Posts Tagged ‘affiliate’

Setting up and running your own affiliate program

Thursday, January 28th, 2010

In previous posts we have looked at methods for making money as an affiliate such as Identifying, researching and targeting a niche to earn revenue as an affiliate, Making money from your existing website and Creating a website to make money

But what if you sell a product and/ or service and whilst you don’t want to advertise other people’s goods on your site, you do want to get involved in earning money from the affiliate marketing channel? In this post we will look at successfully launching your own affiliate program without having to spend thousands on setting it up. Affiliate programs are not the preserve of large websites and you could have your own affiliate program up and running for under £100! The affiliate networks require £000’s for set up and monthly fee’s however with your own in-house run program you can be up and running with minimal investment.

Why have an affiliate program?
An affiliate program is essentially the online equivalent of having a sales team out there driving traffic and sales to your website. Because affiliate marketing is pay per performance it is one of the most cost effective marketing channels available, especially when compared to other forms of online marketing such as display (e.g. banners) and pay per click advertising (e.g. Google AdWords).  With a set cost per action (CPA) determined by you, you always know what your ROI is going to be and you can ensure each sale will be made at a profit.

An affiliate program…

  • Increases your reach
  • Provides more control with your ROI
  • Is purely performance based
  • Can be tailored to your requirements e.g. pay per sale or pay per lead

How to set one up?
A search on Google for “affiliate software” demonstrates how big in-house run affiliate programs are with dozens of software solutions to choose from. We can’t recommend any specifically but if you do your research you will soon get a feel for which have the most comprehensive features, are the best value and the most flexible. The key features to look for (in my opinion) are:

  • Adaptable payment options (e.g. choose from pay per click, pay per lead, pay per sale etc)
  • Tiered groups to put affiliates in based on their performance
  • Unlimited collateral (e.g. text links, banners, text ads etc)
  • Anti-fraud solutions
  • End user area customisable
  • No ongoing monthly fees (if hosting it yourself)

Once you have researched, selected, purchased and integrated your affiliate software the work has just begun! Now it’s time to create your banners, set your commission, recruit affiliates and start making sales.

Banners & text links
Not every affiliate’s website is the same so you will need a good selection of banners to choose from, ideally with one batch that is colour neutral (e.g. white background) to cover your bases. It is also a good idea to provide a selection of the most common banner sizes from big to small e.g. 468×60, 120×600, 200×200, 125×125 etc.

Banners are not everyone’s cup of tea and with banner click through rates (CTR) falling year on year, you will also want to offer text links to your affiliates. Text links allow for more integration in to the affiliates’ website and typically have a greater CTR than banners.

Your commission schedule
How much you pay out per action completed (be it a sale, lead, download etc) is one of the most important decisions you will make. It needs to be attractive enough to make it worth an affiliate’s time to promote you on their website over another brand but also provide you with an acceptable ROI. If any of your competitors have an affiliate program, sign up and take a look at what they pay. Aim to at least match their payments to ensure you are attractive enough.

The most common mistake I see with in-house programs is them being far too stingy with their payment options. One train operator I saw paid out £2 per sale regardless of the sale value! How many affiliates do you think were willing to send sales in excess of £150 for a ticket to get £2 back?

Signing up your publishers
The first place to start is with your existing customers and mailing list. Send out a dedicated email announcing the affiliate program’s launch, why they should sign up and how they can be part of this great opportunity.

A dedicated affiliate page on your website is a great way to get across all the advantages of joining your program and how easy it is to make money. Because affiliates don’t have to exclusively be your customers, put aside some real estate on your home page to link to your affiliate pre-sales page to drive traffic to the page and increase sign ups.

The largest affiliate community forum is www.affiliates4u.com and it has a section for independent programs to post announcements and chat to affiliates (http://www.affiliates4u.com/forums/independent-programs/). This is a great way to get involved with the affiliate community at large and raise awareness of your program.

