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How You Can Make Money Online Selling Other Peoples Products As An Affiliate

August 9, 2012 | Posted by

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The first thing that comes to the minds of those who are new to making money online, are things like data entry jobs, get paid to taking surveys, paid to read emails, copy paste jobs etc. And the reason is because these are the usual stuffs that most scammers use to steal money out of those opportunity seekers who are novice in legitimate online income opportunities. In this blog post I want to reveal the most common method used by tens of thousands of people across the world to successfully make a decent income online.

It’s Called Affiliate Marketing

If you ever checked out my $11K in 7 days ebook, you know that I achieved the huge feat by promoting and selling someone else’s product as an affiliate. You can read exactly how I did it by checking out this website where I am offering my exclusive ebook on “How I Made $11, 187 Online In 7 Days”, absolutely free of cost. Still those who are new to all these may not understand the terminologies and the technical details that’s in the ebook. So I thought it is urgent to create a blog post explaining what exactly is affiliate marketing for all those who are absolutely new to affiliate marketing.

So, What exactly is affiliate marketing ?

Simply put, It’s the process of marketing or selling other people’s products as an affiliate. An affiliate simply means, to be part of (in our case, the product). So you bring sales to the product producer by becoming part of that product promotion. And in return you get a percentage of the profit from the sales you make.

Let me give you an example to make it more simpler.

Let’s say there is a guy who produces BMW Cars. And yes the guy that produces the BMW car’s is the Product Producer and the BMW car is the product. Now the Product Producer can’t make a profit unless someone buys his product which is the BMW car. So naturally the BMW Producer guy needs people who will bring to him, those people who are interested in buying his BMW’s. Now let’s say you have 5 potential BMW car buyers in your friends list. So you decide to make some money from the sales of the BMW cars by referring your friends to buy the BMW’s. Before you do, you go to the BMW Producer guy and sign an affiliate contract where the Product Producer guy agrees to pay you 5% of the BMW car cost per each BMW sale you bring. So you go ahead and refer your friends to buy BMW’s from this guy, and once they start buying the BMW’s, the BMW Product Producer guy rewards you by giving you 5% of the car cost per each car sold. This is how affiliate marketing works.

The only difference when it comes to affiliate marketing online is that the signing up, referring and sales all happen online without you needing to get out of your home. All you need is a computer with an internet connection to make all those sales and make all those money. So let me show you the steps involved in affiliate marketing and making money with it.

1. You find a hot selling product which you believe can bring you lots of sales
2. You sign up as an affiliate, to promote the product
3. You get a website address for the product containing your unique tracking id so that every sale that comes through that link gets credited to your name
4. You send the website address to targeted customers
5. Customers buy the product through the website containing your unique tracking id
6. Once the customers make the payment and buy the product through your affiliate site, you get credit for the sale
7. The product owner will send out your weekly or monthly affiliate commission payments, mostly by the end of the month via check, paypal or bank transfer.

Did I make it crystal clear ? To make it more understandable without a shadow of doubt, let me show you everything in a picture.

 

Let’s see how it works:

In the above image, we see that…

1. There is a product owner who owns the product which you will be selling as an affiliate.

2. Next you see the product, for our convenience let’s assume that the product is a weight loss ebook.

3. Next we see the website where the product owner is selling his product (weight loss ebook).

4. Since the product owner is always looking for sales, he’ll be having an affiliate program signup link in his product sales page, mostly this link will be found at the bottom of the page, it can also be on a different page.

5. Let’s assume that you have many friends, relatives or website visitors who are over weight and you see that this ebook will be best to help them out with their weight problem. And when you see that you can make money while helping them, you are excited and so you go ahead and click the “affiliate signup” link.

6. As soon as you click the affiliate signup link, you’ll be taken to a page where you can read all the details of the affiliate program, how it works like, how much money they pay per sale, when you will be paid, how you will be paid etc, also the page will have a signup form or a link to the signup forum where you can enter your details like name, address, email, payment details etc to join the affiliate program. So you click the “JOIN” button after entering the details.

7. After you join, you will be taken to your affiliate dashboard where you can find your unique affiliate link or unique product sales page url, this is the website link which you will be sending to your over weight friends.

8. Your affiliate link will be having your unique tracking id embedded in it, so that every time someone clicks the link or orders the product, it’ll all be tracked inside the affiliate dashboard. This is so that you can login to the affiliate dashboard anytime to see the money you earned or the number of sales you made.

