Saturday, December 16, 2006

Diversity in Your Affiliate Portfolio

by Donny Gamble

As you already know, affiliate marketing is literally one of the greatest businesses in the world once you get it up and going. It has been made popular on the internet by companies such as Clickbank, Commission Junction, and Amazon.

One thing that all of the super affiliates I have spoken to have in common is that they all have a collection of products that they are thinking of promoting/ are promoting. They know which products are launching. Products that have launched, products that have been successful for others… these guys are very critical about product selection.

What it means to have a diverse portfolio is that you need to have a variety of different affiliate programs that you promote.

As an understanding, the vast majority of affiliate programs fit into 3 basic payment structures:

Single Commission- One Level: Here you’re paid just once from the purchase of the customer. If that customer joins the said program you don’t earn any more commissions on sales made by the clients.

Cost Per Acquisition (CPA) Commission: Here you’re just one flat fee for the customer, not for his purchases.

Residual Commission- 2 Tiered and Above: You’re paid every time the referred customer makes a purchase and also a percentage of the commissions earned by referrals of that customer. You can therefore earn from your second, third, or fourth, etc. generation recruits even though it’s at a lower percentage normally.

Create an affiliate portfolio of different programs to sustain long term affiliate income. Smart affiliates know about selecting the right programs to promote, they’ve also focused on promoting just these few programs.

The key here is, you may want to balance your portfolio. This is so you can be generating income even if for some reason you’re not able to work.

This is exactly why residual and multi-tiered programs are absolutely necessary elements for a well balanced portfolio.

Therefore, plan and churn out your own in-house portfolio based on the product quality, sales conversions, commission percentage and availability of promotional tools.

Promoting your affiliate portfolio on a planned schedule will get you the best results. Build up this foundation and you will be on your way to affiliate success.

Donny Gamble is a super affiliate marketer and is owner of

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