Publisher relationships
The best affiliate programs are those that have direct relationships between the affiliates and the publisher’s affiliate manager. Affiliates like to know they are dealing with people and not a faceless company; it develops trust and increases the likelihood of you being put in a good position on their site.

Send a welcome email upon sign up using your name in the footer along with direct contact details. Also, reply to any emails promptly and personally and encourage feedback on how you can improve the program.

If you are planning any new products, features or promotions give your affiliates plenty of notice so they can use it to drive sales on their site. You should consider sending them details along with web copy they can use/ adapt for their own purposes.

Not all affiliates are created equal so identify your top affiliates (be it actual sales or potential sales) and make an extra effort to develop a relationship with them through email contact, exclusive offers and bespoke creative. You will more than likely find that 10% of your affiliates contribute up to 80% of your sales. This is typical for most affiliate programs, so make sure you keep that 10% happy!

Promotions
Once you start to see a steady flow of sales coming in from your affiliate program you should consider running a promotion targeting your affiliates to incentivise them to display you more prominently. The aim here is to increase sales, but also once the promotion is over you remain in that prime position. Options include a basic increase in commission for all products, bonuses for hitting a sales target, tiered commission (the more you sell the more commission you earn per sale), and prizes based on performance e.g. free holiday.

Top tips:
In summary here are my top tips for running a successful in-house affiliate program:

  • Do your research when looking for your affiliate software. Take the time to make sure you get the right one.
  • Ensure your commission rates are competitive and high enough to be worth an affiliate’s time
  • Do manual approvals on affiliate applications to keep control over who joins
  • Run regular reports to gauge the program’s performance, do not “fire and forget”
  • Develop direct relationships with the large affiliates on your program
  • Keep affiliates up to date with future product/ promotion plans
  • Get involved with the affiliate community

If you have experience of running an affiliate program and have any tips you would add leave a comment below.

Interview with SEO Expert Frank Paul

Monday, July 13th, 2009

We had a chat with Frank Paul, Internet Entrepreneur and SEO Expert ….

Frank Paul Interview

Could you provide a bit of information about yourself and smingle.co.uk? E.g. Your background in the industry, why the site was created, how long the site has been running, who uses your website…
Smingle.co.uk was started off as a small time SEO business a few years ago and gradually grew by word of mouth and people approaching me to do SEO work for them, as they had traced back some top search engine results to work done by myself. It has always been a “behind the scenes” business as I have never once advertised my services anywhere.

I have always been an entrepreneur from a young age, and I decided in recent years to put these skills into online marketing, and therefore becoming a fulltime internet entrepreneur. I am involved in a number of big projects including www.underwear.co.uk and also a brand new venture www.promote.co.uk which is a brand new website model which is being closely guarded at present, but will provide individuals and businesses a 100% free and unique resource to promote their businesses / websites in more ways than one!

Also recently I launched my personal blog www.fwitter.co.uk which I will be using as a place for me to write down my own thoughts and show people how you can make money with their websites by “thinking out of the box”.

Which platforms have you had the best results from e.g. affiliate networks, in-house programs (e.g. Amazon), Google AdSense etc and what have you found to be the benefits and drawbacks of each?
My affiliate network of choice would have to be www.affiliatewindow.com due to their ease of use for newbies and veterans alike, and also the number of well known companies that they manage the affiliate programs for. The Amazon and Ebay in-house affiliate programs are very good and are pretty good for having anything and everything to promote.

Google Adsense has benefits and also drawbacks. The benefits being, if a visitor clicks on one of the adverts which are on your website, then you will receive money just for the click (which is more often than not very minimal) The drawback is you are sending people away from your website to another website, and in effect you are “selling” that customer to another website, with minimal benefit to yourself.

Which areas on the page have you found to be most effective when placing adverts and what is your approach to balancing the amount of advertising to content?
I find using text link advertising converts much higher than using flash banners, as in my experience of split testing, most visitors suffer from “banner blindness” as they see banners on almost every website they come across, so therefore they tend to subliminally block them out. Another benefit of this, is that the links can be added to the text so therefore it blends in much easier than banners. Another great recent addition to banners and text links, is the easy content units (www.easycontentunits.com) which offer enable you to add deeplinks to any one of more than 9 million products, automatically embedded with your affiliate link, with just a few clicks of the mouse. It’s a great timesaver, and the easiest way of finding out who sells what.

