Why Two-Tier Affiliate Programs are Best

When you join an affiliate program or start an affiliate program of your own, you have to decide whether it will be a single tier or two-tier affiliate program.

 With a single tier program you earn a commission on any sales you make and that is it. If you are running your own affiliate program, you pay your affiliates a commission for any sales they refer and that is all.


 However, with a two-tier program, affiliates are allowed to recruit sub-affiliates and are paid a small percentage of the sales these sub-affiliates generate. For example, the affiliates may earn a 30% commission for selling product X himself; and when one of the sub-affiliates makes a sale, the affiliate may get a 10% commission as well. This is very profitable for the affiliate as he can recruit an army of sub-affiliates, all earning commissions for him without any effort on his part except for the initial recruiting process.

 If you are starting an affiliate program of your own should it be two-tier or single tier? Some might shy away from the seeming expense of a two-tier program. But is it really that expensive? Many affiliate program managers make the wrong decision on this.

 Let’s look at an example. You have an affiliate program up and running and an average affiliate joins your program. Mr.Average has a website that receives average traffic. He also has an ezine with thousands of subscribers published monthly. Mr. Average posts your affiliate links to his website and promotes your product to his ezine list.

 Initially, he generates good sales. However, a point comes when he saturates his market with your product and his sales begin to drop. He begins to lose interest in your program and your sales remain small. What happens if you set up a two-tier program? Rather than trying to keep your commission payouts small, you motivate your existing affiliates to recruit other people to your program. This will exponentially increase your affiliate sales. Would it not be worth paying the referring affiliate a percentage of their sub-affiliates’ sales? Now when Mr.Average joins your affiliate program this is what would happen. When he has saturated his market with your product, he would now promote your affiliate program to his customers and ezine subscribers. Many of Mr.Average’s customers and subscribers decide to join the affiliate program. This, in turn, will motivate Mr.Average to continue promoting your products and recruiting affiliates.

 Now, what is the situation?

 1) Your income increases because of increased sales.
 2) You have a much larger customer base to which you can sell ‘backend’ products.
 3) An increase in your income because of the lifetime loyalty of the customers referred by your affiliate.
 4) An army of sub-affiliates who will sell your products, and in turn promote your affiliate program to their customers and subscribers.

 The little extra in affiliate sales commission payouts will be more than compensated for by the exponential sales increase. This is why the two-tier affiliate program is a guaranteed winner and should be the automatic choice for potential affiliates and affiliate program managers.

How To Earn $$$ Monthly With Affiliate Programs

The concept is quite simple. Choose a product – and one that has an affiliate program, of course. Set up an advertising campaign at a PPC search engine like Google and choose how much you want to pay per click. Write a three-line advertisement and add your affiliate link. Whenever anyone clicks through your ad and buys the product, you earn a commission.


What a formula! For every 1,000 visitors, that’s $180 in commissions. That might not seem like all that much, but remember once you have a successful campaign it keeps going all day, every day. If you send just 1,000 visitors to a program like this every day, then by the end of the month you will have earned $5,400 in commissions, of which $3,000 is profit.

Does it seem too simple? Well, if it was so easy everyone from your Aunt Mabel to the mailman would be doing it. In fact, while the concept is simple, getting your campaigns to run profitably does take some work. Since I can't possibly teach you all you need to know in one article, I'll give you a few tips here and recommend Google Cash for a detailed explanation:

1.Choose Your Product Wisely. The program should pay a commission of $15 or more, otherwise, it won’t be worth paying for your clicks. And if the commission is very high, be careful. Some products like web hosting and satellite dish installations may pay commissions of $100, but you face intense competition from other affiliates, so the price you need to pay to get ad exposure and clicks will probably also be very high. Sometimes it is better to identify a niche product with less competition from other affiliates.

2.Track Your Campaigns Carefully. If you’re paying around 7 or 8 cents per click for a program that pays close to $20 commission, you need to make at least one sale for every 250 visitors. If you send 300 to 400 visitors with no sale, consider dropping it.

3.Days Of The Week Do Matter. When testing campaigns keep in mind the day of the week and even the time of day. Some products sell better on Mondays through Fridays, during business hours. Others, like entertainment products, sell better in the evenings and on weekends.

Getting back to my own experience, after identifying several campaigns that ‘worked’, I spent some time fine-tuning them using techniques I read about in Google Cash. After a while, I had earned $$$ in commissions for the month, all on products I had never even heard of. 

It’s incredible really. I made this money without a website. From home. Working an average of just an hour or two a day.

I’m finally making the amount of money online that I dreamed about.

How about you? Would you also like to build an affiliate marketing business? Could you use some additional income? I encourage you to proceed, but be smart about it. There are risks involved and you should be aware of them. You should read Chris Carpenter’s book. That way you’ll be on a fast track to more profitable campaigns. And his book will save you hundreds of dollars, easily, as you avoid some common mistakes and pitfalls.

Good Marketing!

8 Reasons why Affiliate Programs are the better option

Many people are confused when they first become interested in internet businesses, they find themselves asking what type of business is best for me?

Well, I can't answer this for you but I can certainly give you a few pointers in the right direction and my personal opinion. So here they are:


#1. No employees. There is no need to employ people to do the work for you.

#2. Low costs. Most affiliate programs are free to join, you don't have to buy the product to sell it. Some programs have an upgrade option to make which makes your earning capacity somewhat larger.

#3. No storage. The merchant is responsible for the storage of product so you don't need to worry about space or storage costs

#4. No shipping and handling. The merchant is also responsible for the product arrival, so there's also another cost you don't need to worry about and running around you won't have to do.

#5. You don't deal with customer service. Another problem you don't need is customers who are not happy if they are not happy the merchant deals with it.

#6. No account keeping. There is no need to store customer information such as credit card details, addresses, and phone numbers, this is yet another merchant responsibility.

#7. No trading time for a wage. You can spend as little or as much time as you like selling your product. How much money you want to make is entirely up to you.

#8. There are literally thousands of options out there for you. If you have a favorite niche market go for it, in my experience if it is a product that you are really happy with then it will be easy to sell.

If this doesn't clear things up for you, I don't know what will! What better way to make money online then to watch the company do all the hard work. All you have to do is promote, promote, promote,
and when it is something you are happy with it's easy!

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