be skeptical of anyone that is “touting riches” to get you to join their scheme. This is commonplace within the various schemes out there that rely on portraying success to the sell their product. It is typically a scam when people need to sell a program based on the money that it can hypothetically make you versus what the product or service actually is.
Most affiliate programs are very good about payment and will offer you their payment schedule (ever week, every month, etc). There are very rare circumstances where they don’t end up paying you on the date they were supposed to and that should create need for alarm. Either they don’t have the resource system in place to be able to pay on time or they simply do not have the money.

In the past, large affiliates were the mainstay, as catch-all coupon and media sites gave traffic to hundreds or thousands of advertisers. This is not so much the case anymore. With consumers using long-tail keywords and searching for very specific products and services, influencers can leverage their hyper-focused niche for affiliate marketing success. Influencers may not send advertisers huge amounts of traffic, but the audience they do send is credible, targeted, and has higher conversion rates. 
Some merchants run their own (in-house) affiliate programs using dedicated software, while others use third-party intermediaries to track traffic or sales that are referred from affiliates. There are two different types of affiliate management methods used by merchants: standalone software or hosted services, typically called affiliate networks. Payouts to affiliates or publishers can be made by the networks on behalf of the merchant, by the network, consolidated across all merchants where the publisher has a relationship with and earned commissions or directly by the merchant itself.
I think I'm missing a lot of points. Maybe I'm a tough sell but how the heck do I create compelling content for these promotions when I would never buy one? You'll probably say something like I need to pick a niche I'm interested in but I've tried that. I've gone down the categories list in ClickBank and the one's I have a slight interest in, either the product barely fits or crap quality.
Spam is the biggest threat to organic search engines, whose goal is to provide quality search results for keywords or phrases entered by their users. Google's PageRank algorithm update ("BigDaddy") in February 2006—the final stage of Google's major update ("Jagger") that began in mid-summer 2005—specifically targeted spamdexing with great success. This update thus enabled Google to remove a large amount of mostly computer-generated duplicate content from its index.[33]
Merchants receiving a large percentage of their revenue from the affiliate channel can become reliant on their affiliate partners. This can lead to affiliate marketers leveraging their important status to receive higher commissions and better deals with their advertisers. Whether it’s CPA, CPL, or CPC commission structures, there are a lot of high paying affiliate programs and affiliate marketers are in the driver’s seat.
The affiliate marketing industry is growing steadily. An independent survey commissioned by Rakuten Affiliate Network found that affiliate marketing is set to reach $6.8 billion by 2020. Ninety percent of advertisers included in the survey said that affiliate programs were important or very important to their overall marketing strategy, with the majority of publishers reporting that affiliate partnerships drove more than 20% of annual revenue.
Now those are the easy parts of Affiliate Marketing (other than finding your niche/topic to discuss). The hardest part is trying to use your blog posts to rank, in Bing, Google or Yahoo so you can start getting traffic. That is the hardest thing to do is trying to get traffic to your site then they will either buy or not buy that program or product. The reason being is that getting traffic to your site takes time and hard work in order to do that.
Across all of these methods, authenticity is crucial for long-term, high earning growth, and top earning affiliates know it. With a solid affiliate program strategy, and proper execution and management, this channel is often one of the best sources of new customers for merchants who participate in affiliate marketing, and is a consistent revenue stream for all affiliates.
Maybe you have heard that term before or maybe not but you should know that it affects even experienced marketers sometimes and not only beginners. What it basically means is when people go from one method or from one training course to another hoping they will succeed this time. They spot something new online that looks promising and they get excited. They will try it for a short period of time but pretty soon they get discouraged and move on to the next one. Don’t be that person. Ignore the distractions that promise you easy results. Distractions lead to procrastination. Stay focused on your path.
For example:  when I recently released my 31 Days to Build a Better Blog Workbook I also give people an opportunity to promote the workbook with an affiliate program whereby they could earn a 40% commission for each sale. When you sign up to become an affiliate you are given a special code unique to you that enables you to promote the workbook and make $7.98 per sale. The top affiliates earned over $2000 in the first few weeks after launch through these commissions.
A.) Affiliate marketing is like any other business in that you need an ok to good idea and excellent execution, which takes time to hone and perfect, in order to be really successful. But, it is absolutely possible. As always, luck is involved. I am an affiliate marketer, have been for about three years, and make a very healthy living with now 8 remote employees dedicated solely to helping grow the business more. I started small, one sale at a time. B.) I just got done having dinner with a "guru" in the industry who charges lots of people thousands of dollars for one to three day courses. While this person knows the industry, they make WAY more money off guru stuff than actual affiliate marketing.
Greed is something that is slowly taking over the internet marketing and affiliate marketing spaces and hopefully the better interest of the people within this niche and the “voice” of the people will reclaim this industry. I can slowly see an uprising to these and people of the opinion of “making money at any cost” are hopefully slowly transforming their businesses putting the customer first. Those that do will prevail.
If your domain is your address, hosting is like the actual house within which your site will live. It's your own little slice of the internet — the place where all your website files live. Hosting is very affordable these days, so don't unnecessarily scrimp on costs. Go with a reputable, reliable provider because your affiliate marketing business depends on it. 
I know there are probably some legitimate affiliates out there. For instance, someone who runs a fashion blog may talk about a certain trend, say black pants. If they showed their readers how black pants could be worn, and then at the bottom of the blog they linked to a few retailers who sell a large range of black pants, that would be a legitimate affiliate. This is based on the assumption that their blog gets a lot of natural readership and organic traffic. This would be a situation where prior to reading the blog, the visitor did not necessarily already want black pants.
These affiliate marketing "opportunities" are designed like pyramid schemes where no one is actually making any money. You make an investment to join the program and after that, money is just passed around from one person to the next. These schemes are totally illegal! You will lose your investment, and you're not going to make any affiliate income from it, either. 

