Joined: 21 Sep 2006 Posts: 21 Location: Vienna, Austria
Posted: Thu Sep 21, 2006 8:12 am Post subject: Solution for 2-tiered affiliate delivery for my own product
I'm creating my first eProduct, and I would like to sell it with a two-tiered Affilliate structure from the get go.
I plan to sell the product for $39.
Tier 1 gets $9, so everything they sell, I get $30, and they get $9. If they refer someone, then they get $7, and the referred person gets $9.
So, I think that's called Tier 2, and they get $7.
When Tier 2 refers someone, then they turn into Tier 1 for that referral and get 9, and their referral gets 7.
So, in the end, I get a minimum of $23 per eProduct sold.
Product costs: $39
Tier 1: $9
Tier 2: $7
First of all, am I describing the Tier 1 and Tier 2 structure appropriately? Am I using the correct terminology?
Secondly, who offers such an ecommerce and delivery structure, so that everyone can get paid automatically?
but, I have not investigated them at length. I would love to know if anyone has experience with creating their own associate/affiliate program with the kind of structure I've outlined.
Also, if there are good experiences out there with particular companies offering ecommerce along with a product delivery process, then this thread would be ideal for me and could be beneficial to others as well.
If there are similar threads, please pardon my newbieness (I did search on two-tier before posting)...
Best wishes to all of you and may good luck make your endeavors jolly!
Honestly focus on paying your affiliates a better rate. It's going to be hard enough to find people to promote something for $9 let alone try to recruit people for even less. Would you? _________________
Honestly focus on paying your affiliates a better rate.
A couple of ideas to help justify this...
Create a second product now, so you can promote this from the first. You don't have to offer affiliate commissions on this, or at least not as generous ones.
Basically, think of ways of making the initial deal as attractive as possible to affiliates, whilst still keeping the price in line with your penetration plan.
You are much more likely to make more money with follow up sales (even as an affiliate of others' products), than by trying to maximise your share of a first product.
Cheers,
Charlie. _________________ "Before I speak, I have something important to say."
- Groucho Marx
Joined: 21 Sep 2006 Posts: 21 Location: Vienna, Austria
Posted: Wed Nov 15, 2006 10:01 pm Post subject:
Thanks for the input.
Hmm, 9 bucks for a graphic on someone's homepage that says: "I really liked this eBook, you might check it out" seems decent to me, actually.
The eBook is called "How to write YOUR Songs Down." I've developed a very useful method that can be applied for many lessons/systems/instruments, but the first product is for songwriters.
Maybe I shouldn't offer any kind of affiliate deal, if $9 isn't enough. I just thought I'd make the product "viral" from the beginning. What I could do instead is create a free eBook and have internal links to purchase the real thing.
Also, I'm having a hard time finding eBook software. I own Acrobat 4.0, and I've read about ebookgold and ebookpro. I'm not sure how to distribute the content, and I'm leaning towards just selling the PDF file to start.
Joined: 02 Jul 2003 Posts: 6244 Location: by the beach, Australia
Posted: Wed Nov 15, 2006 11:09 pm Post subject:
Dainis wrote:
Hmm, 9 bucks for a graphic on someone's homepage that says: "I really liked this eBook, you might check it out" seems decent to me, actually.
Nine bucks isn't too bad.
What the affiliate merchant is paying for isn't just a bit of space on a web page. The merchant is rewarding all the months or years which the affiliate spent learning how to be an affiliate - how to create a site, how to presell, how to compete with all the other sites in the niche to get high rankings or PPC traffic to the site...
Affiliate marketing seems easy only after you've done all the hard work.
Also, the main page is prime real estate. The affiliate will want to place his or her highest-converting offers there. Or, quite often, won't want any affiliate links on the main page at all because the affiliate wants the visitor to explore the site, get to know and like it and return another day.
You can use free Open Office to create a PDF report. If you search the forum for Open Office you'll find discussion on this.
If you're giving away a free report, you'll need to think of a win-win deal which will encourage other people to give away the report, perhaps with their affiliate links in it. _________________ Allan Gardyne
AssociatePrograms.com - You're here. Explore it!
Joined: 21 Sep 2006 Posts: 21 Location: Vienna, Austria
Posted: Thu Nov 16, 2006 9:49 am Post subject:
Dear Allan,
Thank you very much for your replies. I am tempted to postpone the affiliate side of things and just put out my product at $39 and be done with it. However, for my product release, I will be contacting similar subject matter sites, and I will be making arrangements with them to add a link to my product in their newsletters. The $9 cut seems reasonable to me, but I don't have any experience in this arena ... yet! ...
