Affiliate Marketing is TOO Expensive

I received an email this week from a gentleman who asserted
that affiliate marketing as a business simply wasn`t for him.

Why?

Because it is too expensive!

Huh? Too expensive? WHAT`s too expensive?

Let`s assume that because he sent an email, he already has the
basic equipment and software that he needs to start an
affiliate marketing business - that being a computer, email
software and an Internet connection. I`ll also assume that he
has a desk on which to store that stuff, a chair on which to
perch and a telephone line. Nothing extra to buy or lease
there.

Perhaps it was the huge initial outlay of $8.95 at godaddy.com
(http://godaddy.com) to register a domain name? He must have
overlooked the discount. You can save two bucks a year when
you register for ten years in advance. That`s got to be it.

Then again, there are those ongoing monthly $9.95 web hosting
and $17.95 autoresponder charges. That`s $27.90 a month. Yup,
that`s pretty steep.

What about all those products to buy and stock?

Oh ya, you don`t have to buy SONY`s TV`s or Dell`s computers to
sell them as an affiliate. Not having to buy them will also
save a big chunk of change in storage fees at the warehouse as
well. Hmmm.... that ALSO means that as an affiliate, you don`t
have to ship those heavy items.

Actually, those affiliated merchants are pretty good guys all
around. Not only don`t you have to buy, store or ship the
product, you also don`t need to deal with those pesky
customers. Just send them from your site to the merchant`s
site, and the company will handle all the sales details.
They`ll take the customers` money, figure out your share and
send you a check.

Pretty sweet deal.

Maybe it was the cost to build a web site that bothered him.
Yes, graphics programs and HTML editor software can get pretty
expensive, but there are plenty of low and no-cost options
available. If building the site yourself proves too time-
consuming, there are also excellent graphic designers who sell
beautifully designed web site templates for less than twenty
bucks.

Oh, I know! It must have been the cost to advertise. Hmmm...
the last time I checked one of those national magazines, it
cost about $1200 to get a 1/12th of a page ad in black and
white. Your ad could be seen by up to three quarters of a
million people. But how many of those readers would actually
be interested in your message?

By contast, that $1200 could buy up to 120,000 clicks from a
targeted audience on the Internet.

What method do you think would be more worthwhile in terms of
return?

Furthermore, when you use Internet pay per click advertising,
you don`t have to spend the whole $1200 in one shot. You could
try a $50 test ad. Analyze your ROI, return on investment. If
it`s not satisfactory, rework your ad and try another test. In
the worst case scenario, you`ll gain a few subscribers to your
newsletter to whom you can promote other products later.

I personally work and rework my ads and aim for a 100% return
on my advertising investment. Where else are you going to get
that kind of return on your money nowadays? The stock market?
Your bank account? The race track? The latter probably has the
best odds of the three.

OK, so let`s do a tally to see how much, or how little, it
could cost to start an affiliate marketing business on the
Internet. The expenses are as follows: domain $8.95, hosting
$9.95, web site template $14.95 and $100.00 for a test ad.
Total outlay for the first month equals $133.85. Assuming a
100% return on your advertising investment, you`ll have earned
$200.00.

In the first month you`d already be in the black - $66.15
richer.

Affiliate marketing on the Internet is one of the least costly
businesses to start, and one of the very few that contains the
possibility of profit in the first month.

If a C-note is too big an investment in a business that has
brought financial freedom to thousands, then perhaps it`s best
to stick with `the day job`. Of course, I didn`t even touch on
all the money and time you`ll save by working at home. Next
time.

Paul White is a 42 year old former teacher. He now helps people
all around the world to become wealthy online. Whatever you
are selling, visit the popular site: http://www.profitmountain.
com (http://www.profitmountain.com) and if you subscribe to
Profit Mountain`s FREE wealth building newsletter, you will
also receive FREE advertising for the next 12 months! (Worth
$200!) as well as loads of other things!