9. Now let’s see how the sales happen. First you start  by directing people to your unique product sales page link with your embedded tracking id. You can do it in tonnes of ways, may be you send the link to your friend’s email id or send it in a facebook message or post the link in your website or on a blog post or simply create a youtube video about the ebook and post your link in the description. Whatever the case, what you are doing is driving traffic to your affiliate link.

10. Once your friends, relatives or website visitors starts ordering the ebook, you’ll start getting credits for each and every sale you made and it’ll all be tracked in your affiliate dashboard for your easy reference.

11. By the end of the month, or when you reach the payment period, the product owner will send you the money using the payment method you selected – usually paypal, check or bank transfer. And you get the money in your hands… Happy ending…

To be more clear, please checkout the video which you see at the beginning of this post. Hope you now clearly understand how affiliate marketing works. If you don’t then don’t be afraid to ask me by posting your questions in the comment box below. Also feel free to post any questions, doubts or comments. So do you liked the video? If you do, then I request that you share this post to your friends and family. I’ve included the facebook, twitter, google plus and pinterest buttons for your convenience of sharing.

Also please let me know how you liked the post and the video. I look forward to reading and replying your comments.

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Dr.Spencer Jones

Dr.Spencer Jones is the founder of Online Income Startup™. He loves to share from his 7 + years experience in setting up an online business and making money with it. And that's how he started writing this blog.

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18 Responses to “How You Can Make Money Online Selling Other Peoples Products As An Affiliate”

  1. Sue Neal says:

    Hi Spencer – that’s a very clear explanation of how affiliate marketing works. I like your video very much, I love the way you’ve done the graphics.

    I think one of the main challenges for affiliates, though, is how to get traffic to their sites. I do plan to use the method you describe eventually, but at the moment I’m focusing on building up a website with high quality content – I think you’ve usually got to have something of value to give in the first place before you start trying to sell.

    Although the basic principles of affiliate marketing are very simple, most people find it’s not actually so easy to succeed – and I think one of the biggest hurdles is getting plenty of targeted traffic.

    Best wishes,

    Sue

    Dr.Spencer Jones Reply:

    Thank you Sue for stopping by and thanks for letting me know that you liked the video graphics. It was my first try using this technique. Actually I tried drawing on an ipad and taking the picture to convey the message, but didn’t use it as my picture wasn’t that neat. So I tried to create the same drawing using an application called Skitch to create the graphics. That’s how I ended up creating that whole affiliate marketing picture.

    It all happened because of an idea that crossed my mind. Can tell you, it’s definitely not my brain as I am not that brilliant. I believe God is the one that gives me ideas, so all praises to Him. By the way, have you noticed that I only have background music in the beginning and at the end ? Changed it as per your suggestion. hope it’s better now.

    Regarding the traffic, it is definitely the difficult part in the whole affiliate marketing process. But I once again believe that God will give me an idea to solve the puzzle and share it here.

    Once again thanks for stopping by and writing your comment…

    Dr.Spencer Jones

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  2. Sue Neal says:

    Hi Spencer – yes, I did notice the music and I think it’s much better that way – sorry, I should have mentioned that in my initial response! Interesting to hear how you created your graphics – I hadn’t heard of Skitch.

    Regards,

    Sue

    Dr.Spencer Jones Reply:

    Hello Sue, No problem. It’s good to hear that you liked the change. Regarding skitch, I only found the application recently, but it’s super user friendly. I think skitch is available for both Mac & PC.

    Wishing you a great weekend…
    Dr.Spencer Jones

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  3. Simmeon says:

    Hey Spencer,

    I’m loving the expectational graphic, as for affiliate marketing when you break it down it’s not difficult and everyone with an online presence could be taking advantage of it. if you don’t have the time to create and manage your own product selling ones that are ready and waiting is the best option.

    Dr.Spencer Jones Reply:

    Hey Simmeon, Good to see your comment. Thanks for your word of appreciation regarding the graphics. Yep you are right, affiliate marketing is the first thing that any newbie wanting to get in to the internet marketing arena should try.

    Have a great weekend…
    Dr.Spencer Jones

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  4. J.D. Meier says:

    Beautiful breakdown.

    I like the fact that you mapped out specific steps and included a visual.

    I really like the fact that you stepped into the process and demystified the steps.

