Last week I shared my answer to a common question that many people getting into online product marketing ask: “Should I offer a money-back guarantee?” Today I want to tackle two others:
“Should I start an affiliate program to promote my product?” If so, “how much should I pay affiliates as a commission?”
I had this conversation only yesterday with one blogger who was launching his first ebook. He had decided to set up an affiliate program but was unsure about what percentage to pay. He were leaning towards 10% commissions, mainly because he didn’t want to eat into his profit margins too much. I’ll share the response I gave that blogger here.
But first, let’s take a step back to look at some pros and cons of affiliate programs.
Why an affiliate program could be worthwhile for your product
The main reason that you should consider an affiliate program for your product is simply that it will increase the potential reach that you will have as you promote your product.
Whether your blog is big or small, there’s always room to increase your reach and have your offer seen by more people. Pretty much every topic has other blogs, sites, forums, and individuals interacting on social media. To set up an affiliate program increases the incentive that these sites and individuals have to promote your product.
Of course, not everyone will be motivated by an affiliate commission (some bloggers don’t use them at all), but you will find that some are definitely moved by them and those people could open up a considerably larger audience for you.
Another benefit of affiliate programs is that they help to grow your own list of customers. This benefits you in the here and now with the product you’re promoting at present, but also offers potential for future products.
A new customer that comes in from an affiliate promotion today can turn into a...
