Create an Affiliate program for your web site now

Affiliate programs basically all work on a bounty (revenue-sharing) model. For example, I pay you, Bob Webmaster, 5 percent of the revenue on the products you sell through my nifty little button on your homepage. An affiliate program is virtually risk free to start and fairly inexpensive to maintain. And there is a great motivation for the affiliate to sell your product without any risk on his part, as well. Thats why theyre so dangerous.

But affiliate programs are not a new idea -- essentially. Amazon.com built their business on them. In fact, Amazon.com has amassed an online army of affiliates -- thousands of tiny little salespeople -- all selling products in the ultimate win-win deal. Next time you surf the Web, notice how many Amazon.com buttons you see and where you see them. Yes, that site youre looking at is an affiliate of Amazon, and theyre getting paid a commission for every book they sell by simply putting that button on their Web site. Some affiliates go so far as to build their own Amazon.com storefront dedicated to their own particular interests.

Its only now that everyone is catching on to what an incredible idea affiliate programs are, and what a perfect medium the Internet is for this type of multilevel marketing. Anyone with a site can get commissions, and anyone with a product can start an affiliate program (hence the recent affiliate program gold rush). Noteworthy companies (other than Amazon) that have successfully set up affiliate programs include Barnes & Noble, Avon, Cyberian Outpost, Beyond.com, Network Solutions (Internic), FogDog Sports, and FAO Schwartz.

So how do you set one up? There are several companies that offer affiliate program management packages for companies to use. Some of the larger ones include BeFree and LinkShare. Some of these companies will set up your affiliate program for free and then take a portion of the commission you pay your individual affiliates, while others charge a hefty setup fee and then take a smaller percentage of the sales generated from your affiliate program.

The real challenge is getting the word out about your program. Thats where online advertising comes in. The secret is to find people willing to put your affiliate button on their site. Currently, many companies are using a mix of banner, e-zine, and e-mail advertising to get the word out about their affiliate program.

But before you say "I want one" -- beware. Many details fall between the little button on your affiliates Web site and your final ROI. To really do an affiliate program right, you need an entire marketing team and a top-notch affiliate management company. Remember, most of the fortune seekers who ran to California in search of gold came back empty-handed; only a few very smart (or lucky) ones reaped the rewards before the entire state was overturned.

About the Author

Fraser Hay is co-founder and Chief visionary Officer of HitsnClicks.com



http://www.hitsnclicks.com