Who do you suppose makes more money – the affiliate or the advertiser? ESPecially when the product sells for $ 17 and the advertiser is paying out 65 or 75 percent decisions? It would seem that the affiliate would make the most money, then, right? So why bother going through all the trouble to create your own product and become one of the advertisers?
Because in affiliate marketing, the advertiser does not really care if he makes anything at all off that sale. In fact, if he could, he'd pay you 100% just to drive that targeted traffic to his site. A customer who buys once is even more likely to buy again. And that's where the money is – on the back-end sales that the advertiser generates AFTER you've made that initial sale FOR him.
Here's why you need to start creating and selling your own products:
A good internet marketer knows that the first sale is the hardest to make – no matter how low the price. The first product could be priced at $ 1 and someone will still balk at paying it. But once you get them over that first hump, and dazzle them with that first product, then they're much more willing to listen to what you have to say about your NEW product.
So you create a very nice little product and sign on with Clickbank and let a whole bunch of affiliates go to all the trouble of actually marketing it for you. Let THEM do the grunt work of convincing those buyers that they need your product. And give them the highest commission you can so they'll work that much harder for you.
And after that visitor buys that first product, you'll have his name on your list. The list you're now going to use to market your back-end offer.
Maybe your nice little product was an eBook that answers the problem of how to lose that unwanted belly fat. Now that you have an interested buyer, you could market them workout videos or invite them to join your membership site where you give them special diet and exercise tips. And after you've sold them THAT product, then you can move on to creating something even better.
Your plan when starting out in affiliate marketing should never be set up a simple website and sell a $ 7 eBook for a 50% commission. You'll never build an empire on $ 3.50 sales. You should always be thinking about taking the next step and taking your business to the next level.