Your Own Internet Business With Affiliate Marketing

For those looking to start your own Internet business and if unaware of the advantages and power of affiliate marketing then this article may point you into the right direction. Affiliate marketing has been very popular amongst online marketers for years and it provides a quick and easy start up with little costs involved, there is no need to purchase and stick products to get started. Affiliate marketing involves selling other people products or even services to collect a commission for a sale.

For the more advanced affiliate marketer the use of a web site, Internet marketing and promotion techniques and search engine optimization are all used to generate free search engine traffic but here is a simple strategy to get started in affiliate marketing. Using Pay-Per-Click advertising is a popular and effective way to run your own Internet business and though it does cost money for the campaign so long as the rules are followed the investment will provide a return.

The first part of the strategy is to try and locater a top quality affiliate program with products that are in demand online, have good payout with commission and will convert into sales. Obviously the more demand, higher the payout and more a product converts the better and it is best to try and find such products from affiliate programs with the least saturation or competition.

Finding a great niche product for your own Internet business using affiliate programs is important so spend some time. Once a great affiliate program has been found then it become time to start the PPC campaign by signing up with the top programs, the PPC programs that are best are the ones from the major search engines. Google has the Adwords program and Yahoo as the overture program and these two is the best place to start and perhaps the only two one will need.

Each of these two programs have there own keyword research tools which will help to locate all the profitable keywords to bid on for the campaign. The tactic works like this, if you are going to be selling hotel bookings for an affiliate program and start out by locating a great demand for Niagara Falls room which has little competition and nice conversion rates then you will look for all the keywords that bring in targeted traffic to your page. Keyword examples could be book Niagara falls room, Niagara Falls hotel and rent Niagara Falls room, there will be many keywords and the object is to locate the ones which will be best for your own Internet business.

Just bidding or outbidding for the first position will not work or give a return on investment for an affiliate. The business must always look at the ROI at all times and continue to track it, dropping poor performing ads and keywords and putting more money into the best performing ads and keywords. Here is how it works, if you are selling a product which has an average sale of $100.00 with a commission payment of 10% and a 1% conversion rate that means for everyone hundred hits coming in you will make 10 dollars. If your ad campaign is costing 10 dollars per 100 hits of traffic then the campaign is breaking even. This tells you that in order to make money with the campaign you will have to pay less then 10 dollars per 100 hits so you can adjust the bids to try to pay say 7 dollars per 100 hits and make 3 dollars for every 100 hits from the PPC campaign.

Adjusting profit margins are entirely up to you and your own Internet business strategy. Trying to increase conversion rates are one of the most important areas to always work on because in the above example if you can increase the conversion rate to 2% you have doubled your income for the campaign. 2% is an average conversion but this is always dependent upon the affiliate program, products, pricing and competition.

This is a basic PPC strategy that many online marketers use and can be used to start your own Internet business. Most top Internet marketers will use a PPC campaign along with a web site that works towards getting the free organic or natural search traffic as well. Getting free search traffic takes much more time and skill then the PPC traffic but has the bonus of not costing any money (but does cost time). A Internet business should work towards building free natural search engine traffic as well but a PPC campaign gets things going quickly and if done right can be highly rewarding. Learn more about Your Own Internet Business and look at sample sites and a video tour.

Make sure to read the FREE copy of the Affiliate Masters Course for a blueprint to making money online.