What are the common mistakes sites make when placing advertising on their site?
A few common mistakes people make when placing advertising on their sites include not checking the affiliate links are working properly and not using targeted advertising to the demographic of users who will be visiting their sites.

There are also other ways to secondary monetise your website in other ways (which many people do not think to do). For example, a website about children’s bikes, showing advertising for Over 50’s holidays would not appeal at all, but the same site showing advertising for holidays with free Childs places will get a higher click through rate and conversions as it already has a captive audience.

When should a site be looking for either CPM, CPC or CPA payment models? Which do you traditionally use and why?
Out of those 3, I only use CPA. I also use CPL (cost per lead) payment models as the other 2 are very outdated and not many companies offering these payment models. CPA means the company will pay you a certain payment percentage based on what people buy from them  and CPL means the company can pay you a fixed fee for obtaining an individuals information such as someone requesting a secured loan or debt consolidation information. My preference is CPL as it is easier to obtain someone’s information as  opposed to getting the same individual to spend some money.

Email marketing is another method of generating revenue, what tips would you give to capturing and using visitor contact information?
I think email marketing has its place if used correctly. To encourage people to sign up, try and incentivise users by offering “call to action” statements such as “Sign up to our free newsletter now to receive all the latest offers before anyone else” or “enter your email here to stay informed of the latest news”. If this data is double opt in, then you can also use the same email list you have, to promote your other websites and gain traffic to your other sites for free.

Using Twitter to send out affiliate links is becoming more common. Do you think sites should be explicit when a link, be it a tweet, an integrated affiliate link or an article, is motivated by generating clicks/ revenue?
No I don’t think sites need to be explicit in this. I made a Facebook status update on the day of the Grand National, saying “Free £25 bet here for today’s Grand National – www.site.co.uk”  Needless to say that this made me a good few £££ with no effort at all, as I redirected visitors who clicked on my status update to my website which explained the offer and how it benefited them. I won as I had my CPA from the merchant, the customer won as they obtained a £25 free bet within the terms and conditions and the merchant won, as they had gained a new customer. I did not explicitly tell people I would be making a financial gain from this as I don’t feel there is any reason to do this.

What opportunities do social media websites offer site owners to make money?
I think social media offers websites lots of different ways to make money, as already have mentioned, I have created Facebook status updates to promote  certain offers which I think are appealing to people. The other great thing about Facebook is you can create groups for like-minded people to join. This then also gives you a free resource of people who are interested in the group subject. Let’s say you have a magic website promoting magic tricks, then you can create a group for people who are interested in magic, and cross promote your website to this audience of people who are already interested in magic tricks.

Another great opportunity with social media is obviously blogging. It is very easy to blog about something you enjoy doing and you can turn this “hobby” into a money making venture online. Blogging gathers a readership of people who are like minded and share the same interests as yourself, so you already have an interested audience to promote your website to, straight away.

You are very active on www.affiliates4u.com, are there any other resources/ articles on the internet you use that you would recommend people read to help monetize their website?
www.affiliates4u.com is THE best resource currently on the internet for likeminded people to discuss website monetisation and everything in relation to making money from affiliate marketing and it is defiantly somewhere I would recommend people visit. 

Another great place for more advice is www.affiliatedoctors.com where a number of professional internet marketers offer their time and advice for 100% free to answer any questions that people may have, on a broad range of subjects from SEO to monetising their website to make the maximum amount of money.

I would also like to add some crucial key points when creating your website.

1. Make sure you choose a good domain name which is descriptive of your website / products
2. Make sure you choose reliable hosting as this is the foundation on which your website is created
3. Try to learn basic SEO whilst creating your website (free article here http://www.smingle.co.uk/freeseoguide) as this will give you a head start from gaining traffic from search engines for free
4. Try and make your website informative and not just concentrate on sales. If your site is seen as informative and useful, it will gain sales and back links naturally.

