“The Affiliate Marketing Secret | Copyright©2013 All rights reserved 1

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The Author assume no responsibility or liability whatsoever on the
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TABLE OF CONTENTS

1.0 Introduction 6

2.0 The Traffic Conversion Profit Model 9

3.0 The Lie about Internet Marketing 11

4.0 The Affiliate Marketing Reality 13

4.1 Rip Off By Buyers 14
4.2 Understanding Cookie Duration & Validity 16
4.3 Cookie Stuffing 19
4.4 Rip Off By Product Vendors 21

5.0 The Affiliate Marketing Secret 32

5.10 The “Traffic” Component 32
5.1.1 Traffic Generated By Affiliates 33
5.1.2 Traffic From Product Launches 36
5.1.3 List Swaps 39
5.20 The “Conversion” Component 42
5.2.1 Feeding Traffic to Product Vendors 43
5.2.2 How Gurus Carry Out Affiliate Marketing 44
5.2.3 Gurus and their Joint Venture (JV) World 46
5.2.3.1 Product Owners With Small or No List 47
5.2.4.2 Cross Promotion of Products 48
5.2.4.3 Exchange of Bonus Products 49

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6.0 Beating the Affiliate Marketing Reality 52

6.1 Promote Closed Affiliate Programs 52
6.2 Sweeten Your Offers with Bonuses 53
6.3 Promote Money Making Niche Products to Newbies 55
6.4 Promote Non-Money Making Niche Product 56
6.5 Sell Master Resell Rights & private label Rights Products 56

7.0 Products Are Your Virtual Goldmine 59

7.1 Cross-Sell Products & Services 61
7.2 Sell World Wide Resell Rights (WWRR) Products 63
7.3 Sell Private Label Rights (PLR) Products 64
7.4 Sell Brandable Rights to eBooks 64

8.0 Tips on Creating Your Own Products 66

9.0 Going Forward 67

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1.0 INTRODUCTION

Welcome to The Affiliate Marketing Secret.

You have made the best decision in purchasing this eBook as this
is the blueprint for your internet marketing success. These
materials alone will save you at least a few years of your
internet marketing journey (if you have not given up by then).

What I’m about to reveal to you is a guarded secret which gurus

do not want you to know as it will affect their internet business
income. I don’t blame them for not revealing this as they have
gone through their early years of struggle before discovering the
secret to make money online.

I have gone down this affiliate marketing path and have my share
of challenges, disappointments and success. What I discovered
along the way made me realize that there are a lot of “unseen”
things in affiliate marketing. Affiliate marketing is not what it
seems to be.

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A lot of times, the statements that gurus make are just not true.
These untrue statements are designed to make you work for
their success. As you go through this eBook, I’ll share with you
some of their statements and blow their covers off. I’ll reveal
the inside secret of what make the gurus “rock” … at your
expense.

When you complete reading this e-Book, the stuff you discover
inside will surprise you and will make you want to relook at your
online business and make you change your affiliate marketing
approach.

Of course, the ideas and strategies mentioned in this e-Book are

not exhaustive but they are more that is required to make you
successful in internet marketing, provided you put them into
action.

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Have you ever wondered why gurus make so much money on the
internet while the average affiliate marketer struggled to get by?
The answers are all in this eBook.

Once you have finished reading it, you’ll wish you have known
this earlier. This eBook is also a blueprint for your internet
business success. I have included this blueprint for you to build
your internet business the right way.

In this e-Book, I’ll talk a lot about the “money making” niche
as most internet marketers are in this niche. In the money
making niche, the rewards are high - only for those who know the
secrets of affiliate marketing. As for those who don't, they will
only be getting peanuts.

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2.0 THE TRAFFIC CONVERSION PROFIT MODEL

Before we jump straight into the affiliate marketing secret in

detail, it is necessary for you to be familiarised with the Traffic
Conversion Profit (TCP) model.

In the TCP, there are two components that you must know and
do well if you want to make a lot of money online:

TRAFFIC + SALES CONVERSION = PROFITS

The two components (traffic and sales conversion) should be

your main area of focus in running your internet business.
Whether you are successful or not will depend on how well or
imaginative you are in managing these two components.

The first component is “Traffic” – the lifeblood of your business.

Without visitors coming to your website, you will have no
customers. Being able to bring traffic to your site(s) is only one
part of the equation.

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When visitors lands on your site, you must preferably convert

them into buyers immediately or able to opt them into your
subscriber list which you will later market affiliate products to
them.

This is the “Conversion” component which is one area where

gurus excel in.

Do you agree that this TCP model is common sense? Yes?

Surprising, the majority of internet marketers do not really

understand its secrets or know how to use it correctly!

This is what separates them from the gurus. Understanding the

inner secrets of this model is what The Affiliate Marketing Secret
is all about.

Read on.

