Affiliate marketing essentially markets goods for a fee to other people & services.
I started selling other people’s courses via a blog in 2012 and I considered paid ads to be a great way to increase my income. My main focus was then on discovering a commodity that sold for a few thousand dollars, and then selling it as a 75% profit affiliate.
I received a few thousand dollars a month, which was great money for a college student. However, in many years’ time around 2015, Peter and I have found an entirely new way of making money online.
Instead of having a fee paid while making a sale, we figured out that we could be compensated instead to generate leads for other companies and turned to a business model lead generation.
Who is Plumbing Generation?
Every company needs revenue. In order to close sales, however, the company must first focus on producing leads.
One lead is a person or company who shows interest in the goods & services you promote by submitting their details, which is then used to monitor them, in order to convert them into sales.
There are several ways in which companies generate leads. They may run their own ad campaigns in-house or rely on an ad agency / lead generation company to do it all.
Most prefer to use affiliate marketers like me to generate leads for them; they pay a fixed price for each lead they make.
Where can I find Lead Gen promotions?
One of the main challenges a new marketer has to solve is to find companies willing to pay for leads. In fact, however, the easiest move is to find leading genes that can be promoted as an affiliate through the membership network.
An affiliate network is an online system that links companies to marketers, enabling them to generate sales and leads at an agreed cost.
However, rather than dealing directly with the client, you become a middle man through the network of affiliates. Affiliate networks also have hundreds of deals for advertisers to sell in one location, and you can pick and sell — depending on the product and on the quality.
For every deal you chose to endorse, you receive a special personal URL from the affiliate program. Whenever someone becomes a lead through your connection, you are paid.
You want to locate and enter a network of affiliates? See OfferVault for a list, or privately for a post.
Anyone may enter a network of affiliates and begin advertising deals, which make generating leads in return for a commission very simple. You don’t have to schedule sales meetings with businesses to sell your services and ask if you can create leads.
You can only log into the affiliate network, pick a lead gene deal, and start building leads and collect payments without talking to anyone.
How do you build plumbing?
If you find a leading deal through your chosen affiliate network, the next move is to start generating leads to get paid. Driving web traffic to your connection is the only way to generate leads.
Web traffic is two main kinds, organic and charged. Organic traffic is traffic you create for free on a blog, on your youtube channel, on Instagram, etc. Paid traffic is traffic created by paid ads you pay for on a website, such as Facebook, Twitter, Google and Snapchat.
Once I first began affiliate marketing, it was organic free traffic from blogging that I focused heavily. This was, however, an incredibly painful and slow way to get started; I made little money by organic searching.
It wasn’t long before I found out I would have to learn how to correctly incorporate paid traffic in my marketing campaigns if I wanted to make a substantial amount of money.
The reason why paid traffic is more effective than organic is how easy it is to rapidly escalate the promotions. The issue with organic transport is that you need to spend hours developing content, building links and waiting for Google to determine your website authority if you are searching for further results.
For paying traffic, you simply through the ad spending budget if you want to scale.
The business model of lead generation using paid traffic is very simple. The goal is to spend less money to lead than the partner system charges in fees.
For instance, let’s assume you get $10/lead for a car insurance company, you should try to spend $8 or less per lead on paid ads.
The difference between the cost of advertisement and commission is your profit margin; in this case, your profit was 2 or 20% net ROI.
Why quality matters for paid management strategies There’s one crucial element in paid lead genes that you have to pay special attention to — leading quality.
For example: let’s assume you generate 100 leads for a car insurance company at 10 $each, but none of them are keen to get a policy remotely.
You only got $1,000 from the insurer and nobody signed up for a car insurance policy.
That means your leads were unskilled and of low quality.
In this scenario, the advertiser may ask you to stop sending leads and may even refuse to pay for your leads.
The easiest way to make money from lead genes is to submit the highest quality recommendations you can. There are many ways to evaluate your leads, but your target market and ad copy are the main contributors to the development of quality leads.
You want to ensure that you market people who are in your demographic range and are interested in what you sell.
Facebook is an ideal location for high-quality traffic.
The reason why we like Facebook advertising is that they have a huge amount of data on their users, FB would only show your advertising to interested people. They collect data from their users at home by watching what people click or display, and they purchase data from most of the big Internet websites and they have an overview of everyone’s buying history and interests.
Although it could bother the consumer from a privacy point of view, it is perfect for advertisers who run ads!
Another way to ensure your leadership standard is good is to ensure that your advertisements are straightforward about the deal and not confuse anyone to become a leader. You can also boost the consistency by using a purpose driven ad copy like “Click Below & Get an Auto Insurance Quote now” etc. Because there is no doubt what the user clicks on and why the user is leading.
When you are profitable to promote a lead gene bid with paying traffic, it is time to scale up. This ensures that you can increase your promotional budget to make more profit. If you spend $100/day on ads with a net profit margin of at least 20%, you can plan to raise your ad budget to $1,000 or even $10,000 + a day. You can then begin to make some real money.
Eventually, you want to create a team of seasoned media buyers — increase the amount of tests you will do and increase the number of campaigns you will run concurrently.
This can be achieved through remote employees or by the formation of a team with your own digital agency. Everyone can be a very good media buyer and, in some situations, it is best to employ people with the right mindset and to give them the requisite skills to achieve success.
This strengthens the team’s loyalty and contributes to continuity and continued market success.
But it’s easier to say than to do.