I hope by now everybody agrees affiliate income is the way to go to make money online. What’s better than helping a reader at the end of a post with a product that’s completely related to the answers they are looking for while allowing you to make money in the process? Once the post is published, you may very well earn passive income for years depending on the quality of your whale post.
Affiliate income is the most passive of active online income. Affiliate income is also the safest and most congruent of online income streams. We’ve seen a lot of changes over the past four years when it comes to search engine algorithms. They use to worry me like they use to worry many of you. But I stopped paying close attention to things such as pagerank and domain authority a couple years ago when I shifted the large majority of my focus to finding products that could be naturally incorporated into my writing.
Now the main work I’ve got to do is make sure my links still redirect since campaigns expire all the time. Make it a practice to audit your affiliate links at least once a month. Run the broken link checker plug-in every so often as well.
THE MAIN EXCUSE I HEAR
The main excuse I hear from bloggers on why they don’t want to focus on affiliate income is because they believe they need tons of traffic to make money. Instead of working on sustainable affiliate income, they’d rather risk their online existence entirely on easy direct advertising money until something bad happens. We’ve seen plenty of blogs get crushed by Google over the years due to an over emphasis on direct advertising. Some have even dedicated their entire business model to managing direct advertising campaigns, which is a precarious situation. Direct advertising is easy money, but I strongly encourage keeping such advertising to less than 10% of your overall income to be safe.
Focusing on direct advertising as a main source of income acts to stunt your efforts in making money elsewhere because it is so simple. It’s kind of like depending on the milk of the government to provide for a livable lifestyle, preventing you from trying harder to make more on your own. Because the government provides just enough to survive, you don’t get motivated to try new things that will be harder in the beginning, but much more lucrative in the end.
Traffic is definitely an important variable to affiliate income success. More traffic means more clicks, which means more absolute conversions since click-through rates are generally only in the single digits on average. But some people take it to mean that they need hundreds of thousands of pageviews a month to make any affiliate income. This is absolute far from the case!
AFFILIATE INCOME CASE STUDY WITH LOW TRAFFIC
Every month I’ve got to tally affiliate conversion amounts by publisher on YakezieNetwork.com in order to figure out how much I need to pay and invoice the client. The whole process of getting paid usually takes net-45 days after the month is done because I’ve got to send invoices to the advertising client. I’m pleased to say one blogger stood out in the month of November because he made $1,515 in affiliate income through YakezieNetwork.com and his site is only three months old!
Justin began Root Of Good in September 2013. As an early retirement blogger he stumbled across Financial Samurai and the various topics I wrote about early retirement when he first began. We traded some e-mails back and forth and I encouraged him to check out Personal Capital as a tool to track his net worth since that’s what I do. When I launched YakezieNetwork.com a couple months ago, I encouraged him to sign up because we have the highest payout online for new affiliates. PC is based right here in the San Francisco Bay Area and I’ve sat down with the CEO, the COO, the VP of Marketing, and the analytics contact to help seal the relationship. Justin signed up immediately.
In many ways there’s a huge advantage to being a brand new blogger because you don’t have legacy issues bogging you down from what you should do. If an old time blogger like me says to try something, you might as well give it ago. If you’ve been blogging for a couple years, it’s more likely that whatever I say will go in one ear and go out the other because you’ve got a set way of doing things. I’m not one to highlight my online income to demonstrate success, so it’s more difficult to prove my credibility in the make money online arena. All I’ll say is that my online revenue is much larger than my passive income streams.
So many bloggers tell me affiliate income doesn’t work since they don’t have the traffic I have on Financial Samurai. This is a chicken or the egg mentality here folks. If you don’t try, you will never know. I began focusing on affiliate advertising a couple years ago when my pageviews were under 100,000 a month and affiliate income flowed in at a steady rate. But once you try and see some taste of success, you will try more. Your content will get even better and more natural and you will make even more money.
Here’s The Root Of Good’s stat’s courtesy of Justin:
Stats for September:
Visitors: 1,900
Unique: 1,300
Pageviews: 5,700
Stats for October:
Visitors: 9,467
Unique Visitors: 6,538
Pageviews: 19,369
Stats for November 2013:
Visitors: 13,642 (+4,175)
Unique Visitors: 9,454 (+2,916)
Pageviews: 26,378 (+7,009)
Alexa Rank: 102,000
The growth figures are great over the first three months. But on an absolute figure, Root Of Good is nowhere near the “hundreds of thousands of pageviews it takes to make affiliate income.” 26,378 pageviews is great, don’t get me wrong. What I’m saying is that pretty much EVERYBODY who has given me an excuse saying they don’t want to bother with affiliate income due to their low traffic has more traffic than 26,378 page views a month!
