(This is the second part of a 2 part article.
Read the first part here … http://christianstimulus.com/?p=1008 )
Another type of affiliate program is the residual income affiliate program. Residual affiliate programs usually pay a smaller percentage of sales commissions for every sale directed by the affiliate to the merchant’s site.
This commission often comes only in the range of 10% to 20% sales commission. Because of this, many people ignore residual affiliate program and would rather opt for the high paying one-time commission affiliate program. Are these people making a mistake, or are they making the right decision?
We can’t tell, for sure, if people are making a mistake by choosing a high paying one-time commission affiliate program. But we can definitely say that they are making a large mistake if they ignore residual affiliate programs.
Residual affiliate programs would indeed pay at a lower rate, but merchants offering such kind of programs would generally pay you regular and ongoing commissions for a single affiliate initiated sale!
That means, for the same effort you made in promoting a particular affiliate program, you get paid only once in a one-time commission program, and a regular and ongoing commission for a residual program!
So, are the benefits of promoting residual affiliate programs clearer to you now? Or are they still vague? If they are still vague, then let’s make them a bit clearer with this example.
Suppose there are two online merchants both offering web hosting services on their sites. The first merchant offers a one-time commission type of affiliate program that pays $80 for every single affiliate initiated sale.
The second merchant also offers an affiliate program, but this time a residual affiliate program that pays only $10 for every single affiliate initiated sale. As an affiliate, we may get attracted at once at what the first merchant is offering, as $80 is definitely a lot larger than $10. But by thinking things over before actually getting into them, one may be able to see that the second merchant is offering us more opportunity to earn a larger amount of money.
Supposed you have directed traffic to the merchant and it converted into a sale, you’ll get paid once by the first merchant for the sale you have initiated. But with the second merchant, you’ll get paid monthly for as long as the customer you have referred to the merchant continues to avail of the web hosting service.
That means that for the same effort of getting one customer to avail of the merchant’s service, you get paid monthly in residual affiliate programs while you only get paid once in a one-time commission type of affiliate programs.
Whenever you can find a GREAT product with residual affiliate commissions, it is to YOUR advantage to market those products and earn income over and over and over for the same effort.
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