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The
great strides made in the development of the Internet in the recent past has enabled
information to be transmitted thousands of miles away with such ease and clarity
that time and space are hardly of any consequence to the Internet Marketer today.
Marketing
Programs have literally taken over the Internet and riding high, is Affiliate
Marketing.
According to the Computer Industry Almanac "The world-wide Internet
population for 2004 was 934 million and the projection for 2006 is 1.21 billion."
Sean
Michael Kerner in an article in Click Z News quoting a spokesman for eBay states
"According to eBay their largest affiliate earned over $1.3 million dollars in
January commission, the largest amount yet in their affiliate program's history.
Their top 25 affiliates averaged over $100,000 per month each and the top 100
affiliates earn almost $25,000 each per month."
With this sort of statistics
around, is it any surprise that thousands of entrepreneurs especially those Home
Based Business entrepreneurs with very small marketing budgets are jumping on
to the Affiliate Marketing band-wagon!
Given below are some of the Popular
reasons for this desire and urge to do Affiliate Marketing:
1. Cost Factor:
Most
Entrepreneurs refrain from starting a brick and mortar business or for that matter
a Home Based Business (non internet) because of the investment required. In Affiliate
Marketing the set-up cost is negligible with most programs being free to join
and the merchant even providing you with the tools, tips and websites.
2.
Pick and Choose Products:
With dozens of Affiliate Program providers and thousands
of merchants having their own affiliate programs, there are several thousands
of products to choose from. You name it they have it! In fact there are even Fortune
500 companies to choose from. The idea is to pick and choose your niche products
and promote them.
3. No need for an Inventory.
The hassle of purchasing,
stocking of items and storing of finished items (in a production unit) and dispatching
them are not there. There is no need to maintain an inventory. It is all handled
by the merchant.
4. No need for Employees.
In any business the wages
of the employees is one of the major expenditures to contend with. Here the problem
does not arise since the marketer himself will operate his home business and probably
get the assistance of a family member to help him.
5. Necessity for Customer
Service does not arise.
Customer service plays a major role in the success
or failure of a business. The advantage here is that there is no direct dealing
with the customers. The website will automatically direct the customers to the
merchants.
6. Two Tier Affiliate Marketing:
An attractive feature of
certain affiliate programs is that they have a Two tier system, whereby affiliates
can sign up as sub-affiliates below them. When the sub-affiliate earns a commission,
the affiliate above him too earns a commission.
7. Income without a limit.
In
a paid job the salary structure has a vice-like grip over your monthly income.
Here the possibilities are limitless. Though it is not every marketer who earns
a big income, the fact remains that avenues are all there for the enterprising
marketer to make it to the big time.
8. Global Market Place.
You no
longer need to restrict your market to your home town or country. With your well
chosen niche product you can sit in the comfort of your home and target the Global
Market.
9. Low Risk Factor.
The risk factor in Affiliate Marketing is
so small that it has become one of the major attractions for many Home Based Business
entrepreneurs especially for those with low marketing budgets.
10. Business
works Right Round the Clock.
One major asset of Internet marketing is that
your Website, or in other words, your Home Based Business never sleeps. It works
right round the clock (24/7) making money from home for you.
Having indicated
the above reasons for the popularity of Affiliate Marketing, it has to be mentioned
that statistics indicate that only 5% of the marketers do make big money. It is
presumed that there are of course several thousands of marketers who make some
money, thus giving them an additional income.
As long as the top marketers
in the 5% slab, continue to make their millions and the latter continue to make
reasonable amounts of money and have the urge to emulate the top marketers, Affiliate
Marketing will continue to draw the attention and be popular with Home Based Business
Entrepreneurs. About
Kanaga: Kanaga Siva has been a Marketing Manager and Business Manager and has
a wealth of experience in Marketing. He now operates his own Home Based Business.
For Articles, Resources, Tips and Ideas to start a Home Based Business from anywhere
in the World, visit his website, www.business-fromhome.com |
