HAVAH HOPE WROTE:
> I was looking into affiliate marketing programs and
> wondering if they really work.
>
> BeFree wants a $5000 set up fee plus 2% commission
> subject to monthly minimums. Am I really going to
> generate the kind of sales I need to justify such an
> expense?
I'm in the process of setting one of my clients up now
on Commission Junction (http://www.cj.com/). They
charge a $795 one time setup fee and a $250 escrow to
be applied against commissions. Their percentage is
equal to 20% of what the affiliate gets - so if you pay
a 10% commission to the affiliate, CJ gets another 2%.
In my case, my clients product sells for about $1,000
so we figure it's only going to take one sale to pay
for it... seems like a no brainer to us since there is
no monthly minimum.
We compared this to running our own and just simply
realized that it wasn't worth it. First off, we would
have to maintain all the reporting statistics and such
and develop or buy the software to run everything.
Then we would need to market this aggressively to
recruit affiliates who want to participate. I seem to
recall someone from CJ telling me how many affiliates
they had, but I don't recall off the top of my head,
except that it seemed reasonable enough for us to
decide to participate. Also, you can do a pay per
click, pay per lead, or pay per sale program and CJ
will approve all the affiliates for you if you want
them to.
Jerry
Received on Tue Dec 21 1999 - 15:50:14 CST