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3.0 THE LIE ABOUT AFFILIATE MARKETING

“The Monkey See, Monkey Do Principle

And How It All Went Wrong”

This section aims to clear all the misconceptions about affiliate

marketing that you may have been told, taught or observed. This
section will to bring you back to the “right way” in building your
online business and not to be suckered into false promises of easy
and fast money you often see in money making programs.

“You Do Not Need Any Products or

a Website of your Own to Make Big
Money Online”

The above statement is BIG LIE. This big lie is used to “entice”
people to sign up as an affiliate to promote the vendor’s
products and at the same time:
1) bring in valuable traffic to their site
2) help them build a big responsive list and
3) make tons of money for them in the process!

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The reality is, you need products and lots of it to be successful.

Secondly, you need websites to drive your business. Thirdly, you

need to build a “responsive” list if you want to make lots of
money online.

In fact, having a big responsive list is the “only way” to

make tons of money “consistently”.

A responsive list is where your subscribers have provided their

primary email addresses tor previously bought product(s) from
you. As compared with their secondary email address, they will
tend to open their primary address or tend to buy from you again
if your products fit their needs.

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4.0 THE AFFILIATE MARKETING REALITY

“Affiliate Marketing Can Make You

a Lot of Money is a BIG LIE and TRUTH”

The above statement has double meaning, depending on which

side you are on. If you are an affiliate, I'm afraid that you won't
be able to make much money in affiliate marketing. On the other
hand, there is a lot of money to be made if you are a product
owner! Please read on to find out why!

As an affiliate marketer, it is extremely important that you know

about the Affiliate Marketing Reality (AMR). This is about the
pitfalls faced by affiliates that can seriously affect your sales
conversion rates. This is the “AHA” thing to know as to why
affiliates only get peanuts as compared to the product vendors.

Inside this section, I have suggested some remedies to go around

some of the affiliate pitfalls but the real long term solution are
found in the Affiliate Marketing Secret section.

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Are you ready to know why you do not make much money as an
affiliate?
Let’s start.

4.1 Rip Off By Buyers

This is a big problem faced by affiliates which has greatly affected

their sales conversion rates. Supposing you come across a very
good product with high affiliate commission and you want to
promote it. The first thing you would normally do (if you have a
subscriber list) is to blast out an email to your subscribers
telling them to check out the product. You may also decide to do
some pre-selling by writing about it or putting up an affiliate
banner on your blog.

You managed to bring in the traffic (via your affiliate link) to the
product vendor’s site and the site visitors like the product. Guess
what will happen?

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Most of these site visitors would normally not buy but would
instead do a web search for the affiliate program and signs up for
the same and buys using their affiliate link.

In the end, you get nothing after all the hard work spent in
promoting the product. This stealing of affiliate commissions by
buyers is very rampant in the money-making niche simply
because these guys know the inside out about affiliate marketing.

There are many cases where product buyers are simply dishonest.
Once they buy and downloaded the product, they will
immediately ask for a refund. In the end, you will not get your
commission.

TIP: Check the refund policy (if any) before you decide to
promote any product.

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4.2 Understanding Cookie Duration & Validity

If you are an affiliate, you must know how cookies work. In case
you do not know, a cookie is a small data file that is generated
when your site visitors land on the vendor's merchant site (after
clicking on your affiliate link).

This file is then dropped into your visitor's browser (to be exact)
which means that this visitor now belongs to you for a particular
product.

The file records your affiliate ID, time the cookie is created and
the expiry date.

If your site visitor does not buy but later returns to the vendor’s
merchant site (need not through your affiliate link again) and
then makes a purchase, you will still get the credit for the sale
after the merchant’s website checks the affiliate cookie present in
the visitor’s browser.

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However, you will not get the credit for the sale if he later uses
another browser to make the purchase by visiting the vendor’s
site direct and without clicking your affiliate link. You will
however get the credit for the sale if he clicks on your affiliate link
again even if he uses a different browser.

On the duration of the cookie set by the merchant, a short cookie

life span would make the cookie expire faster. You would not
get the commission if it has expired unless your affiliate link is
clicked again.

Another thing you must know is that some merchants only

recognizes the first affiliate who brought the visitor to their site
and not any other subsequent affiliate(s). This means that you
will not get the commission even it is you who subsequently send
the visitor to the merchant’s website via your affiliate link. The
Aweber affiliate program uses this “first in first out” method of
recognizing affiliate commission. Therefore, a lot of internet
marketers promote Aweber heavily hoping to be the “first
affiliate” to send visitors to the Aweber’s site.

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On the other hand, there are merchants who will give credit to
the latest affiliate (and not the earlier affiliates) who sends the
visitor to their site. Clickbank is one merchant who uses this
method of commission recognition.

In this case, you will not get any commission if there is a

subsequent affiliate who sends your earlier site visitor to
Clickbank and makes a purchase.

Tip: Affiliates must always check the affiliate program’s policy on

commission recognition before promoting a product.