So How Did A Small Blog End Up Making So Much?
1) First he wrote a couple good articles about his retirement journey, how he manages money, and his ability to pay little taxes on $150,000 in combined income.
2) Second he found the correct affiliate product that gels well with his content which he actually uses.
3) Finally, he stays consistent with his publishing schedule to build on his momentum.
Pretty straightforward right? Justin now has to be careful not to push his affiliate products too hard or else his readership will get annoyed. Nobody likes feeling constantly sold to and Justin through trial and error and experience will figure out an optimal balance for his site. We can discuss affiliate income writing strategies in another post, but I’m a big fan of demonstrating how the knives are used instead of selling the knives.
CHANGE YOUR MENTALITY
I hope Justin’s case illustrates that you don’t need a lot of traffic to make meaningful affiliate online income. What you need is congruency with your content and your products. All those product reviews you see online are much less profitable because you can tell the blogger has never used the product before. The reviews are often outsourced with a generic template on the hope of snagging some naive search reader to make a conversion. Once you incorporate a product into your story, even if you don’t have over 100,000 pageviews a month, you can still make some affiliate income.
Affiliate income is beautiful because of operational leverage. Once it’s set, the amount of income you can make from one post is unlimited while not having to do any more work!
If you’d like to make affiliate income through Personal Capital, please shoot me an e-mail or sign up here with my link. You’ll join their HasOffers affiliate platform system and can get started right away. If you face any difficulties, I can help make the case for you since I’m a consultant in the marketing department and helped develop their affiliate program.
Regards,
Sam
I have a few affiliate links on my site that get okay traffic. But I think my niche, little houses, is a tougher sell. Plenty of people click on my affiliate links to look at house plans, but buying is a different story. However, I have a link to a book on house plans that does sell okay. Maybe I need to find more of these types of affiliate links.
I think the solution is to switch to a more lucrative niche or dig deeper in your niche and dominate!
Thanks for sharing my experiences, Sam!
In terms of maximizing revenue with ease and without pissing off readers, highly relevant affiliate links used in context seems to be the way to go. I think it helps “sell” the readers into a conversion if you use the product yourself and provide a personal recommendation and show how or why it’s useful.
I didn’t really set out to make money from Root of Good, but I wanted to at least make enough to pay my $7/month hosting fee. Mission accomplished! As an early retiree, it’s always nice to generate some income from a side hustle, so the blog has been a nice source of income so far. November’s revenue is more than half our monthly retirement budget. I can’t complain! We won’t have to spend very much from our investments if the revenue continues like this.
Good luck in your journey! You’ll inevitably run into some rough patches, but you’ve got to experiment and keep on going.
So many bloggers have been able to retire early and develop a lucrative online income stream that I have no doubt you can too if you keep up the consistency.
Great job Justin. It’s all about your readers. If the product is helpful, then readers will sign up for it. You just need to find the right product for your readers.
Thanks for sharing with us this example! It does give confidence for us smaller blogs. Just need to find a good product that matches our writing.
I can’t believe there are people who would bet their entire lively hood on direct ads and running advertising campaigns. I think they’ve found the business to be VERY risk b/c they tie themselves with a huge amount of blogs. They not only hurt themselves, but the bloggers who sign up with them when the campaigns are too big.
Just goes to show that making the easy money and taking short cuts is always going to attract the most amount of people, especially in the online space.
Mad risk taking props to those who go all in on trying to make a living off only direct advertising and ad campaigns. They will inevitably feel a lot of pain at some point, but it may have been fun while it lasted! No risk, no reward!
I think my main issue is trying to think of a way to tie a relevent product in with the post. If I’m going to include an affilient, I want it to feel like a natural part of the post. I don’t want to have some awkward sounding sentence or picture about product xyz. The other issue would be getting rejected by affiliate products in CJ and Flexoffers. I can’t really put affiliate links in if I don’t have any. This could be an area where I need to leverage yakezie a little better. Because on my own, I’ve been shot down repeatedly and Amazon is hard to use when you are discussing a more frugal lifestyle.
I’ve been plugging away with affiliate programs all year. I’m not knocking it out of the park, but I’m not giving up yet. That’s really cool about Justin’s stats, very impressive growth. We never know what we’re capable of unless we try.
NEVER GIVE UP SYDNEY! Your life depends on it! :)
Great work Justin! It goes to show you that something targeted, especially when you can show how it works, will garner you some solid success. I think this is especially the case when it’s something relevant to your reader base.
