Showing posts with label expenses. Show all posts
Showing posts with label expenses. Show all posts

Friday, December 8, 2006

Affiliate business knowledge.

What are the affiliate programs?

Affiliate program - is an Internet resource (definite web-sate or group of web-sites),which deals with selling of any product.
And now, the simple explanation is as follows: If you bring a client to the web-site of a seller and a client – which you have brought – buys something there, then you get your commission which has being determined in advance. That is all. Is it simple?
No, everything is simple and complex at one and the same time.
On this blog you will find step-by-step guide to action.

Affiliate program search within searching system.

- Type key words in the search engine field: “Anything you like”
- Get search result to the topic.
- To find affiliate program in the Internet is not hard ;)
As soon as you have read a summary about affiliate program on the web-page of the “seller’s web-site” you go to the page of registration and fill in the standard form.
You are offered to type in your details (first name and last name, URL where advertisement of seller’s web-site will appear). Choose the password for the future management of your business with the resource.

Affiliate program search on clickbank.com

You can spend a lot of time to look through page after page. But both in reality and virtual reality there are “supermarkets”, where are lots of goods within one place.
All goods – for which affiliate programs are offered in clickbank.com marketplace - are divided into several groups in order to make search easy.
Register your own affiliate.
Your (ad) link contains your personal information inside (your login, at registration within affiliate program), thus there is opportunity to follow where a buyer comes from and who is going to receive his percent of sale.

Product promotion on the e-market.

Working within Pay per Click system.
The essence of operating within Pay per Click system is in showing your advertisements in the form of text or banners advertising on the web-sites pages or on the pages of search engines.
CPC is pay per one click. What does that mean? For example, you have registered in PPC system, filled in all forms and comprised advertising text. You have started your business. Somewhere at this moment on the web-pages with similar topic thousands of people can see your advertisement about selling ‘SOMETHING’ in search system. People click on it, follow URL No. 1, hidden in the text of advertisement, to the seller’s web-site, and buy ‘SOMETHING’. In this case your partner pays you agreed in advance percentage of sale of ‘SOMETHING’. After all, sale has been performed through your affiliate. And you pay to PPC for clicks which were made for advertisement placed within this system. CPC is the payment for one such click.

Search and choose key words.

Choosing of key-words is very important stage, as well as choosing of affiliate program. Efficacy of your goods selling will depend on choosing of the key words, as well as efficacy of turnover of your investments in advertising. With the development of e-commerce and PPC systems, words became the same goods like services and real estate. Together with you there are lots of sellers on the market, which offers the same or alike goods. Because of this competition (and demonstration of advertisements is realized under those key-words, which a buyer types in search lines of searching engines) the cost of key-words varies, like stock price in New York stock exchange.

Conversion Calculation.

Saying in simple words, CONVERSION is a proportion of quantity of people which have visited your e-shop, to quantity of people which made required action, viz, buy of goods, registration on the web-site, click and advertising review.
Leading of your first advertising campaign.
To begin with, let’s take the definite goods and set different budget every day. Let’s regard parameters of advertising campaign on my blog. This information includes all main indices, which we are to take into account every day. This is not hard and takes approximately 20 minutes. How much time you have spent for advertising campaign will result in your profit.

Determination of value of every your client.

As soon as you calculate the value of your users, you’ll be able to determine your maximum rate per key-words.
For example, you can decide, that the value of every user of your web-site is 48 cent within net profit. It means that you can offer 38 cent per click maximum in order to guarantee the you generate great value if profit.
Importance of your users can also help you to determine which pay per click engines PPC you will use, as minimum cost per key words in different engines may vary greatly.

Best regards,
Lobskiy Stanislav
bridgetoberich.blogspot.com

Thursday, December 7, 2006

Determination of value of every your client.

As soon as our first advertising campaign is accomplished, we can calculate average value of every client, not depending of his reaction to our goods, either he has bought it, or just has closed the window.
There are thee simple steps, which will help you to define the value of every user on your web-site:
1. In order to determine conversion of your goods let’s calculate:
Number of users ÷ number of sales = your conversion
Pattern: 113 users ÷ 4 sales = 28.25, i.e. 1 to 28.

