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Affiliates make more $ than product owners?

thenewb
Posts: 58
Joined: 25 Nov 09
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Affiliates make more $ than product owners?

Hello Board,

I have heard Mark say a few times that affiliates are the highest paid on clickbank as compared to product owners. I am wondering if this observation takes into account the ad budgets that these marketers are spending? Some of them are making $100,000/month but they are spending $99,000 or more on adwords and PPV. The product owners don't have to spend a dime on marketing after paying the setup fees....

Anybody else wonder about that?

Thanks in advance,
Noob
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cterao
Posts: 939
Joined: 18 Aug 09
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I believe Mark said that he heard this when he went to visit Clickbank. I'm guessing that Clickbank really has no way of knowing how much affiliates are spending on advertising, so this is probably just income and not profit.

Still, in many cases affiliates earn upwards of 75% commission, which is much more than the 25% left for the merchant and the Clickbank processing fee. I could definitely see how top affiliates could potentially earn more than merchants.
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Clayton
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aletta
Posts: 3719
Joined: 09 Jul 06
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Good point. I'm not sure whether anyone has done any hard science on this, but remember there are a lot of affiliates out there who are doing very well without having to pay for traffic.

Affiliates with large and responsive lists who know how to hype up a product launch can make tens of thousands of dollars overnight, without having to spend a dime on promotion. (Aside from what you pay for your autoresponder membership, which is peanuts in comparison).

Affiliates who build a lot of smaller SEO sites (like AffiloBlueprint sites) can also do quite well with comparatively little spending, but it takes a while to build up.

Not everyone is doing PPC :)
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This topic was started on Apr 07, 2010 and has been closed due to inactivity. If you want to discuss this topic further, please create a new forum topic.