    I think the non-obvious part, and the friction parts are:
    1. Building back links to your site that promotes the product
    2. Building a mailing list or having a way to send the info to your customers
    3. Building the useful content out on the site so that it’s not a spam site, or just a product-pushing site, but a value-add, knowledge base on the product.

    Dr.Spencer Jones Reply:

    Hello Meier, Welcome to my blog and thanks for your comment. Good to hear that you liked he post. Thanks for mentioning the steps, I will be dealing with promotion using an affiliate website, in another post.

    Have a great weekend…

    Dr.Spencer Jones

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  5. Adrienne says:

    Wow Spencer, that’s fabulous. I think I’ll have to grab your eBook just to check it out and see what you did. I’ve never made that much in that short of time. Would be nice though.

    I enjoyed your video and the music and hand clapping was so cool. Just gave it a little something extra.

    Great explanation on how affiliate marketing works and I also thought the graphics were a nice touch. With those types of results, people need to listen.

    Thanks for sharing.

    ~Adrienne

    Dr.Spencer Jones Reply:

    Thank you Adrienne, Glad to hear that you liked the video. Yea it took me a long time to finish the ebook, at first thought of selling it. Then I decided to give it away for free. You’ll be able to get the ebook simply by subscribing. Also regarding the video at the beginning of this post, it’s the first video that I created entirely using one single image and adding motion effects to it. Hope you liked that video on “what is affiliate marketing” as well.

    Dr.Spencer Jones

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  6. Romy Singh says:

    Hello Jones,

    Great explanation about how affiliate marketing works. I think the secret mantra of affiliate marketing is putting right products in front of right audience. The more you target quality and interested audience the more profit you’ll make. And I also think that choosing a correct affiliate products to promote also plays huge role.

    Btw, Great post. Going to grab your ebook to see what more I can learn from you. And yeah! I enjoyed video very much.

    Thank for sharing. Tack care. :)

    _Romy Singh

    Dr.Spencer Jones Reply:

    Hello Romy, Thanks for your comment. I agree, without right products and right audience, there won’t be any sale. Good to hear that you liked the post and the video.

    Regarding the ebook, I got your subscription, but I think it needs to be confirmed before you can get the ebook, I am not sure if you received the confirmation link, if not, then you may need to resubscribe.

    Once again thanks for your valuable comment.

    Dr.Spencer Jones

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  7. nilesh says:

    Affiliate market is very helpful for earning more as 1 product selling provide you a good amount of money. But, I am unaware of some best affiliate company name and their website. So, can you plz help me with that.

    Dr.Spencer Jones Reply:

    Hello Nilesh, If you are looking for products to promote in any particular niche, then simply go to google and type “_________ affiliate program”. Simply put your niche name instead of the dash, if it’s dog training, it’ll be “dog training affiliate program”. You will end up finding products in any niche which can be promoted for profits.

    You can always promote products at mega shopping sites like amazon.com. Amazon has it’s own affiliate program, where you sign up once and promote any product from the thousand of products in the entire site. Also don’t forget the biggest digital products affiliate marketplace – clickbank.com. At clickbank.com, the commissions are higher, up to 85% (if I am right) and the products are all digitally deliverable. You can promote ebooks, softwares, digital infor products etc on clickbank.

    Hope it helped…
    Dr.Spencer Jones

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  8. Hi! Are there any companies using this as a major marketing tool? Just curious.

    Dr.Spencer Jones Reply:

    Almost all digital product sites with an affiliate program depend on their affiliate army to generate sales. Sites like Clickbank.com are built solely around the marketing aspect of an affiliate marketing.

    Hope it helps…

    Dr.Spencer Jones

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  9. Hari says:

    Hi Spencer,
    I am new to online income. Want to know,
    How the Affiliate marketing [Outside India] works when I am residing in India.
    Would like to know how to do we get the Paycheck when, we do Affiliate marketing outside India?

    Regards
    Hari

    Dr.Spencer Jones Reply:

    Hello Hari, Your location is not a problem for affiliate marketing. Wherever you are, most affiliate programs deposit money directly to your bank account via wire transfer. Otherwise you can opt to get paid via check or paypal, depending on the affiliate program.

    You might want to check out my payment proof, where I shared some of my online income checks and payments. Link below.

    http://www.onlineincomestartup.com/online-income-real-proof/

    Hope that answers your question.

    Dr.Spencer Jones

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