There’s a compound effect of selling subscription products. One of the best ways to earn online is through selling subscription products which carry recurring commissions. You don’t need your own membership products either, because you can sell existing products through joining an affiliate program.
Most affiliate programs offer you the opportunity to earn through product referrals. Amazon, for example, is a popular choice for new affiliates. However, many affiliates struggle and quit before they even make their first sale. That’s a shame because affiliate marketing can be life changing if you persevere with it; especially if you use the power of compounding to your advantage.
With most products, such as physical products you’ll find on Amazon, you only get paid once (per sale). So you need to keep selling in bulk in order to make your affiliate business profitable. But with subscription products, each sale gives you a recurring income.
The Compound Effect Of Selling Subscription Products – Which Products?
The best subscription products to choose are those which offer the most value to customers. If a product is good, and meets the needs of a customer, they will continue using it; potentially for years. If you sell such a product and it carries a recurring commissions, you can build a passive income for life. Even if a product only pays you $20 a month in commission, it’s still a recurring income. 10 sales would give you $200, 100 sales would give you $2000 a month and so on.
Here’s a great product I sell on this website Aweber. Aweber is an email autoresponder service which I’ve used for years. It’s an awesome product because it’s essential for the building of an online business. You don’t even need an online business to benefit from using an email autoresponder. Any business can benefit from it.
An email autoresponder collects emails and delivers automated messages to your subscribers. If you sign up on this website you’ll get automated emails from me with information about starting an online business and affiliate marketing. An autoresponder is not the only product which pays recurring commissions to its affiliates. Checkout subscription affiliate programs for more products to choose from.
Business tools, software and memberships are good examples of products which are useful. Not all of these types of products offer recurring commissions though so check with your affiliate program for the commission structures.
The Compound Effect Of Selling Subscription Products – How To Sell Subscription Products
Aweber is a great tool to help you sell affiliate products online too. Most affiliate marketers use some kind of autoresponder which allows them to collect emails and deliver messages automatically. On this website you should see I have some giveaways such as my free ebook. If you sign up, you join my email list and get access to my ebook. You’ll also receive email messages about the topic of affiliate marketing.
This simple method is used by thousands of affiliates to build their email lists and sell affiliate products through recommendations. Once you have an offer (a free giveaway) you can promote it online through various marketing strategies such as:
- Blogging/video blogging
- Pay per click advertising
- Social media
- SEO – search engine optimisation
A common method of selling affiliate products through email marketing is to use landing pages to collect emails and paid marketing to send targeted traffic towards it. A landing page is a web page specifically designed to collect emails through the offer of a “lead magnet” – a freebie giveaway which you can access online through your email inbox.
Knowing Your Target Audience
Your “target audience” is the section of the online marketplace who is most likely to be interested in your product. It’s important to define who this is because there’s millions of people online who simply aren’t interested in whatever you’re selling! So if you attract the wrong audience, you’re unlikely to sell anything.
When you know very specifically who you’re selling to, you can define them in your marketing campaigns and talk to them in terms of their pains and needs.
For example, if most of your customers are over 30 years old, it’s going to be a waste of your marketing budget placing adverts in front of the under 20’s. This can save you a considerable amount of marketing budget (and time). If you have a locally based store or business, it’s a waste placing advertising which is going to show outside your catchment area.
Summary
Subscription products which are super useful and even vital to business owners are the best ones to sell. These kinds of products are necessary for the running of a business. So once a customer is using them for an established business, they are unlikely to ever stop using these products. If you have referred the product to those customers, you can earn a recurring commissions for the lifetime of their custom.
This is far better than selling a standard affiliate product which carries only a “one-off” commission. Recurring commission products give you a greater opportunity to build a real income online through referrals. Each sale gives you a income, rather than just a “one time” commission. Providing the customer maintains their membership/subscription, you’ll continue to receive a recurring income from it, rather like getting a royalty payment.