If you are not real familiar with affiliate marketing, then you might not know about two tier affiliate marketing. But this kind of affiliate marketing could mean a very nice stream of income to you.
Two-tier is an enticing feature of a particular affiliate program that allows you to sign-up additional affiliates below you. So that when the sub-affiliates that are known as second tier affiliates, earns a commission, the affiliate above receives a commission too.
In two-tier system, the first tier of commission is just like in the usual affiliate program. The sole difference is that it has an additional tier of sub-affiliates so that when these sub-affiliates earn a commission, you also gain a commission.
Two-Tier affiliate programs are also recognized as Multi-Level Marketing. When you sign-up for an affiliate program, you are identified as the first tier and the person that you have recruited or encouraged to sign up is the second tier. If there are additional tiers, then the system can now be regarded as multi-level marketing (MLM). But today, MLM isn’t as effective and successful as it was several years ago.
That is because at present, affiliates can freely select from thousands of affiliate programs and they can quickly switch from one program to another.
Now, you shouldn’t get the idea that you can depend on your second tier to do the job for you. So if you want to use two-tier affiliate programs to your advantage and generate more income by encouraging sub-affiliates to sign-up below you, make sure that you carefully choose your affiliate merchant.
Pick those merchants who generate a stable stream of high quality products, give high or just commissions, offers real time tracking, furnishes you with a proven and tested advertising arsenal and treat their affiliates very well. You can also sign-up for the merchant who gives high visitors-to-sales conversion rate.
It is also advisable to engage yourself with a web merchant that has a user-friendly website which you can access anytime so that you can monitor your statistics including visits and sales. And if possible, choose the one with powerful marketing tools which you can use in promoting their products.
You’re just wasting much of your time and effort and worse, damaging your integrity once you promote a poor affiliate program because your visitor will surely presume that the product or service you are reselling must be dreadful too. This can ruin your reputation.
That’s the reason why it is important to pick first-rate affiliate programs. Through these, you can not only build up a good relationship with your visitor, but also, you can easily get more tiers to sign-up under you. You should also be cautious of some affiliate programs that give more importance on the profits to be earned in taking on other affiliates than on the income from sales, because you’ll just eventually find out that someone has already closed those sales without informing you.
Usually, this kind of affiliate program offers a very low first-tier payment but a sky-scraping second-tier commission.
If you want to start an affiliate program of your own, you will have to decide whether it will be a single tier or two-tier affiliate program. Who am I to say which of these two programs are better? But let me tell you the benefits you could get out of two-tier affiliate program.
First, your profit will increase due to increased sales from the customers that your second tier has referred. Second, you have a much broader customer base to which you can sell your products and services. Then, you gain a more stable income because the customers referred by your affiliate and sub-affiliates could probably develop a lifetime loyalty on your site and your products.
Plus, you have an army of sub-affiliates who will promote and resell your products and services to their visitors and subscribers.
The two tier affiliate program has been a proven winner and should be the number one choice for the affiliate that is just starting out as well as for the affiliate program managers. When the money starts rolling in from your site as well as your tiers, then you know that you have used two-tier affiliate program to your best advantage.
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