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4.3 Cookie Stuffing

Cookie stuffing basically involves discreetly dropping c

cookie(s) onto a visitor’s browser (when he visits an
unsuspecting site) without them knowing about it.

In fact, you don’t need to send visitors to the merchant’s

website for this to happen. The cookie can have affiliate IDs
for several products.

This is done with the hope that the visitor will later visit one
of the targeted affiliate sites set in the cookies. When the
unsuspecting potential buyer later goes to the targeted
merchant’s website (not clicking any other affiliate link)
and makes a purchase, the cookie dropper will get the
commission even though he is not the one who sends him to
the merchant’s website.

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Furthermore, your “dropped” cookie will overwrite any

earlier affiliate cookie (if any) unless the merchant practice
the “first in, first out” method of commission
recognition.

Tip: Rogue websites use discount or bonus links in their

webpages which will drop cookies into your browser when
such links (normally discount or bonus links) ,are clicked
(no need for the "buy button"to be clicked). In fact, there
are no such discount or bonus offered. It is just a way to get
you to click on the links. Rogue sites will target products
where product vendors/merchants disallowed the giving of
discounts or bonuses as incentives to buy. As there will be
no affiliates offering such incentives, these rogue sites can
easily get their webpage listed at the top of search engines
(no competition) and thus ripping off the product vendors
or other affiliates.

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Imagine you have initially brought a potential buyer to the

vendor’s website and he subsequently returns directly to the
website and makes a purchase. The person who
subsequently carried out the cookie stuffing will get the
commission and not you.

4.4 Rip Off By Product Vendors

There are a lot of product vendors who rip off the

commissions of their affiliates whether intentionally or
unintentionally. As an affiliate, you must be aware how
it is done so that you can take steps to protect your
commissions from being hijacked.

As most visitors seldom buy on their first visit to the

vendor’s site, the vendor would collect their email addresses
by offering them a free eBook or report. This is how product
owners intentionally or unintentionally rip off their
affiliates’ commissions:

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Scenario 1: Site visitor did not click order link to go

to merchant’s site

When you send visitors to the vendor’s sales page through

your affiliate link, there is a high possibility that they will
not click the order link to go to the merchant’s website. This
means that there is no affiliate cookies deposited into
their browsers. You are therefore not recognized as an
affiliate who brought him there!

Note: If the product vendor's site is running their own

affiliate program, the affiliate cookie will be dropped to the
visitors' browsers once they land on the vendor's site.

After collecting the email addresses of their site visitors, the

product vendor would subsequently send follow-up emails
to his new subscribers to promote his product “without” any
affiliate link embedded in his emails (if he is honest).

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If his new subscribers buy the product, no commission will

be paid out and the product vendor will get the full price of
the product.

For “dishonest” product vendors, they would embed their

own affiliate link in their follow-up emails. If their new
subscribers buy the products, the dishonest product
vendors will get the commissions.

Scenario 2: Site visitor clicks order link to go to

merchant’s site

When you send visitors to the vendor’s sales page (through

your affiliate link), they may sometimes click on the order
link to go to the merchant’s website but did not proceed
further to buy. At this point, the merchant's site will
deposit the affiliate cookie into their browsers and you are
tagged as the affiliate who brought them there.

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When the product vendor subsequently sends follow-up

emails to his new subscribers to promote the product
“without” any affiliate link embedded in his emails;
you will get the commission when the new subscribers make
a purchase.

If a “dishonest” product vendor embeds his own affiliate link

in his follow-up emails and the new subscribers make a
purchase, he will instead get the commission.

If product vendors are selling through Clickbank

(merchant), one way you can check whether the product
vendor is ripping off your affiliate commissions is to
sign up as a subscriber to the vendor’s list. When you
subsequently receive follow up emails from the vendor to
promote his product, you should check whether there is any
Clickbank affiliate ID (“nickname”) at the bottom of
Clickbank's order page.

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You should not see any Clickbank ID there. If there is, it

means that the vendor has used his own Clickbank affiliate
ID in his follow-up emails to his new subscribers to override
his affiliates' IDs and rip-off them off.

This is the advantage of promoting Clickbank products as

you can test whether the product vendor is ripping off your
commissions.

Note: Sometimes, the vendors' follow-up emails may direct

his new subscribers to a presell page where he may use his
own Clickbank affiliate ID to override his affiliates' cookies.

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Scenario 3: There is no merchant site

In this example, there is no merchant site involved. This

means that there is an affiliate program running in the
background in the vendor's site.

When you sign up as an affiliate, the product vendor will

provide you with an affiliate link to promote his product(s)

When you brought a visitor to their sales page, they will

deposit an affiliate cookie (recognizing you as an affiliate)
into his browser. As usual, the product owner will collect the
visitor's email address whether the visitor buys or not.

