If you are trying to build a secondary income from home, there's a good chance you have thought about trying to make money online with affiliate businesses such as Avon and Empower Network. With more and more people jumping into the home business industry every day, it would make sense to do a little bit of research on your options before going any further.
When choosing an affiliate business, would you be better suited to one which offered a direct sales package or a matrix structure?
One of the main attractions to becoming an affiliate marketer, as opposed to starting your own business, is that you are literally given something which is already up and running. With no 'leg work' to complete, you are ready to get started from day one.
While you can earn an income with absolutely any company providing you work hard enough, it's a great first move to choose a company which has a compensation plan that suits your needs. So, are you more suited to a matrix structure or would you prefer a direct sales opportunity? Let's find out... []
Let's start with the direct sales approach. This type of structure encourages the member to promote products and services on offer from the company they work with and in return that member earns commission levels which are generally above 90%, sometimes even 100%.
With a 90% payout you would earn $9 commission on a $10 sale, making a direct sales option very profitable for those looking to generate a decent income in a short space of time. That is, of course, if the individual is prepared to put in the hard work to succeed.
Nothing is perfect, however, and direct sales plans have one major negative factor. Affiliates only generate commissions based upon their own efforts, meaning they do not increase their income for helping those who they sign up to the business. This tends to lead to people becoming poor sponsors who do not want to share their knowledge, even with their own team who joined the business through them, because there isn't a financial gain and it would merely increase their own competition.
The second option is a matrix layout. The first thing you will notice about this type of compensation plan is that it offers a substantially smaller payout per sale. Instead of a 90% commission, it's more likely to be around the 10% mark. This means if somebody bought a $10 product via your link you would earn $1.
When you see the reason it's lower, however, things begin to pick up quickly. In a matrix format you don't just earn from your efforts, you earn from your referrals' efforts as well. So although the individual commission is lower than a direct sales plan, you stand to earn that 10% or 20% commission every time you or anybody in your team makes a sale. Potentially this is very lucrative, providing you are able to find other individuals who are serious.
Of course, promoting the idea of helping your team can also have a negative aspect. It tends to lead to in-fighting and competition between teams promoting the same affiliate program. It is not uncommon to see teams trying to outsell each other by making bigger and bolder claims, until they reach the stage where they are practically promising to do all of the work for new members if they choose them over other teams. This is impossible, of course, and tends to only attract freeloaders.
There is no doubt that both styles have their own sets of positive and negative aspects to deal with. There is no perfect structure, so it would be wise to weigh up both options and take the one which you are personally more attracted to. Opportunities like Empower Network offer a direct sales approach whereas companies like Global Domains tend to stand by a matrix layout. Either way, there are many companies out there for you to choose from.
When choosing an affiliate business, would you be better suited to one which offered a direct sales package or a matrix structure?
One of the main attractions to becoming an affiliate marketer, as opposed to starting your own business, is that you are literally given something which is already up and running. With no 'leg work' to complete, you are ready to get started from day one.
While you can earn an income with absolutely any company providing you work hard enough, it's a great first move to choose a company which has a compensation plan that suits your needs. So, are you more suited to a matrix structure or would you prefer a direct sales opportunity? Let's find out... [
See how Russ Howe became established in empower network here.
Let's start with the direct sales approach. This type of structure encourages the member to promote products and services on offer from the company they work with and in return that member earns commission levels which are generally above 90%, sometimes even 100%.
With a 90% payout you would earn $9 commission on a $10 sale, making a direct sales option very profitable for those looking to generate a decent income in a short space of time. That is, of course, if the individual is prepared to put in the hard work to succeed.
Nothing is perfect, however, and direct sales plans have one major negative factor. Affiliates only generate commissions based upon their own efforts, meaning they do not increase their income for helping those who they sign up to the business. This tends to lead to people becoming poor sponsors who do not want to share their knowledge, even with their own team who joined the business through them, because there isn't a financial gain and it would merely increase their own competition.
The second option is a matrix layout. The first thing you will notice about this type of compensation plan is that it offers a substantially smaller payout per sale. Instead of a 90% commission, it's more likely to be around the 10% mark. This means if somebody bought a $10 product via your link you would earn $1.
When you see the reason it's lower, however, things begin to pick up quickly. In a matrix format you don't just earn from your efforts, you earn from your referrals' efforts as well. So although the individual commission is lower than a direct sales plan, you stand to earn that 10% or 20% commission every time you or anybody in your team makes a sale. Potentially this is very lucrative, providing you are able to find other individuals who are serious.
Of course, promoting the idea of helping your team can also have a negative aspect. It tends to lead to in-fighting and competition between teams promoting the same affiliate program. It is not uncommon to see teams trying to outsell each other by making bigger and bolder claims, until they reach the stage where they are practically promising to do all of the work for new members if they choose them over other teams. This is impossible, of course, and tends to only attract freeloaders.
There is no doubt that both styles have their own sets of positive and negative aspects to deal with. There is no perfect structure, so it would be wise to weigh up both options and take the one which you are personally more attracted to. Opportunities like Empower Network offer a direct sales approach whereas companies like Global Domains tend to stand by a matrix layout. Either way, there are many companies out there for you to choose from.
About the Author:
More Info: Russ Howe is now a world leading Empower Network affiliate. You can watch his thorough and honest empower network review in today's video clip, which covers the aspects of the home based business industry which prevent most affiliates from succeeding.
No comments:
Post a Comment