I'm not selling marketing information, info on how to make money, etc. I'm selling a book on how to write one's songs down. It cuts to the chase and gives people what I wish someone had taught me years ago. As I was learning, I sometimes said to myself "I guess I need to become the teacher I'm looking for," since my teachers all seemed to offer only fragments of what I needed. Now, I realize that I'll be also "just" be a fragment in the lives of my students. Still, the piece of the puzzle I'm offering does solve a lot of problems...it's like a key, a simple solution to a slew of issues.
I can create PDF files with Adobe Acrobat 4.0 (which I own). It looks like I'll even be able to include audio and integrate it into the eBook. What I don't know about is security, shutting off unauthorized eBooks, etc.
Is it advisable just to put together a PDF file and sell it...just like that? What about sharing and theft? Sure, I can make theft work for me (links, etc.), but I'd actually like to be able to turn off unauthorized eBooks. I don't know what software allows for such remote monitoring. Also, there may be some other solutions I'm not aware of.
My release date is December 7th, 2006, and I will stick to it. My minimum scenario by that date is:
File Format, Distribution, Delivery:
1) eBook is a PDF file created in Adobe Acrobat 4.0.
2) eCommerce is Payloadz or clickbank or another payment and delivery solution that allows for at least one affiliate level (if not 2)
Marketing:
1) Similar Content Sites include my eBook in their newsletters, and they get the $9 referral (Tier 1 affiliate) fee.
2) Convert my current free content at www.music-composition-studio.com into partially free content where, to get more complete info, visitors submit their email addresses. (Building my own list)
Joined: 02 Jul 2003 Posts: 6244 Location: by the beach, Australia
Posted: Fri Nov 17, 2006 3:00 am Post subject:
Dainis wrote:
What else should my minimum scenario include?
You could consider some sort of marketing funnel gradually leading to higher priced products or services.
Many businesses regard their first, cheap, product as the bait which draws customers into their marketing funnel. If they spend $25 to make a $25 sale they don't mind because they know the average customer is worth a lot more than $25 to them. _________________ Allan Gardyne
AssociatePrograms.com - You're here. Explore it!
Joined: 21 Sep 2006 Posts: 21 Location: Vienna, Austria
Posted: Mon Jun 18, 2007 11:39 am Post subject: Great news
Hey folks, I've been working my tail off and I completed not one, but two eBooks...of which I've sold 3 in the last 8 days!
Those might not be the best numbers, but with sales trickling in, I thought I'd just share how cool it was to have my wife smiling at me when that last sale came in and she said "it's working!"
I don't have any affiliates yet, so I don't visit this forum much. My product funnel is also still vague, but at least some initial products are out there and moving...just a bit!
Joined: 04 Sep 2006 Posts: 11 Location: Buffalo, NY
Posted: Fri Jun 22, 2007 1:46 am Post subject: Oy... Read the other posts I recently made, they'll help.
Follow Allan's advice above and also look into iDevAffiliate for the best two-tier affiliate program software -- make sure the affiliate program is SEO friendly and allows for two-tiered status -- if you need affiliate development/management done, look through the affiliate developers (the affiliate developer companies get higher-level cuts and they take care of getting and developing super affiliates (it's all based on a 2-tier status, rather than an issue of working with paying for bits of traffic). _________________ Internet Marketing 3.0 Wiki (SEO/SEM) Cutting-Edge Technology Blog
Joined: 21 Sep 2006 Posts: 21 Location: Vienna, Austria
Posted: Fri Jun 22, 2007 6:54 am Post subject:
Thanks for the reply. I'm working on a new product that has a wow-siss-boom-bang title. It's called "Become a Better Songwriter Guaranteed!" Right now, I'm using Payloadz, and I'm selling a few copies of my other eBooks now and then. It's a self-sustaining business, but it's not paying the bills yet.
Payloadz allows for a single tier, and the only payment processor I found that allows for two tiers was something called paydotcom.com, which seemed very poorly done.
I'd need the electronic delivery to be automatic, along with the 2 tiers.
Regarding a product funnel...honestly, I'm not sure about that. I'd rather sell the products themselves. Sure, I'll recommend other products from within my products, and in a sense, that's a funnel. Still, the only funnels I can think of right now would also rope in my time...and I'm doing this to free up time.
If you don't mind me making a suggestion, perhaps you should re-think the 2 tier program. I know you want to take it viral, but there are other viral techniques you could use.
Maybe stick to single tier and take advantage of ClickBank with a higher commission payout. It may be worth the switch initially.
It is also the quickest way for you to get to market and access affiliates that are operating in your niche. Hey, as the money comes, in your could always swap over to two tiers.
Just a thought - I'm not an affiliate, but a product owner just like you. In fact I'm almost ready to launch my own scrip product after 6 months -- that's why I'm congratulating you. I know what it means to persist...
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