Monthly Archives: May 2006

A Tale of Two Affiliates…

Firstly let me thank everyone that has visited/joined the new SimplyWholesale website during the past week.  The launch really couldn’t have gone better and it is great to see so many people already finding the site of use.

Anyway back to the topic of this article – affiliates.  The SimplyWholesale site has an affiliate program and quite a few of you have signed up as new affiliates and the way in which a couple of people have been earning money this week is what I am going to write about today.

To my mind, there are three main types of affiliate.  Firstly (and unfortunately this is the largest group by far), there are those who sign up as an affiliate and then do nothing.  These people are obviously never going to earn any money themselves or indeed, earn the website owner anything.

The second and third types of affiliate are very different but both are very valuable to any online business so let’s look at them a bit more closely…

Let’s look firstly at what I am going to call the ‘Big Hit Affiliate’.  The Big Hit Affiliate will usually have a large newsletter mailing list which they have accumulated over a period of months or even years.  If a Big Hit Affiliate takes an interest in your website then you ought to prepare yourself for some serious traffic!

A Big Hit Affiliate can earn you hundreds even thousands of dollars/pounds in a very short space of time (I mean hours not days/weeks) and of course, as an affiliate, they will also be earning for themselves at the same time.

SimplyWholesale was fortunate enough to receive the attentions of a couple of Big Hit Affiliates this week and the traffic and sales that they can generate are quite astounding.  One of the affiliates was able to send over 2000 unique visitors to the site in just a couple of hours generating the affiliate sales commission of several hundred pounds (for sending one email!). 

As a website owner, it is great when a Big Hitter sends a promotional email to their list as traffic and sales can go through the roof in a very short space of time.  Of course it calms down very quickly too and usually within a week the sales will have come to a complete stop.  One of those ‘ very nice while it lasted’ events.

This leads me to the other type of affiliate – the ‘Slow and Steady Affiliate’.

The Slow and Steady affiliate doesn’t usually have a massive mailing list.  He/she may well have a website or forum or maybe they just sell on online auctions.  Whatever, they have some form of online presence and they act as an affiliate by placing a link or banner somewhere on their site/forum/About me auction page or similar.  Instead of sending thousands of visitors to your website in less time than it takes to reboot your computer, they send a gentle trickle of visitors each day.

But here’s the difference – with a Slow and Steady Affiliate, the traffic doesn’t run out after a week, it just keeps on coming day after day…

Now, the S&S Affiliate may only send you 50 visitors per day and from those 50 visitors, you might only make one sale but remember this happens everyday.  1 sale a day, 30 sales a month, 365 sales a year…..

As long as the S&S Affiliate is earning commission, they will almost certainly continue to send you traffic and as long as they send you traffic, they will earn commission (and you will generate sales).

Even though SimplyWholesale is only a week old, we already have a handful of Slow and Steady Affiliates who are making maybe one or two sales a day.  That’s potentially thirty to sixty sales per month, which on our average sale value works out at affiliate commission of between £266 and £533 per month.  A very nice bit of additional income whichever way you look at it.

So which is best – the Big Hit Affiliate or the Slow and Steady Affiliate?

To be honest, I would really struggle to choose one over the other.  The Big Hitter is great and can provide a very nice ‘bonus’ pay packet but then again the S&S provides your regular ‘bread & butter’ income each week/month.  I suppose the ideal situation is an affiliate with a huge subscriber list AND a website with heavy traffic.

Re-discovering eBay & Amazon…

I will apologize firstly for the fact that this might be a bit of a brief newsletter…

The truth is that I have been absolutely up to my eyeballs with work for the past couple of months as I have been putting together a brand new website.  The site is aimed purely at the UK market (sorry everyone else but if it works, the concept can be expanded…) and if you are interested in buying stock to sell pretty much anywhere (online or offline) it will be relevant to you.  I can’t say much more now but I will say that the site should blow the conventional ‘wholesale directory’ type of site out of the water.

All things being equal, I hope to launch the new site some time next week and my newsletter subscribers will be the first to know when the doors are open so stay subscribed.

Anyway, back to the newsletter, as I say, I have been working some really long hours as the new site starts to come together and the days are all just blending into one.  I usually have the newsletter written several days before publication but here we are on Wednesday evening and I haven’t even started it (and I have several hours of website work yet to do).

Rather than bore you with the details of the problems I have been experiencing with setting up the new site (I am sure you really don’t want to hear about PHP and HTML issues!), I thought I might mention something else that I have been doing recently and that is, re-discovering eBay & Amazon.

It is some time (a couple of years at least) since I did any selling on eBay (although I have used it quite a bit as a buyer) but this week I decided to list a few items that have been lying around the house for months.  Makes sense as I am never going to use them again so I might as well let someone else benefit and make a little money on the side 😉

The one thing that I used to really hate about eBay was packing stuff up and taking it to the Post Office but I had forgotten the bit that I LOVED – watching people bid on the auctions and seeing your money going up!  Now I should say that I only listed a few hundred pounds worth of stuff – certainly nothing that is going to make me rich but even seeing relatively small bids on your items for sale is exciting.

In fact, I was having such a ball that I started listing some of my old books and DVDs on Amazon’s Marketplace.  Now, if you have never heard of the Amazon Marketplace, let me tell you, this really is a very neat selling venue and a superb business concept on both sides.  Quite simply, Amazon allow you to list books, CDs, computer games, DVDs, electronic goods etc for sale on their website (you don’t even need to write out a listing – it is auto-generated via the ISBN/barcode number!).  When someone is about to purchase a book (or whatever) via the main Amazon site, they are also given the option to buy a copy of the same item from ‘Marketplace Sellers’.  This means that they could get a second-hand (or new) copy of the same product cheaper from a different seller.  If they opt to buy from you, Amazon takes the payment from the seller and sends you an email advising you of the sale and giving you the name/address to send the book/whatever to.  Then every couple of weeks Amazon pays your money into your bank account.

Of course, Amazon takes a small commission for providing the above service but they also charge the buyer a standard amount to cover postage costs.  It is a win-win situation and I think it is a very shrewd move on Amazon’s part (in fact, they probably prefer it when someone buys from a Marketplace Seller since they get paid for doing absolutely nothing). 

So I ended up listing 20 or so items on Amazon as well and in less than 2 days, I have already sold half of them and earned over £100!  Remember this is in respect of a few books and DVDs that would have just sat on my shelves for the next 6 months/year/who knows?  How often do you read the same book twice or watch the same DVD more than once?

eBay and Amazon offer two different ways of selling your second-hand possessions and both ways are quick and easy as well as being enjoyable.  Having ‘re-discovered’ both sites as a seller after several years, I am enjoying selling on both – eBay because of not knowing what the final sales price will be and Amazon because it is just SO easy (you don’t even have to communicate with the buyers!).

I still can’t stand the packing and shipping though!