Sam, thanks for sharing this today! It’s exactly what I’ve needed to hear because I’ve been thinking about using the Yakezie Network for affiliate links. But I’m still building my readership so I haven’t even tried these affiliate links yet. It’s worth a shot at least, thanks again!
No prob Monica. You’ve just got to set aside some time and just try. The more you try, like anything, the more you will succeed.
I’ve made 97 cents from Amazon affiliate sales so far. :) That said, I agree that raw numbers aren’t really the issue. You need targeted traffic instead. I never could figure out how to monetize it, but I had one post on my old pf blog that ranked #2 for it’s keyword, behind only the company I was talking about. It brought it 50+ visits per day. If I had had an appropriate affiliate link for it and a CTR of 2%, that would have been at least one affiliate sale each day.
Balla!
Yes, targeted traffic with a targeted product and a good payout. When a good affiliate product comes out that works, you’ve got to maximize it!
Amazon is tougher if you aren’t focused entirely on consumer electronics or goods. I think I made $25 bucks the other month with one site :)
“I’ve made 97 cents from Amazon affiliate sales so far. :) ”
Way to go! Beat me, Edward! I made $0.43 on Amazon!
Will definitely look into Yakezie network for affiliate links, not currently utilizing any (besides Amazon). Thanks for sharing Sam and Justin.
No problem Chuck. Hope Hawaii is treating you well!
I really am not a fan of Amazon. The payout is just way too low.
Yes, it is a low payout compared to other affiliate venues, but it does have a higher trust factor than most other companies. If somebody recommends a book about investing, you’re probably going to buy it at Amazon instead of Barnes & Noble or some other random book seller. It’s the same with the kitchen tools that I’ve gotten my Amazon affiliate sales from. If you are going to buy a an opener, well, you are probably just going to pick one up at Walmart or Target. Maybe Bed, Bath, & Beyond. But if you are going to buy it online, chances are you are going to look to Amazon for it as opposed to the website of any of the retailers I mentioned above.
Edward and Chuck, you’re both beating me for sure! And I did an entire month series where plenty of the items I talked about were directly from Amazon, complete with affiliate links and I’ve got an Amazon Local ad on my site (because I really do love Amazon Local/Groupon/Living Social deals). I have managed $1.72 on Adsense though, so I’m pretty proud of that – a little under 10% of my monthly site maintenance fees ;o)
Just keep it up! I set out to at least cover my monthly server fees (under $10/mo) and hit that within the first month. After I finish a post, I’ll go back and proof-read a time or two and also think about how to include any additional affiliate links in the context of the article. That’s a good way to make the affiliate links “flow” and appear totally in context and not like you’re out to promote something as a shill.
If it makes you feel any better, this is the first year I made anything from them at all, and I’ve been adding affiliate links to books for two years. It wasn’t until I started recommending kitchen tools on my food blog that I got any sales.
I’ve been using PrettyLink Pro to place affiliate links with keywords and have had some decent clickthrough however, conversions are very low. Not sure why conversions are so low.
It just takes time. Got to keep experimenting. I’d spend more time with the content and placement rather than worry about PrettyLink Pro. That said, it doesn’t hurt.
Thanks for sharing. Interesting information and definitely worth additional attention.
I’ve never been successful in selling products on my previous site. I think I’ll be doing it again on my new site but not now. I’ll be focusing my attention on getting more people into my site and building an audience before I sell them any products.
Wow! Thanks for sharing this great info! We had been talking on our end about the possibility of affiliate income, but we’ve never worked with it, so we had no idea how or what to do. I’m very interested in how yakezienetwork works – signing up right now!
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That’s an inspiring story! I’m doing affiliate links right now, and had some success with Amazon during the holiday shopping season, but my readership does need to grow before I can make blogging sustainable.
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So much to think about. Right now, I’m concentrating on my hourly rate, and then I plan to build from there.
Wow! I would love to start doing some affiliate links on my blog.
Awesome numbers Justin in your first three months. How were you able to get so many visitors in such a short amount of time?
Justin I’ve been in the affiliate marketing industry for over a decade as an affiliate manager for large and small brands both in-house and with an agency. This is one of the best posts I’ve read explaining why affiliate marketing provides bloggers and websites with the opportunity to earn a legitimate income. It’s affiliates like you that make all the difference in the space. I look forward to reading and participating on your site.
Sal, I have to say I like the concept of affiliate sales. I like to bring relevant, useful products to my readers and it just works when products/services I promote through affiliate links fit within the context of my posts naturally.
I look forward to seeing you at Root of Good!
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