2. In order to determine your net profit per one sale, let’s calculate as follows:
(total net – total expenses) ÷ number of sales = net profit per sale.
Pattern: The amount of total profit is 98.00$ - the amount of total expenses 43 $ = 55$ and divide by ÷ 4 sales = net profit is 13.75 $ per sale.

3. In order to define the value of each user on your web-site, you are to calculate as follows:
Net profit per sale ÷ conversion = personal value of a user
Pattern: net profit per sale is 12.50 $ ÷ conversion 28.25 = 0.48 $

And you get the value of every your client.
As soon as you calculate the value of your users, you’ll be able to determine your maximum rate per key-words.
For example, you can decide, that the value of every user of your web-site is 48 cent within net profit. It means that you can offer 38 cent per click maximum in order to guarantee the you generate great value if profit.
Importance of your users can also help you to determine which pay per click engines PPC you will use, as minimum cost per key words in different engines may vary greatly.
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Conversion Calculation.

Keep working with http://marketplace.clickbank.net/ we can determine which goods is in popular demand on the market, which commission of sales we can get and a lot of other things which are available Online.
Let’s start from the determination of what ‘conversion’ is.

Conversion is an equation which determines the number of users, which became the subscribers, buyers or members of an affiliate program which you advertise.

Saying in simple words, CONVERSION is a proportion of quantity of people which have visited your e-shop, to quantity of people which made required action, viz, buy of goods, registration on the web-site, click and advertising review.

Conversion is very important parameter of determination of the budget of your business. You have to know the volume of expenses for advertisement, how these expenses are paid for your business.

For example, formula of calculation of users’ conversion, which had subscribed or had bought the product, could be as follows:

Number of users + number of buyers = rate exchange

In other words, if your web-site and your advertisement has 10 000 users and 500 subscriptions for news (or result clicks, that is clicks, which resulted in purchases), then the conversion will comprise 1 to 20.

If the owner of the affiliate program offers you conversion 1:20, it means that one of twenty users is going to buy (registration, or any other action, which you’ll be paid for).
You have placed an advertising on Google, your advertising budget comprises 50$ per day, and you pay 0,10$ per click. It means that you are to have 500 users, in order your expenses have to be repaid. Profit = expenses.

Let’s do approximate calculation of your profit of ONE affiliate program. This is not a hard task:
Let’s guess:
- We choose goods on http://marketplace.clickbank.net/
- Offered conversion is 1:30
- Profit of one sale is going to comprise, for example, 30$.
- 1 click on you advertising will cost you 0,20$ (it depends of key-word cost).
Let’s define how much we have to pay to Google in order to complete ONE sell:
Pay per click * quantity of clicks = expenses for advertising

0.20$ * 30 = 6$ - is our payment for advertising by Google at ONE sale.
Let’s estimate our profit!

Profit of a sale – expenses for advertisement = profit
30$ - 6$ = 24$ - thus, profit of one sale with our affiliate program will comprise USD 24.
Let’s imagine that we pay advertisement at the arte of 60$, it’s 300 users.
If the conversion is correct, we will make 10 sales and get:
300$ - 60$ = 240$ Profit of ONE goods per day with budget of 60$!
The most important thing for us is correct calculation of expenses for advertising. Which maximum cost should we set per one click on your advertisement, in order to get profit at existed conversion?

You are just to start in order to succeed!
Let’s regard the process of advertising agency working in order to make further calculations, which help you to define the importance of each user of your web-site.

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Search and choose key words.

