Three Most Popular Ways of Making Money on the Internet
Do you know that 95 percent of the people starting out in their internet
businesses fail? In the middle of all the noise and hype on the internet today,
not many people realize that all the ideas and techniques you can find are useless
if you don't first understand what your business model is or how are you going to
make money on the internet. Even the most remarkable internet marketing technique
will not work if you don't understand how to apply it to your business.
The three most popular business models are:
1. Affiliate Marketing
Perhaps the most popular one out there, affiliate marketing provides a good
start for new entrants. Almost anyone can sign-up for an affiliate program for
free and start promoting the chosen product or service. Commissions start coming
in if someone will buy or participate in the programs promoted.
Affiliate marketers don't carry any risk, since they do not pay for the creation
of the product, they do not handle customer service, they need not know the innards
of internet transactions, like merchant accounts, autoresponder (what is that?),
reciprocal linking, etc. It's also possible to be an affiliate even without a website.
Some affiliate marketing programs you may participate in require little up-front
investment. Some are free. It's no surprise therefore that almost everyone and
their neighbor promotes an affiliate program or another. In fact, if there is a
single reason why the Internet today is so proliferated with ads and banners,
it's because of affiliate programs.
With the millions out there involve in affiliate marketing, only 5 percent ever
make any money and only 1 percent makes really big money. The "Super Affiliates,"
so they are called, do it very differently from the rest, therefore they earn the big checks.
2. Writing an eBook or other type of information product, recording an information CD.
This is a great strategy because there are thousands of possibilities for the
type of product that you can create. There are so many niche markets that you
can write about. It could be a course on Japanese gardens, how to start your own
babysitting business, how to sell your artwork, taking care of your dog's ears
... there are endless topics and still many that have not yet been explored by
online marketers. You don't have to write the information yourself, you can get
a ghost writer or hire someone to produce the CD.
EBook authors need to invest more than affiliates do. While affiliates can get
something for nothing, the same is not true for the eBook type of business. EBook
authors need to learn a lot more than affiliates are required to. They need to spend
some amount of money getting the business up and running. However, when done right,
the payoff in this online business model is much more rewarding.
These marketers make more money because they have very, very low production and
maintenance costs. Once the product is produced, it doesn't cost a cent to reproduce
thousands of copies. Start-up costs can be covered by selling just a few copies of
very high-margin eBooks. You can even recruit hordes of affiliates to do the selling for you.