If a “dishonest” product vendor embeds his own affiliate

link into their follow up emails to his new subscribers, it
would be difficult to check whether the email link to the
sales page has the vendor’s affiliate link as such links are
normally cloaked or shorten using a URL shortener.

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Discontinuation of affiliate program

There are cases where product vendors would quietly

discontinued their affiliate program without informing their
affiliates. This would mean that affiliates would
unknowingly continue to send traffic to their sites and end
up not getting paid for their effort. One way to overcome
this is to focus on a few lucrative affiliate programs so
that you can constantly visit their affiliate support page (if
any) to see whether the affiliate program is still ongoing.

There are cases where products owners will withhold their

affiliates' commission until a threshold amount is met
before paying out. When the product owners subsequently
stop their affiliate programs, their affiliates may not get back
the commissions due to them.

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Change of merchant

There are product vendor’s who change their merchant

without informing their affiliates who will unknowingly
continue to send visitors to the vendors' sites using out of
date affiliate links where no commission will be paid to their
affiliates for any purchase made.

Even if the product vendors do inform their affiliates via

emails of the change in their merchant, there is a high
chance that their affiliates may missed the email notification
and may not take the necessary action to sign up for the new
affiliate program under the new merchant.

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Product owner selling their products outside their

affiliate program

Imagine a situation where you send your site visitors to the

product vendor's site where no purchases were made.

A dishonest product vendor may subsequently offer

discounts (year end sales etc.) to them using a different
merchant or Paypal. As the purchases are made outside the
affiliate program, you will not be paid your commission.

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Product Vendor’s Scope of Affiliate Commission

Coverage

Some product owners have several products in their

portfolio and may require their affiliates to generate
different affiliate codes for each of the product they
want to promote. Most of the time, affiliates would generate
affiliate codes for one of two products only. When they
subsequently send visitors to the vendor's site, any product
purchase made that are not under their affiliate codes will
not be given credit as an affiliate sale.

In this case, the product vendor is getting free traffic from

your promotions.

Before deciding to promote a particular product vendor, you

should check whether a single affiliate code covers all their
products and not just a single product. If you are not sure,
you may wish to contact the product vendor to find out.

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Conclusion

As you can see from the above scenarios, affiliates are always
exposed to numerous commission pitfalls which are difficult to
control.

You can minimise the commission pitfalls if you focus on

promoting the products of reliable vendors and a smaller number
of high converting products so that you can track the status of the
affiliate program.

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5.0 THE AFFILIATE MARKETING SECRET

In this section, we will look at how product vendors drive traffic

to their sites and how they monetize their to make tons of money.

TRAFFIC + CONVERSION = PROFITS

5.1 The “Traffic” Component

Gurus “primary” aim in bringing in traffic to their sites is to

build a responsive list and sell their back-end products to
their subscribers after they opt in.

A responsive list is normally a list of subscribers who have

bought a product before. They generally have a tendency
to buy again as they are serious in their online business and
willing to make investments to learn.

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Secondly, product purchasers always provide their primary

email addresses when making their purchase. Any emails
that are subsequently sent to them will normally gets
opened and read.

This is the main reason why a “buyers list” is very responsive

as compared with a non-buyers list. In the latter,
subscribers would normally give their “other email
addresses” in exchange for the freebies they are going to get.

5.1.1Traffic Generated By Affiliates

It is generally slow to grow a subscriber list

organically through search and non-search traffic.
Furthermore, such subscriber list is not as responsive
as compared with those who have provided their email
addresses when making their purchases.

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The fastest way to grow a “responsive” list is for

affiliates to bring in the traffic AND collect the
purchasers' primary email addresses.

Imagine each affiliate has a few thousand subscribers

and even if they managed to drive a fraction of their
subscribers to your sites, the traffic generated would be
high indeed.

The secret of affiliate traffic is that it can build you a

responsive list and earn you consistent income without
doing any traffic generation work .

Tip: “Giveaway” events may build you a subscriber list

fast but the list is normally not responsive as
subscribers in such events do not give you their
primary email addresses.

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Gurus can entice affiliates to promote heavily for them

as they are willing to give their affiliates 100%
commission. Some gurus even offer more than 100%
commission as they know that they will make much
more from their “One Time Offers”, up selling, cross-
selling back-end sales.

This is possible as they have “a lot of products to sell”

and they know their metrics. As a result of their
tracking, they know how much net profit (after
deducting the commission payout) that they can make
from each visitor/subscriber.

Furthermore, their “sales conversion” rate is much

higher as they are not affected by the AMR.

At the end of all this, the gurus will get their buyer’s list
or at least a big non-buyers list in super quick time.

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5.1.2 Traffic from Products Launches

After knowing about the AMR, you would think

that there is not much money to be made by
affiliates. Well, it depends.

Advanced internet marketers are aware of the

behaviours of prospective buyers and they make
full use of this knowledge to drive traffic to their
sites and make money.