The next stage for you is choosing of the key words for the advertising of your goods, which you are going to sell, within Pay per Click system.
Choosing of key-words is very important stage, as well as choosing of affiliate program. Efficacy of your goods selling will depend on choosing of the key words, as well as efficacy of turnover of your investments in advertising. With the development of e-commerce and PPC systems, words became the same goods like services and real estate. Together with you there are lots of sellers on the market, which offers the same or alike goods. Because of this competition (and demonstration of advertisements is realized under those key-words, which a buyer types in search lines of searching engines) the cost of key-words varies, like stock price in New York stock exchange. The cost of some key-words runs up USD 5 per a click. That’s way you have to pay a great attention to choosing of affiliate program and key-words. Otherwise, the costs for goods advertising can exceed profits of its sales. We will tell you below how to optimize your key-words.
And how to find and choose suitable key-words for your goods we will tell you right now.
In https://adwords.google.com there is a tool of key-words prompting. It chooses possible key-words for advertising campaigns, and provides you with statistic report on AdWords. This report is for monitoring of efficacy of chosen by you key-words operating, including search efficacy and seasonal tendencies.
Let’s study how it works and what we get of it by the example.
Let’s pass to the web-page of key-words prompting following link:
https://adwords.google.com/select/KeywordToolExternal
Go to tab Site-Related Keywords
Type in URL of seller’s web-site, on which the goods, which you advertise, are sold, the goods of your affiliate program.
Click Get Keywords. We have typed in http://clickbank.com/ and got 39 key words which are connected to the main web-page of the resource.
You can choose the way of key-words display by: frequency of search, cost and position (height of your advertisement position on Google web-pages when displaying of the advertisement to the key-word), rate of popularity of this key-word in PPC systems.
Keywords Only – there is no classification.
Keywords Popularity – there is no popularity
Cost and ad position estimates – costs per a click and positions of the advertisement at the present cost per click under your advertisement.
Global search volume trends – under global tendencies of search, i.e. they are classified due to the quantity of searches under this key-word.

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Working within Pay per Click system.Register in PPC system

You register in PPC system (come or call to the editor’s or advertising department), fill in the form, where you determine language, in which your advertisement we be shown; and register that URL No. 1 – which you have received at affiliate registration (Your own affiliate registration – in the form.)

Like advertisement applying to the newspaper, advertisement of your goods is not free of charge in PPC systems. The more you invest the more you get. There are two types of payment within these systems, they are CPC and CPM.
CPC is pay per one click. What does that mean? For example, you have registered in PPC system, filled in all forms and comprised advertising text. You have started your business. Somewhere at this moment on the web-pages with similar topic thousands of people can see your advertisement about selling ‘SOMETHING’ in search system. People click on it, follow URL No. 1, hidden in the text of advertisement, to the seller’s web-site, and buy ‘SOMETHING’. In this case your partner pays you agreed in advance percentage of sale of ‘SOMETHING’. After all, sale has been performed through your affiliate. And you pay to PPC for clicks which were made for advertisement placed within this system. CPC is the payment for one such click.
CPM is the second variant. So, in this case you will pay not for clicks, but for thousand showings of your advertising. CPM is the cost of 1000 showings of your banner. CPM USD 50 means that in order banner or advertisement is shown 1000 times you pay 50 US dollars
Probably, you have a question: “But what if a man who goes to the seller’s web-site following my advertisement will buy there nothing? I will lose my money, pay for nothing. I won’t bring me money, will it?” or “What if after 1000 showings no one click on my banner?” If you have such questions, I’m very glad for you. You will not become a loser in the world of e-commerce. Yes. Of course, e-commerce like any other commerce is risk and luck. But only a weak by nature man is afraid of risk. Strong foresees and uses risk to his good. Be not afraid. Below we will tell you how to minimize your charges for your company, how to increase efficacy of advertisements and avoid empty clicks on them.
We are going to tell you about campaign leading in the next parts.
Let’s have the floor to system makers https://adwords.google.com/ .
Google has developed AdWords program specially for advertisers, which want to turn to the broadest audience and get the most possible effect. As an advertiser, you can choose your own key-words pay just for clicks of clients made on the advertisement. It is extremely simple to create advertisements and manage accounts of e-marketing; and it doesn’t require great initial investments. All this requires only 5 minutes and credit card. We show advertisings in increasing partners’ network by Google, including thousands web-sites from America Online up to Washington Post and we direct them to relevant search system and informational web-pages.
Experienced staff of Google which is engaged in sales and clients’ support optimizes campaign for great advertisers. Staff of experts of AdWords helps advertises to choose corresponding key words and create appropriate advertisement, then track the campaign carefully in order to increase its profitability by means of sifting out the key-words. An advertiser can choose any quantity of key-words. Among recently joined advertisers are Amazon, Cisco Systems и Staples.
Google presents full range of services regarding reports creation to all advertisers, in order to supply precise tuning of campaign and supply real-time data as for which components are most effective. Advertisers can increase profitability by means of directing of their campaigns towards definite territories and languages.
That is the way of Google operating.
As soon as someone types in key-words for search of required information, Google analyses millions of web-pages, which contains key-words for search and it gives up the result:
On the left you can see found web-pages containing information which you were looking for.
On the right there are advertisements by Google AdWords.
Men all round the world place their advertisements for selling their goods, services or they have additional profit by affiliate programs, even not leaving home.
The next step which we are going to make is registration within Google AdWords system.
That is the way of Google operating.
As soon as someone types in key-words for search of required information, Google analyses millions of web-pages, which contains key-words for search and it gives up the result:
On the left you can see found web-pages containing information which you were looking for.
On the right there are advertisements by Google AdWords.
Men all round the world place their advertisements for selling their goods, services or they have additional profit by affiliate programs, even not leaving home.
The next step which we are going to make is registration within Google AdWords system.

