Why You Should Use Affiliate Programs and Resell Products
| Category: Affiliate Marketing - Basics | Date: 2003-04-28 |
I recently read an article by a novice web marketer who appeared to be voicing his disapproval of selling other companies products,and buying the rights to resell products. Boy, does this guy need a reality check. The buying and selling of other peoples products has been going on since the idea of commerce was invented millions of years ago.The truth be known, practically all products being sold were not created by the company selling them. They either paid someone to create the product for their company, or they bought the product and all resell rights from the inventor. Let me give you some examples:
Bill Gates (Microsoft) did not create Hotmail. He purchased the product for its creator at a very low price, and used it to create one of the most powerful advertising tools on the web. Thats right. Hotmail is not about providing free email. Microsoft makes money from this product through paid advertisement. You see, someone can be smart enough to invent an email program, but not a clue of what to do with it. A smart businessman with vision can take that same product and turn it into a million dollar business.
Ray Kroc, the founder of McDonalds, is one the most successful businessmen in the world. If I asked you what business Mr. Kroc was in, you would probably say that he is in the hamburger business. Wrong. Ray Kroc is in the real estate business. He concentrates on selling hamburgers, but when you buy into the franchise, you are buying the land that goes with it. McDonalds is the single largest owner of real estate in the world. It owns more property than the Catholic Church.
Lets look at pharmaceutical companies. All of them have a research and development department that creates their drugs. Because some of the companies have such a small niche in the market or limited funding, they will form a partnership with a larger pharmaceutical company. The larger company will take the product, develop a marketing and advertisement plan, and sell the product for the original company. For this, the originating company will pay them a generous percentage of the proceeds.
Affiliate programs, in my opinion, are the best thing about doing business on the web. They have revolutionalized the way large companies market their products, and have enabled smaller companies to employ a large sales force that works totally on commission.
Just think about how many target groups companies are able to reach because of affiliate programs. A company can actually have sales reps all over the world marketing their product. Not to mention, they can save millions of dollars in advertising expenses.
Listen to some of the benefits of being an affiliate marketer (the person selling the companies product). You get a first hand taste of what being an entrepreneur is all about. Most importantly, you gain valuable marketing skills that may be used in any aspect of business.
I find myself seeing everything around me as a product. From automobiles to the teletubbies that my little girl plays with. I picture in my mind the marketing concept and target group the company is trying to reach. You start to feel as if you can market and sale anything.
Applying these concepts on the internet has opened many doors for people like you and me. Where else can you write and submit articles for publication and have your name seen all over the world in less than a week? Where else can you start a business on a zero budget and see it grow to earning you thousands of dollars each year? Only on the internet can you create a product and market it to millions of people, and have them purchase it without either of you ever leaving your home.
My intention was to show you how reselling and affiliate programs have taken entrepreneurship to a new level. But its nothing new. Man has been doing this for centuries, and will continue to do so. The only difference is instead of being on the floor of the New York Stock Exchange or in a corporate boardroom, we do it on our home computers.
About the Author
Steven M. Strowder is the author the Achieve Financial Freedom Ezine. Learn to create a lifetime of wealth and keep it.
financialfreedom2-subscribe@listbot.com
:To contact see details below.
strowder@hotmail.com
http://financetofreedom.go.coolebiz.com
Bill Gates (Microsoft) did not create Hotmail. He purchased the product for its creator at a very low price, and used it to create one of the most powerful advertising tools on the web. Thats right. Hotmail is not about providing free email. Microsoft makes money from this product through paid advertisement. You see, someone can be smart enough to invent an email program, but not a clue of what to do with it. A smart businessman with vision can take that same product and turn it into a million dollar business.
Ray Kroc, the founder of McDonalds, is one the most successful businessmen in the world. If I asked you what business Mr. Kroc was in, you would probably say that he is in the hamburger business. Wrong. Ray Kroc is in the real estate business. He concentrates on selling hamburgers, but when you buy into the franchise, you are buying the land that goes with it. McDonalds is the single largest owner of real estate in the world. It owns more property than the Catholic Church.
Lets look at pharmaceutical companies. All of them have a research and development department that creates their drugs. Because some of the companies have such a small niche in the market or limited funding, they will form a partnership with a larger pharmaceutical company. The larger company will take the product, develop a marketing and advertisement plan, and sell the product for the original company. For this, the originating company will pay them a generous percentage of the proceeds.
Affiliate programs, in my opinion, are the best thing about doing business on the web. They have revolutionalized the way large companies market their products, and have enabled smaller companies to employ a large sales force that works totally on commission.
Just think about how many target groups companies are able to reach because of affiliate programs. A company can actually have sales reps all over the world marketing their product. Not to mention, they can save millions of dollars in advertising expenses.
Listen to some of the benefits of being an affiliate marketer (the person selling the companies product). You get a first hand taste of what being an entrepreneur is all about. Most importantly, you gain valuable marketing skills that may be used in any aspect of business.
I find myself seeing everything around me as a product. From automobiles to the teletubbies that my little girl plays with. I picture in my mind the marketing concept and target group the company is trying to reach. You start to feel as if you can market and sale anything.
Applying these concepts on the internet has opened many doors for people like you and me. Where else can you write and submit articles for publication and have your name seen all over the world in less than a week? Where else can you start a business on a zero budget and see it grow to earning you thousands of dollars each year? Only on the internet can you create a product and market it to millions of people, and have them purchase it without either of you ever leaving your home.
My intention was to show you how reselling and affiliate programs have taken entrepreneurship to a new level. But its nothing new. Man has been doing this for centuries, and will continue to do so. The only difference is instead of being on the floor of the New York Stock Exchange or in a corporate boardroom, we do it on our home computers.
About the Author
Steven M. Strowder is the author the Achieve Financial Freedom Ezine. Learn to create a lifetime of wealth and keep it.
financialfreedom2-subscribe@listbot.com
:To contact see details below.
strowder@hotmail.com
http://financetofreedom.go.coolebiz.com
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