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Making Affiliate Commissions From Your Mailing List

4 May, 2017



That’s what a new affiliate made by sending an email to his opt-in list.

I recently set up an in-house affiliate program for a client in the financial services industry because they were launching a new product and they wanted to get the word out with through their partner channel.

When I say ‘in-house affiliate program’, I mean a system where they compensate their referring partners with a commission for every sale that is generated from the website.

In this case, the affiliate program was not made public and only offered to a select number of existing partners who are already in the industry.

The most interesting part about this story is that the commissions were made with one single mail-out.

Keep in mind, $3,800 may not be much to a seasoned internet marketer, but to an affiliate beginner or newbie, this sounds great!

Amazing.

How does this affiliate thing work and how can I make some money at it too?

Affiliate marketing is the simple process of driving traffic to a particular website for a commission based on a particular action. A commission is awarded for a sale, a lead or in some cases a click to the site.

With your own website, you simply direct traffic to the affiliate website and if your visitor performs a certain action, you get compensated (i.e., paid, rewarded, etc…) for that particular action in the form of a commission.

Review out affiliate programs overview to get more information.

So how does one make $3,800 USD in one mail-out?

When selecting an affiliate program there are a number of factors to keep in mind.

How much does the company pay, how often do they pay, when do they pay, who are they with, is the program in-house or with an affiliate network and more.

In this particular case, the affiliate payout was 50% of the product value.

So doing some math, 50% commission of a $200.00 product would be a $100.00 commission.

To generate over $3,800 in commissions, one would need only 38 sales.

38 sales would be a challenge if your list only contained 50 people, but what if your list was over 8,000+ people.

It turns out to be a numbers game. Sales is a number game.

Do companies pay that much in commission?

You bet!

Years back, I worked in an industry where it was not uncommon for commission payouts to be in the range of $60.00 to $120.00 per action. Many of these companies were on-upping each other every other month on who had the best offer for the affiliate. It turned out, the affiliates were driving the majority of sales to the company website.

It was the affiliate publishers that were spending money on Google PPC advertising (AdWords) to generate leads, interest and sales for the company products or services. This still happens right now, although many affiliate managers keep an eye on trademark bidding and such.

So what is this program?

First off this program has not been launched as of yet. Due to the success of the in-house affiliate campaign, the company is considering launching the program on one of the big networks (Commission Junction, Shareasale, Pepperjamm, Linkshare, etc …).

The company is also evaluating what type of offer to present: percentage based, flat rate, two-tier sub-affiliate commissions and more.

Keep in mind, this affiliate program may be for you or not. This company is involved in the financial investments market where there is a lot of attention due to the recession, job losses and people concerned about their investments.

Enter your name and email address below for our ‘top producing affiliate programs’ and we’ll notify you when the program is launched.

So what would you do with such a commission?

Would you re-invest back in to your online business? Spend it on yourself, your family? Spend more for online advertising?

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