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Working within Pay per Click system.

Within the previous parts I have told you what affiliate program is. ( What is affiliate program?) e-goods markets ( Searching and choosing of affiliate program), have registered on market clickbank.com and chosen the goods, which we will promote in the Internet space (Your own affiliate registration). Goods themselves won’t be promoted, we are to explain potential clients what we offer, and convince them that our goods will make them happy :)
The essence of operating within Pay per Click system is in showing your advertisements in the form of text or banners advertising on the web-sites pages or on the pages of search systems and public bulletin board.
There are Pay per Click systems for goods and services promotion. You pay for every click on your advertisement.
There are lots of PPC systems.
We choose system adwords because of its broad popularity and the highest indices of sales growth performed through this system.
Here you can get to know about other PPC systems. .
How is it to be performed?
Let’s study PPC system working by the example of goods – “SOMETHING”. For example you have find such goods on www.clickbank.com and decided to become a partner of this seller. How PPC systems can help you and what you need it for in general?
As soon as you have registered, as we have already told you in part 3.Your own affiliate registration you will get two URLs. There is the question: What is that? What should I do with that? Should we compare it to the real world, it’s like you have been given “SOMETHING” and you are sitting at home and drinking beer. How do you think how many sales could you realize in such conditions? Zero is the correct answer (Only if a friend of you – which has come in – does want to buy that SOMETHING.) How would anyone do if he was you? There are two things to do:
1.Advertise in local newspaper : “SELL ‘SOMETHING’ CHEAP. PLEASE CALL 3232-6566-9898 » . (URL No. 1).
2. Open your own shop and sell ‘SOMETHING’ there, i.e. create your own web-site, make bright design, marvelous name. Advertise it. And sell your ‘SOMETHING’ in it (URL No.2)
Like in real world you have a choice and free play. But how do you think which way is simpler? I would choose 1 for a start. Because it is not so complex and you need less means for its realization (you need not to engage programmer, designer; buy domain name, hosting, pay for copywriter and so on …)
So, PPC systems are something like advertiser. The main difference is that advertisement does not take up some page in these systems, but spread over lots of web-sites, search systems and public bulletin board. This advertisement covers more quantity of people, then any advertiser in the world. This advertisement is more dynamic, you can change text of your advertisement for hundred times a day, as well as its location and audience which can see it.

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Wednesday, December 6, 2006

Registration of your own affiliate.

Keep working with clickbank.com, let’s study the way of registration within affiliate program.
As you have already chosen type of goods (see details in 2.2. Affiliate program search on clickbank.com).
Let’s go to the registration process itself.
In order to register (launch) your own affiliate you have to:
1. Register on clickbank CLICK HERE , if you still have not done it.
2. Click on field create hoplink (goods which you have chosen.)
3. Then you will be redirected to the opening window in order to get partner’s link.

As a result you get two URLs

1. The first URL is the URL going to which the buyer gets the goods ‘at you’, i.e. come to your shop and buy the goods at you, then you get your per cent of the goods cost, which was agreed on affiliate program web-site.

2. The second URL is for web-masters, in order to place it on web-sites, where your e-shop is advertised, there are bottoms, pressing which redirection to the web-site of affiliate program is carried out. Should the client buy the goods you get the same commission.