This is how it is done. When a product owner

launches a product, he would normally send out
emails to his subscribers, ask his affiliates or
JV partners to promote for him. Whatever options
he chooses, a buzz would normally be created
in the market especially when the product owner
is well known in the market place.

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This is the time when there will be a lot of emails

flying around about the product launch.
Subscribers who are interested in the product
would normally do a web search for any available
bonus or reviews on the product. This is the
instinctive human nature to get the best deal
possible and be assured that they can make the
correct purchase decision.

With this knowledge, these internet marketers

would set up a web site (during the product pre-
launch period to allow search engines the time to
index their site) and try to get their website listed
high on the search engine results.

To do this, they would get a URL name that

matches the keywords (product name) that are
expected to be typed in by the web user.

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For example, if they are promoting this eBook

(“The Affiliate Marketing Secret), they may use
the following:
1. affiliatemarketingsecretbonus.com
2. affiliatemarketingsecretreview.com
3. getaffiliatemarketingsecret.com

Domain names where their urls exactly matches

the keywords typed in by web users would
normally have their page rank very high in the
search engine results. A lot of times, such pages
are displayed on the first or second page of the
search results simply because there
This strategy can bring in a lot of traffic. Even if
site visitors do not buy (despite their exclusive
bonus offered), you can try to collect their email
addresses by giving away a very good freebie in
exchange. This is how you can build a big list and
make affiliate sales during a product launch.

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5.1.3 List Swaps

List swapping is a fast way to build a list. This

strategy is only possible if both JV partners have a
reasonable list size and have a giveaway product
of their own.

It works like this. Both JV partners will email

their subscribers and say that his friend is giving
away a great product. When their subscribers
lands on their JV partner's freebie page, they will
provide their email addresses in exchange for
the freebie product.

In the end, both JV partners will get to swap their

list and this is how they build their list size fast.

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Other than just list swapping, the real aim is to

use their “thank you” pages (during the
subscriber sign up process) to promote their
backend products. Their sales conversion rate is
higher as they are not affected by the AMR!

Conclusion

The traffic strategy of the gurus is very simple - to build a

responsive list fast and make backend sales. They do not focus on
growing their subscriber list using organic traffic which is not as
responsive as affiliate traffic.

Therefore, they mainly use affiliates and list swaps with their
JV partners to bring in the traffic. With the affiliate traffic
approach, they can build a “responsive list” through the sales of
their product(s).

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Furthermore, fresh prospects/subscribers have a higher

tendency to seriously look at sales propositions. It has something
to do with ‘freshness” of the product or the sales vendor to the
new site visitor.

With this principle in mind, you should keep on bringing in fresh

traffic with the ultimate aim of building a responsive list through
the selling your front-end and back-end products.

Using affiliate programs is a fast and effective way of generating

traffic.

In the next section (“Conversion” Component), I will show you in

detail on how gurus can achieve a high sales conversion rate from
the traffic that comes their way from affiliates/list swaps and how
they use their big subscriber list. to build a bigger list and make
more money.

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5.2 The “Conversion” Component

In the Affiliate Marketing Reality section, I have mentioned
several pitfalls faced by affiliate marketers which affect their
sales conversion rates. This is one of the reasons as to why
the majority of affiliate marketers do not do well because
they use the “normal” affiliate marketing approach.
Gurus use a different approach which totally eliminates the
AMR pitfalls and therefore boost their sales conversions

The Gurus marketing secrets consist of the following:

1. Use affiliates to drive traffic to their sites and sell their
front-end and back-end products and built a buyers and
non-buyers list in the process
2.JV with fellow internet marketers to promote each others
products and do list swaps

The following sub-sections will show you in detail how

gurus leverage their products and subscriber list to achieve
a high sales conversion rate.

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5.2.1 Feeding Traffic to Product Vendors

Once the traffic from the affiliates lands on the sales

page, they will normally be presented with a low cost
front end product and followed by (if there is a
purchase) a “One Time Offer” (with discount) or up sell
product(s).

This approach is aimed at quickly monetizing and

maximising their income. At this point, gurus do not
care whether the buyers buys under their affiliate link
(link substitution) as he will still get the sale and build
a responsive list. It is only the original affiliate who
brought the buyer to his site will lose out the
commission to the buyer.

If site visitors do not make any purchases, they will be

offered a freebie in exchange for his email addresses.

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From the above, you can see that it is the affiliates who
feed the traffic to the gurus to enable them to sell their
front-end and back-end products. They are not affected
by the AMR. At the same time, they get to build a big
list from the traffic sent in by the affiliates.

By now, you would see that there is great advantage to

be a product owner rather than as an affiliate.

5.2.2 How Gurus Carry Out Affiliate Marketing

In Section 5.12 (Traffic from Products Launches), I

mentioned that gurus use other people’s product
launches (normally big ticket items to justify their
effort and time) to bring in tons of traffic to their highly
SEO sites. This is the traditional affiliate marketing
approach they are using to promote other people's
products but with a twist to go around the AMR.

