In order to create a profitable campaign you need to find products that you can promote as an affiliate which have little competition with excellent conversion rates and sufficient demand to ensure that you have the best chance of success.
Many popular products on the internet will have their own affiliate program using an affiliate management script so if you want to promote these products you need to join each one individually to get your referral links. The main advantage of this is that you will have far less competition but you will not know how well they are performing.
One of the reasons why affiliate networks like Click Bank have become so popular is because they provide detailed statistics about each product that uses their service which enables affiliates to clearly identify which ones are profitable and which are not. The only disadvantage is that the best products will have a huge amount of competition.
On each page of the Click Bank marketplace the products are ranked by popularity with the most popular products at the top and the least popular products at the bottom. The current statistics are also shown for the most recent pay period (which covers the previous 16 days).
Click Bank displays the following payout stats for each product:
$earned/sale: The average amount of money earned per sale. This is the average commission you will earn per sale after refunds have been deducted from the total amount.
%earned/sale: The percentage commission you earn per sale. If the product is selling for $47 and you earn 75% as an affiliate you would get $35.25 commission per sale.
%referred: The percentage of sales generated by affiliates. If 87% of the total sales were generated by affiliates the remaining 13% were generated by the vendor.
gravity: The number of affiliates promoting the product. The more affiliates that are promoting the product, the greater the competition you will have.
Its best to choose a product that has at least 20 affiliates promoting it and over 50% of sales generated by them so that you know its selling well. If the average amount earned is much lower than the commission it means the product has a high refund rate which is a bad sign so don't promote it.
If you intend to promote products using pay per click advertising you will need to find out how many competitors you will have by searching for relevant keywords in the search engine. Many products will have multiple pay per click ads from many affiliates and it will be very hard to generate sales.
For best results you need to search for products which target small niche markets as you will have the best chance of creating a profitable campaign because they will have less competition. If you find that a product has no affiliates promoting it using pay per click advertising it may be that its not very profitable so some competition can be a good sign.
To beat your competitors you can create a custom landing page for the product and offer some exclusive bonuses such as a rebate, a training video, or related ebooks. Its all about standing out from the crowd and offering extra incentives that make you different from everyone else.
If you intend to promote products using your own opt in list you will not be paying for the traffic so the amount of competition is less important. Although many of your subscribers will be on multiple lists and may have already purchased the product it doesn't cost you anything to send a recommendation so any sales you make will be pure profit.
This article was written by Simon Akers who is the editor of the Marketing Oasis newsletter, a free internet marketing ezine packed with tips to help you succeed and increase your profits: http://www.MarketingOasis.com