Try to post at least 2-3 pieces of high quality content per week. Don’t sacrifice quality for quantity, but realize if you’re only posting one piece of high quality content per week it can take 2-3 times longer before you’ll see consistent results. The major search engines take time to catch up and acknowledge your website as high quality but, once they do, you can receive a flood of traffic and much of the content you’ve already produced will begin receiving higher rankings as well, resulting in a “waterfall effect” where it will be very clear that you’ve “broken through”.
This is definitely the case and you have to be skeptical of anyone that is “touting riches” to get you to join their scheme. This is commonplace within the various schemes out there that rely on portraying success to the sell their product. It is typically a scam when people need to sell a program based on the money that it can hypothetically make you versus what the product or service actually is.
I totally agree, Don (and sorry it took me so long to see this post! EEK!). Authentic content and value do come out but it takes a little bit of training and thought from the merchant side to really understand what impact each affiliate is bringing to the table. As you said, once you’ve been able to identify which affiliates are brining you good value, you’re able to make better decisions on who to approve into your program and not. Thanks for the comment!
Websites consisting mostly of affiliate links have previously held a negative reputation for underdelivering quality content. In 2005 there were active changes made by Google, where certain websites were labeled as "thin affiliates".[34] Such websites were either removed from Google's index or were relocated within the results page (i.e., moved from the top-most results to a lower position). To avoid this categorization, affiliate marketer webmasters must create quality content on their websites that distinguishes their work from the work of spammers or banner farms, which only contain links leading to merchant sites.
I absolutely see the value in affiliate sales (and Pay Flynn is one of the masters at doing this authentically and openly), but I got really turned off it when I saw a lot of bloggers I read and respect writing junky “How to set up a blog” posts that didn’t seem relevant to their audiences purely so that the could get the sweet Bluehost commissions in.
Affiliate marketing is all about recurring income! You can set out one promotion and many years later, you will find it is still giving you a steady trickle of income. That’s because your post isn’t going anywhere, it’s staying on the internet for anyone to find it and possibly to click that income-generating link! Let’s say you provided a review sometime in 2016. The review got you some income. This review stays indexed in search engines sand so a buyer searching for it in 2018 will find it. A click from that prospect buyer will still earn you money.
Affiliate marketing is commonly confused with referral marketing, as both forms of marketing use third parties to drive sales to the retailer. The two forms of marketing are differentiated, however, in how they drive sales, where affiliate marketing relies purely on financial motivations, while referral marketing relies more on trust and personal relationships.[citation needed]
Hi Tommy. I vet the programs listed on my site and eliminate the ones that people make complaints about. But its important for you to also use your due diligence when you choose a program. Google the name of the company followed by queries such as “complaints” and “fraud” and “scam” to see if people are making accusations. You can also contact their affiliate manager directly to ask questions. If you can’t locate an affiliate manager that is definitely a red flag. Finally, diversify into a few different companies so you can compare them. Hope this helps. Sincerely – Bill
Assuming a four-percent cut may be underestimating the overall commission rate the media giant averages. Amazon’s commission structure consists of multiple classes of commission rates. Certain product categories have fixed commission rates, while commissions on General Products start at four percent and can go up to 8.5 percent, depending on sales volume.
I am trying to make some good money from blogging as well, but the competition is on rise and it is tough. If i may ask you a relevant question, i would like to know more on affiliate marketing that you have discussed. I want to integrate with affiliate marketing too but i have no insight on the matter that which program should i join as starter and why.
The easiest way to find out the legitimacy of any affiliate program or training course is to Google it. If it's a well known scam, you will more than likely see reports about it online. If you can't tell just by searching for the name, try searching for variations, such as "[affiliate program name] scam" or "[affiliate program name] ripoff." You can also search for "[affiliate program name] reviews," etc. 

I was shocked when I saw that in the first week, affiliates drove about $200,000 of sales to the Kogan website. We were then able to generate a list of sites that drove the sales to Kogan. I had not heard of a single website on the list. “Where are these guys getting their traffic from?” I asked the marketing consultant again. “I don’t know. They must have people going to their site to look for deals,” he told me.
I've just written an essay in my blog on this very subject and have argued there that most marketers don't think affiliate marketing is dead. If anything, the opportunities are bigger than ever. When I started out in affiliate marketing in the mid-1990s hardly anybody even knew what the internet was; now half the Western world is almost dependent on it.

The cost of Five Figure Niche Site are really up there and so it sounds like the training is superb which is what I would hope for that much money. I’ve recently gotten into something else called Making Sense of Affiliate Marketing and I haven’t gotten through all the training yet, but what it does teach so far is pretty good. Of course nothing can beat Wealthy Affiliate though. Do you know of anyone who’s been successful with those other Affiliate Marketing programs?

On the other hand, they may need longer to think about it. Perhaps they’re waiting for payday, or they’re not quite sure yet whether they prefer the blue one that they also spotted while browsing around the advertiser’s site. They may go away and come back in a couple of weeks’ time, no longer able to resist the urge to blow their wages on a better board.
×