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In their pre-selling page, they would normally offer

their exclusive product(s) as bonus to their prospective
buyers if they buy through their affiliate link. Once the
purchase is made and the sale transaction is verified to
be in order (and after the guarantee period, if any), a
download link to the bonus product will then be
emailed to the buyer.

When a bonus is offered, the buyer would normally not

want to use his affiliate link to make the purchase when
he perceives that the exclusive bonus (cannot get
anywhere else type) product is worth much more than
what he can save if he were to substitute his own
affiliate link to make the purchase. Of course, the
bonus offer must complement the product being sold.

This is how gurus go around the AMR. Of course, they

would only use their exclusive product(s) as bonus if
they are promoting a high ticket product.

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Question: If you do not have any bonus product to give

away, can you still promote the newly launched
products?

The answer is YES! The aim will be to build a

subscriber list (instead of making sales) if you have
difficulty competing against internet marketers who
good bonus offers. In this case, you have to make sure
that you really have an enticing freebie that can
influence your site visitors to opt-in to your list.

5.2.3 Gurus and their Joint Venture (JV) World

There are two main internet marketing approaches that

gurus generally use:

1. Market their own products using affiliate

programs (to bring in traffic and make front-end
and back-end sales and build buyers and non-
buyers lists)

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 2. Joint venture with fellow gurus/internet
marketers

The JV approach is a big business and the conversion

rate is high as there are no AMR pitfalls.

5.2.3.1 Product Owners with Small or No List

Product owners with no small subscriber list will

normally seek out gurus to promote their
products. They are willing to offer high
commissions in order to get gurus to promote for
them.

Some product owners are even prepared to give

100% commission with the aim of getting the
gurus’ subscribers into their own list!

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Gurus generally have a relatively long waiting list

of products owners queuing up for the gurus to
promote for them. By now, you should realise how
important it is to build big and responsive list if
you want to succeed in the online business. As
you can see, you can use your big list to make
money through JVs with product owners apart
from promoting your own affiliate products.

5.2.3.2 Cross Promotion of Products

With this type of JV arrangement, each JV partner

will send out emails to their subscribers to
promote his partner's products and vice versa.
They can either arrange for a stated commission
percentage for each successful sale or on a non-
commission basis.

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For non-commission basis, each JV partner will keep

100% of the sales amount. For this to happen, each of
the JV partner must have their own products and have
a similar list size. To sweeten the deal, they may offer
their bonus products to get a higher sales conversion
rate.

With this type of JV partnership, potential buyers

would not be able to sign up for any affiliate program in
order to get a lower net price.

5.2.3.3 Exchange of Bonus Products

JV partnership is a very powerful strategy to increase

conversion rates especially when you use your JV
partner’s products as bonus. In return, you would also
allow your own products to be used as bonus for your
JV partner’s sales proposition.

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With just one product, you can arrange with more than
one product vendor for bonus products swaps so that
you can have more than one bonus products for your
product sales proposition. This type of JV arrangement
arrangements would boost their sales conversion
results tremendously.

The reason for using this strategy is that you may not
have enough products of your own to be used as a
bonus products.

With the exchange of bonuses strategy, you can arrange

to get several bonus products from different JV
partners with just one of your own product.

Offering bonuses is an effective way to discourage

potential buyers from purchasing through their affiliate
link and at the same time boost your sales conversion
rates.

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Conclusion

You should now realize that established product vendors use

affiliates to drive traffic to their sites and build their responsive
list. They hardly use organic traffic as it is a slow method to get
traffic and needs a lot of hard work.

Product vendors are able to go around the AMR pitfalls because

they will still get the sales even when purchasers buy through
their affiliate link (only affiliates are affected).

They get to build a big responsive list at a fast rate using traffic
from affiliates and make profits from the front and back end
products. They leverage their list to build a bigger list using list
swaps with their JV partners. They use product swaps to create
bonus products offers to boost their product sales.

With a big list, they will become the traffic controller and make
tons of money by sending out emails to promote their JV
partners' products.

This is the Affiliate Marketing Secret.

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6.0 BEATING THE AFFILIATE MARKETING REALITY

“In Every Poison,

There is An Antidote”

If you are an affiliate marketer and you do not have a product of

your own to give away as bonus, how are you going to escape
from the AMR pitfalls? Is there a way to go around the problem?

The following are some suggested strategies that you can use to
overcome this problem.

6.1 Promote Closed Affiliate Programs

A closed affiliate program requires you to purchase the

product first before the product owner will allow you to
become their affiliate. It is therefore not surprising that such
products tend to convert better as potential buyers would
not be able to make a purchase using their affiliate link.

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Secondly, you would expect fewer competitors promoting

the same product as it is a closed affiliate program.

