Another article I have written has just been published in Associate Progams, run by THE Affiliate Guru - Alan Gardyne!
Quick Preview:
Affiliate marketing through the major search engines is becoming a tough space to live in. Search arbitrage is in, which means more competitors and lower margins. More merchants are climbing into Google and Overture and buying up traffic at exorbitant rates.You must remember that if a merchant is paying you $20, and the affiliate network is getting somewhere between 20% and 30% of that payout, there’s a problem.If you’re getting less money than the merchant to market with, that simply means that the top affiliates (the ones on higher payouts) and the merchant can easily outbid you on the major engines, because they have more margin to play with.It’s simple maths - assuming everyone sends traffic to the same site from the same exact match keyword, conversion rate should be static (ignore ad copy), and therefore it’s about who can pay the highest cost per click.
Lowest Bid = Lowest Traffic = What To Do???
Well, there are 5 ways to outmaneuver the merchants. To read the rest of the article, view the whole article on AssociatePrograms.com.
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