The difference is that the first URL is just text line for redirection, and the second one is the button. The first version is for you if you haven’t yet your own web-site and the advertising of your e-shop is going to be performed through public bulletin board, search systems, other web-sits. The Second URL is for you if you have your own web-site.Product promotion on e-market.next my blogs ...
Your (ad) link contains your personal information inside (your login, at registration within affiliate program), thus there is opportunity to follow where a buyer comes from and who is going to receive his percent of sale.
Below we will tell you how the building of sales of marketing network with lots of partners is realized, which leads us to the other side.
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Affiliate program search on clickbank

You can spend a lot of time to look through page after page. But both in reality and virtual reality there are “supermarkets”, where are lots of goods within one place.

One of such Internet supermarkets is Internet recourse - clickbank CLICK HERE
More than 10000 goods are gathered there, for which their owners offer affiliate programs.

All goods – for which affiliate programs are offered in clickbank.com - are divided into several groups in order to make search easy.
As you can see, the range of goods – for which affiliate programs are offered – is very great. Choosing of the group is performed by clicking on the definite class. After that you get a page, where goods are classified according to popularity, ponderability of the product and its demand on the market, etc).

For example, we chose category Business to Businnes and get the next page:
On this page you can see:
1. Goods sorting method - according to their popularity in this case.
2. Brief characteristic of the goods and their “owner”.
3. Percentage which you receive of 1 sale of the goods (that money, which you will receive in that case if the goods are purchased at you)
Having passed to the page of affiliate program by clicking the link, you can see terms on which the goods are offered for affiliate program.
If you are agree to those terms, on which the affiliate program is offered, then, you can become a partner in a few seconds.

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Affiliate program search within searching system.

Let’s start searching your affiliate program.

A pattern of affiliate program search within search engine Google.com
We offer you a pattern by means of which we will show you how you can easily find affiliate program to topic, which is similar to the topic of your resource, or it’s just to your liking,that you will advertise with pleasure, be aware of where and how it should be placed in the best way.
Let’s suppose that you like high tech, it is interesting for you and you will work with pleasure in this brunch. Let’s try to find affiliate program to this topic.
1.Type key words in the search field: hi tech affiliate
2.Get search result to the topic:
To find affiliate program in the Internet is not hard!
As soon as you have read a summary about affiliate program on the web-page of the “seller’s web-site” you go to the page of registration and fill in the standard form as follows:
You are offered to type in your details (first name and last name, URL where advertisement of seller’s web-site will appear). Choose the password for the future management of your business with the resource.
You are supposed to come across with such process, while working in the Internet.
Then you are to receive e-mail which gives the opportunity to activate your account.
As soon as your account is activated, you will receive information about advertising opportunities and services of the company and further cooperation.
What you have to do further, how to use your partnership, how to sell and how to advertise you will get to know in the next parts of our guide.

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Introduction to affiliate business. What are the affiliate programs?

What are the affiliate programs?
Each of us asks himself a question from time to time: how can he start his own business? What should he start with? What kind of business should he chose? Lots of us follow their parents’ steps, following family traditions. Someone starts his own business. And someone cannot bring himself to start till the old age. The reason is that no one will answer two simple questions:
1. What should you do?
2. Where can you get initial capital?
What will you do if I tell you how to take part in international business of any scale with minimal initial capital? How to take part in the most dynamic developing business sector of the world? Don’t call me crazy! I don’t try to fool you. I try to sell you nothing. I just want to tell you about affiliate programs in Internet. That is all. All materials on this web-site are free of charge.
So… Internet commerce is growing with mysterious speed. People do not need to go outside in order to buy tickets, drugs, audio CDs or even a part of the Moon anymore. It is convenient, fast, stylish. There are a lot of web-sites in the Internet, which offer different goods and services. There is a competition among them, some projects are going to the top, and others disappear. Everything is the same like in the real world. Lots web-sites offer affiliate programs regarding their products. What is that?
Affiliate program - is an Internet resource (definite web-sate or group of web-sites),which deals with selling of any product.
And now, the simple explanation is as follows: If you bring a client to the web-site of a seller and a client – which you have brought – buys something there, then you get your commission which has being determined in advance. That is all. Is it simple?
No, everything is simple and complex at one and the same time.
On this blog you will find step-by-step guide to action. I will lead you keeping you hand along all steps of affiliate programs. I will tell you how to chose affiliate program, how to become a partner, how to promote your affiliate on the Internet market. I will tell you about PPC systems and a lot of other.

I will answer all questions:
Where?
How?
With whom?
How much?
Welcome on my blog !!!