Thirdly, you will generally do a better job in promoting such

products as you would have tried out the products and are
convinced of their quality. Therefore you would be
motivated and have the confidence to go all out to promote
the same.

Lastly, it would be easier for you to do a detailed review of

the product and potential buyers would generally trust your
review since they know that you are the user of the product.

6.2 Sweeten Your Offers with Bonuses

If you want to promote products with an open affiliate

program and want to go around the AMR pitfalls (switching
of affiliate links) , you would have no choice but to offer a
a bonus with high perceive value to your buyers.

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The bonus product should have a perceived value that is

higher than the amount your prospective buyer can save if
he is to buy through his own affiliate link. Secondly, the
bonus product should complement the product you are
promoting.

The next question is where to get your bonus product if you

do not have a product of your own? The solution is easy.

Here is the resource that you can consider:

Master Resell Rights.com

Master Resell Rights (MRR) membership has tons of

eBooks/reports on different topics and software. This is a
monthly membership that comes with bonuses which
entitles you to join Private Label Rights (PLR) memberships
for free. You may also want to develop your own eBooks
from these resources to give away as bonuses.

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6.3 Promote Money-Making Niche Products to Newbies

“Money making” products are those that teach people how

to set up their internet business and make money online.
Topics under this niche includes website/blog building,
affiliate marketing, SEO, email marketing, how to drive
traffic to sites etc. Compare with other niches (e.g. weight
loss), this niche has tons of related products to sell which
allows you to sell to the same customer again and again.
This is a very competitive niche but it is highly lucrative if
you know how to do it right.

A newbie in internet marketing would not know much

about affiliate link switching and this is where you have a
chance to earn affiliate commissions when you market
products to them.

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6.4 Promote Non-Money Making Niche Products

Buyers of “money making” niche products are normally very

savvy about affiliate marketing and would know how to steal
your affiliate commissions as compared with buyers of non-
make money niche products.

If you want to avoid the AMR pitfalls, you should go into the
non-make money niche . The niche could be related to your
hobby e.g. golf or photography or something that you
yourself are keen to know more.

6.5 Sell Master Resell Rights & Private Label Rights

Products

Lets look at what Master Resell Rights (MRR) and Private

Label Rights (PLR) are all about. When you acquire MRR
rights to a product, it means that you have the right to
sell the product. At the same, you can also grant the right to
sell the product to your purchasers.

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With PLR rights, you not only acquire the rights to sell the
product, you can also edit the product content or claim the
product as your own and putting your name as the author
even without doing any editing at all.

If you do not have a product to sell, you may consider

acquiring products with MRR or PLR rights and then sell
them to your customers. However, most of the MRR and
PLR products have restrictions on the minimum price that
you can sell.

To make it look like you are the owner/creator of the

product(s), you should consider purchasing PLR products
where you can change its contents, put your name as the
author and change the eCover to make the product look
original.

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Buying MRR and PLR products on a piece meal basis is

pretty expensive. He is, however, a great resource where
you can download tons of MRR and PLR eBooks, articles,
software etc. by just paying a monthly membership fee of
less than USD20: Master Resell Rights.com.

When you “sell” MRR or PLR products, you are the product
vendor where you are not affected by the AMR as you are
not the affiliate.

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7.0 PRODUCTS ARE YOUR VIRTUAL GOLDMINE

“The Difference Between a Guru and

a Non-Guru Are Products”

Read this section slowly as this is the key to online success.

Creating products is the only way to make a lot of money in

internet marketing. If you do not have products, you are losing
out on the opportunity to make big money online.

A person without a product is like putting himself into a straight

jacket. Your options to make money are very limited. Would you
be able to boost your conversion rate (by offering bonuses or
discounts) or strike up JVs deals, and build a responsive list via
affiliate marketing if you do not have products of your own?
The answer is a BIG NO!

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You can make a decent living online as an affiliate but if you

want to make it big in internet marketing, you need products and
lots of it. If you do not have a product of your own now, it is
about time for you to start building your product portfolio.

It does not matter that your products cannot sell. If you are in
this “cannot sell” situation, you are still on the right track!

Once you have more than one product, the second product can be
used as a bonus product to promote the first product and vice-
versa.

Once you have a product portfolio, you will start to make a lot of
money by using affiliates to bring in traffic by selling your front-
and back-end products and build you a responsive list through
sales conversions.

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Note: If you have a good product, do not be afraid to price your

product high (to give give the impression that it is a quality
product) so that you can use it as a bonus product with the aim of
getting a higher sales conversion rate.

To convince you further that having your own products is the

passport to internet marketing success, here are the other ways
which you can maximize your products to make a lot of money.

7.1 Cross Sell Products and Services

It is most profitable if you can sell to the same customers

again and again. You can only do this if you have a lot of
products for your customers to choose from.