Make Money from Your Website

Tuesday, May 13th, 2008

Heart Internet gives it’s customers a helping hand to make money online from advertising by allowing you to easily install an ad server from our CGI script library onto your website. OpenAds is a feature rich advertisement suite allowing webmasters to easily incorporate banner advertisements onto your website with minimal effort.

Below is a helpful guide on ways you can make money from your website through advertising.
 

Direct Banner Advertising

Graphical banner advertisements tend to be very effective and as a result a great source of revenue. As you will be in complete control of who is advertising, you essentially eliminate the middle-man allowing you to keep 100% of the profits. It’s not as easy as using Advertising Programs such as Google Adsense, who take care of the selling for you, it’s completely down to you to contact potential advertisers and convince them why they should advertise on your website. When approaching advertisers it’s a good idea to present to them reasons why they should advertise on your website. Good traffic statistics, including page views and unique visitors, will help your cause. Try and give as much positive information as you can. It’s also worth adding an “Advertise” link on your website, allowing people to easily enquire about advertising rates, opening up the opportunity to make a sale.

The following is a list of the most popular banner sizes used:

Horizontal:
Leader board: 728 x 90 pixels
Full Banner:  468 x 60 pixels
Half Banner: 234 x 60 pixels

Vertical:
Skyscraper:  120 x 600 pixels
Wide Skyscraper: 160 x 600 pixels

Rectangle:
Standard Rectangle:  180 x 150 pixels
Large Rectangle:  336 x 280 pixels
 
CPC (Cost-Per-Click) Advertising Programs

 There are many CPC advertising programs available on the internet, the most popular is Google Adsense (http://www.google.com/adsense/).  Adsense serves advertisements onto your website that are targeted to the content of each page, having relevant ads will result in a higher click-through rate. It’s good practice to have ads that blend into the content of your website as they will appear more natural and increase the chances of visitors clicking them. Google Adsense allows you to customise the ads to your needs – including the size and format, e.g. text, image or video and link colours. Should you get unwanted advertisements appearing on your website, Adsense has a competitive ad filter so you can block certain sites from showing. Adsense is a very easy way to make money from your website as it requires minimal effort to setup and it takes care of displaying relevant advertisements for you.

Affiliate Schemes

You can also make money from your website by joining an affiliate program where you can earn commissions by referring visitors to a website where they perform certain actions, e.g. purchase a product.  Heart Internet offers an affiliate program allowing you to earn a 10% commission on all domain and hosting sales that where referred from your website.

For more information or to sign up as a Heart Internet Affiliate and start making money, click the link below:
http://www.heartinternet.co.uk/blog/2008/05/affiliate-scheme/

OpenAds Support
Should you need any help with your installation of OpenAds please visit the official support site

Support Page:
http://www.openx.org/support

Forum:
http://forum.openx.org/

Affiliate Scheme

Thursday, May 8th, 2008

We’ve been reviewing our affiliate scheme against the competition and believe we have the leading scheme in the industry. With the Heart Internet scheme you can earn 10% commission on all domain and hosting sales by referring new customers online.

Enrolling in our affiliate scheme is free of charge and we supply a range of banner and button sizes to place on your Website. When a visitor to your website clicks on any of these banners they are sent to our website and a special piece of information is stored on their computer (called a cookie). Cookies are used by many companies, including Microsoft, Amazon and Argos, so are widely accepted by computer users. The cookie stores your affiliate ID so that when that customer places an order for services from our website we know that the customer came from you.

Once an order is placed we automatically credit your account with 10% commission for web hosting and domain names from that sale. As long as you reach £15 by the end of the month we will automatically credit the amount you have earned to your bank account. If you don’t earn £15 in a given month we simply keep carrying this amount over until you reach £15.

To join simply login to your account/sign up for a new account and click the “Affiliate Link” once you have logged in.