PDA

View Full Version : Can you answer a question that has been buggin me...



graysoft
12-07-2003, 11:49 AM
Based on all the internet marketing programs set up all over the internet, how comes now one has never ever,ever told you the amount of expense you might incur from joining their programs before you earn a profitable stream of income ?

Forget the "sign up as free member" rubbish because free means nobody is paying you for your input ( time is an expense to the entrepreneur).

For one to make money from anything one has to incur an expense towards it whether its cash,any other asset of value and of course time.

Are the so called "brainified ones" of the enlightened class of internet marketers aware of the cost to the average affiliate member in their programs ?

It can in no way cost every one involved the same to earn a $100 in commissions (there goes your time again at a cost you can't recover).

Does everyone who participates in affiliate programs knows that paying for traffic or for emailing prospects is not the only cost in internet marketing ? There are other attributable COSTS as even the floor space occupied by the desktop in you kitchen or bedroom should be charged the proportionate amount of the rent or mortgage of the building or location where you run your business from.

Another thing I hear becoming a "now word" in internet marketing :- R.O.I which is defined as : return on investment
, this to me, a qualifying professional accountant is bloody annoying and misgiving. R.O.I relates mainly to major corporations, limited companies and small businesses who account for their periodic performance and is an indicator of the operating profit in relations to the total asset position of the business relative to the balance sheet date.

Affiliate marketers will forever complain of low revenue from affiliate programs as long as the reality hits home. This reality will remain as the subject of another contribution.

Linda Buquet
12-10-2003, 12:56 PM
Greysoft,

I have pondered your question for a couple of days.
At least I think this is the main part of your question?

"Based on all the internet marketing programs set up all over the internet, how comes now one has never ever,ever told you the amount of expense you might incur from joining their programs before you earn a profitable stream of income?"

I guess that's because the answer depends and would vary based on every individual. I'm not sure how I could even guess or calculate it.

trogar
12-11-2003, 06:35 PM
Hello,

I'm new to the board, but I'll offer my 2 cents on this question grey, and hopefully it might help? :o)

It's a LEGALITY issue. When you think about MOST affiliate programs, they are run by companies worried about the possible legal problems stemming from misrepresenting their opportunity. If they make a statement about potential income, or break even points, then they open themselves up for legal issues in the event that a person does not accomplish those points.

Take for instance, the most recent news on FTC and their decision where weight loss pills are concerned. Granted, this may be a little extreme of an example, and MANY of the companies may have overexagerated their product abilities, but still, the action came about from people complaining that the product did not deliver as promised.

I don't want to keep babling on here, so in basic and short, I'd have to agree with Catalyst. And add that they are all just afraid of potential legal issues. Hope this helped :o)

JonC
12-15-2003, 04:50 PM
Based on all the internet marketing programs set up all over the internet, how comes now one has never ever,ever told you the amount of expense you might incur from joining their programs before you earn a profitable stream of income?

Everyone who begins working in affiliated marketing probably approaches the situation differently. I work with publishers who literally started with just their homepage listed on an SE (search engine). Others develop investment capital, incorpoate themselves and start an honest-to-god business. After that there's everyone in the middle! Is making a profit in this business going to take some serious time and effort on your part? 100%. Is your time valuable to you, both monetarily and personally? 100%. You just have to find your acceptable level of participation and investment; then you can determine what you expect in terms of your return.

SteveWebb
12-15-2003, 10:55 PM
Graysoft,

There is certainly alot in your post.

graysoft wrote:
R.O.I relates mainly to major corporations, limited companies and small businesses who account for their periodic performance and is an indicator of the operating profit in relations to the total asset position of the business relative to the balance sheet date.

While the above is true R.O.I is a measurement tool that will help anyone to determine a fair return on any money, effort or in kind contribution to any venture. Keeping ROI in mind will provide a practical approach when evaluating affiliate programs and determining revenue streams from them.

graysoft
12-18-2003, 11:34 AM
Saturation Point For An Online Affiliate

I thank you guys for the reactions given for my last posting re : "breaking even with affiliate programs".

Now here's the stickler for all of us who run or participate in an affiliate program:

When and how can you determine whether or not the program you are running or participating in has reached its "ebb on the web" ?

Every ship has her glory days and runs out of steam someday;
Every cash cow suddenly becomes a dead turkey somehow and affiliate programs are no exception.

There are two groups to be concerned here :
1.) Members involved from the early stages since launch and have promoted this program full strenght using all available media (advertising strategies and approaches) to the population.
.
2.) Members recently recruited but may not be aware of exactly how many and how hard "senior members" have sold this program and probably these "senior members" might have had already advertised to the population "junior members" unknowingly may see likely to advertise to.

Will someone be brave enough to highlight the indicators both qualitative and quantative that the "seniors" and "juniors" of an existing affiliate program should look for to determine whether the program involved is destined for the "archives" of internet marketing.
This is where you place an affiliate link on your website and realise your visitors has no interest whatsoever even though the program belong to an "enlightened internet marketing guru".
You would have advertised this program exactly the way they told you to, no deviation.

At what point will the bubble burst for you to discover that this program is now actually a "stinker" ?