You can therefore cross sell products to your existing

customers/subscribers. For example, in your email
broadcasts to your subscribers, you should indicate all your
product sites at the bottom of your email signature.

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There is a high chance that your subscribers would click on

the links to view the products. Likewise, the contents of your
eBooks should have links that points to sites of your other
products. With this cross selling strategy, you can get
repeated sales from the same customer.

On top of this, you can promote your other affiliate

products/services by putting links inside your eBooks.

By now, you can see that product owners can earn multiple
incomes from the sale of just one product alone.

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7.2 Sell World Wide Resell Rights (WWRR)

If you are a product owner offering WWRR, this means that

you are giving people the rights to sell your products.
However, the buyer of the rights cannot sell the acquired
rights to other people.

The buyer of the WWWR will handle the payment side (i.e.
they will receive payment from the buyers directly) while the
sales page, download page, and help desk will be handled by
the product owner. Products with WWRR would be good for
those internet marketers who do not have a product of their
own to sell and at the same time do not have the expertise to
set up the sales delivery process.

Of course, the price of the product will be many times higher

than the price of the product itself without the WWRR.
Normally, the product with WWRR is priced above
USD100 and more.

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7.3 Sell Private Label Rights (PLR) Products

One way to make money is to sell PLR rights to your

products which would allow the purchaser of the
rights to use the products in any way they want i.e. put his
name as author, change its contents and then sell it as
their own.

7.4 Sell Brandable Rights to eBooks

A s a lot of internet marketers do not have a product of their

own either to sell or to giveaway, you can offer brandable
rights to the affiliate links inside you eBook where the
purchaser of the brandable rights can replace the affiliate
links with theirs using a special software provided.
When the eBook is sold or given away by the purchaser of
the rights, credit will be given to the purchaser when the
reader clicks on the affiliate links inside the eBook and buys
the affiliate product or service.

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Conclusion
The above examples clearly demonstrate the various ways in
which you can make money if you have products of your own.
This would include the opportunity to build a responsive list
using affiliate programs, selling your products to your site
visitors/subscribers and striking JV partnerships with other
internet marketers to earn more money.

When you can use affiliates to drive tons of traffic to your site and
make sales conversions using your own products, why do you
want to be an ordinary affiliate?

This is why an affiliate does not make a lot of money as compared

with product owners. Furthermore, it is the affiliate who does all
the hard work to drive traffic to the vendor's site.

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8.0 TIPS ON CREATING YOUR OWN PRODUCTS

If you do not have a product and do not know where to start, the
best way is to create a “how to” product that solves a specific
problem.

Such “how to” product would most likely involve some technical
knowledge that you would need to pick up. For example, you may
wish to write about how to set up a SEO rich Wordpress blog, or
how to promote and monetize traffic etc. To do this, you must go
through the process of learning and bringing in the results of
generating traffic and income from your blog. Likewise, you
could also try to become as expert in social marketing. The most
important thing is you must become an expert in a particular
field before you can write and profit from it.

To get up to speed fast on your chosen area of specialization, you

should invest in eBooks on the subject matter and experiment to
to find out what works and what do not work.

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9.0 GOING FORWARD

If you want to make “a lot of money” online, being an affiliate

Should not be your long term goal. Affiliate marketing is only
profitable for product owners who use affiliates to drive traffic to
their sites and sell their products and build a responsive list.

Secondly, stop searching for the magic bullet. There is none in

the internet marketing world. Stop listening to those sales pitches
on how to make thousands of dollars the easy and fast way using
this or that proven systems. Such system is the easy and fast way
to make money for those who sell you such systems!

Thirdly, stop signing up for training programs that

teaches you to be an affiliate with all the tools that helps to
drive traffic to the vendor’s site.

The only magic bullet is to put in a lot of hard work to develop

your own products and at the same time build a big
responsive list.
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At the start, I did promise you that knowing The Affiliate

Marketing Secret is going to change the way you going to run
your internet business. If you want to make big money, you better
start creating as many products as you can. If you just want to get
by in internet marketing, remain as an affiliate!

Here is the blueprint. Create your font-end products and get

your affiliates to drive traffic to your site. At the same time,
create higher value back-end products to generate a higher
income from the affiliate traffic.

Meanwhile, start building your subscribers list now. Do not wait

until you create your first front-end product. You can start off by
creating an eBook or report that you can give away to build your
list. When you have a reasonable list size, you can then market
your new products to your subscribers.

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 The Affiliate Marketing Secret
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I hope that this eBook has opened your eyes on the reality of
affiliate marketing and the blueprint to build your internet
marketing business the correct way.

The next step is to take massive action. The are are a lot of things
to do if you want to become a product owner. My advice to you is
to take small steps and each completed step will bring you closer
to your goal.

I wish you all the success.

Gabiter
TheAffiliateMarketngSecret.com

The ALL-IN-ONE Affiliate Marketing Membership that will

teach you how to build a successful online business the right way.

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