Affiliate Marketing – How To Start Part 2

Thanks for reading Part 1…”Affiliate Marketing – How To Start Part 1.”  This is Part 2 of “Affiliate Marketing – How to Start”

In part 1, we learned how to find a good affiliate company.  I also had you examine your requirement and a 4 step process along with a matrix of various affiliate companies you searched on Google.  I also ask the questions if this is the right business model for you.  Your Yes or No answers will determine if you should move forward or look at something else.

The important thing is to be realistic in your desires.  As I said in Part 1….Don’t Kid Yourself, Is This Something You Want To Do or Is It Just A Hobby?

Let’s once again define affiliate marketing and how simple it really is:

affiliate marketing


a marketing arrangement by which an online retailer pays commission to an external website for traffic or sales generated from its referrals.


It’s a very simple business model.

In the case of blogging, a blogger will become an affiliate of a selected company and make money from being an affiliate by placing a link, button or banner within a blog post that will lead the readers to that product or service.

Affiliate Marketing would not be complete unless I discuss Affiliate Companies that operate a little different but similar.  These companies offer courses, training and their own products to market.

So in Part 2 I will review these companies basic models.  Keep in mind there are two forms of Affiliate Marketing:

  • The first is shown above, in which a commission is paid from a company and there’s normally no cost to become an affiliate.
  • The second is a company that offers a product to help affiliate marketers.  Again a commission is paid for the sale, but the company also offers commission on recruiting other affiliates. These companies normally have a paid membership or monthly fees.

So as not to confuse you, Part 1 was a discussion on marketing a company products such as clothing, electronics, toys, household products, outdoor products, healthcare products, etc and being paid a commission.  Part 2 of Affiliate Marketing is a discussion on companies that offer training, courses and recruiting other affiliates.  Those companies will be reviewed in future articles.

Paid Membership Affiliate Companies

In Part 2, we will examine Paid Membership Companies or companies that offer to teach you Affiliate Marketing.  Why is this important?  Remember, as a Affiliate for a companies product, your job is to market that product to a customer.  You get paid a commission on that sale.  How you do that is the basic idea and training from these paid membership companies. You need to know the difference between the two business models.

Many new affiliate marketer need help and advice on how to market online.  These paid membership companies offer that much need help and advice for the beginner as well as the professional marketer.

To become successful you need to know not only how affiliate marketing works but the various avenues that lead to that success.

So the question?  Did you complete the exercise in Part 1?   Good.  Experience has shown that those who follow-up are more likely to succeed.  By doing the exercise you are far and away better than most.

If you didn’t do the home work...go back to Part 1.

Now lets start Part 2.  This will be the longest article, but stay with me for some good ideas.

Here are what we will be discussing in Part 2:

  • Advantages Of Affiliate Marketing.
  • Be Careful In Selecting A Membership Affiliate Marketing Company.
  • How To Succeed In Affiliate Marketing.
  • Choosing The Perfect Membership Affiliate Company.
  • Time And Money.
  • Conclusion.

You will notice that the discussing point are the same or similar to the discussions in Part 1.  Why?  Because just like marketing a product from a company, joining (paid membership) and marketing products from a training and coaching company should be carefully examined.  So let’s begin:

Advantages Of Affiliate Marketing

How do I sum up all the advantages of Affiliate Marketing in one paragraph?  Not possible.

However, there are many benefits to Affiliate Marketing for the home business owner.

  • First, you have no product development cost.  That was done by the Affiliate Company.
  • Second, you have no inventory or stocking of product.  The Affiliate Company does that for you.
  • Third, you have no product returns or credits.  The Affiliate Company does that for you.
  • Fourth, you have no ongoing development.  The Affiliate Company does that for you.
  • And finally, all you do is to drive traffic to the company and they do all the work while you get paid…how is that?

Now let me expand on that last statement.  Not all Affiliate Companies are created equal.  Some will sell products for you as part of the affiliate program.  Some companies only have one or two products and is usually a one-time-sale.

My personal preference is to drive traffic to the Affiliate Company and have them sell the product as well up-sell.  After all who knows the product better than the company?  For each sale they make, I make a commission.

There’s more but that will give you the “highlights” on the advantages of Affiliate Marketing.

Be Careful In Selecting A Membership Affiliate Marketing Company


Here I’m going to talk about companies that offer programs that will teach, coach or get you to sign up for their programs.  Again, the following is to make you aware of what I is call “Membership Affiliate Companies.”

Membership Affiliate Companies

One of the biggest problems with Affiliate Marketing is that the industry is laden with scams. Every new Affiliate Marketing company calls itself “the next biggest thing” and claims to be generating “more industry buzz than ever before.” It’s just the way the business works.

While some of this may be true, remember to do your “do diligent” study.

With that in mind, you need to be careful about what you read online.  Like you did in Part 1 of determining your product and the company you want to market/product, you must also do your homework on Membership Affiliate Companies:

  • Who are the owner/s?
  • What are their track records?
  • What are the product offering and is it really new or same-o-same-o with a different cover?
  • Is the product in demand?
  • What is the commission structure?
  • What is the recruiting structure?
  • Is or are they a Pyramid?

In the Affiliate Marketing industry, what you read comes in two forms:

  1. The site is trying to convince you to join this Membership Affiliate Marketing Company so you can benefit with their products and “Be The First.” Not always good to be the first.
  2. The site might trash a particular Affiliate Marketing Company and how they are better.  Good companies will avoid this practice.

Just be careful about what you read online and take everything with a grain of salt.  Again do your home work.

How To Succeed In Affiliate Marketing

I will open with a discussion on Network Marketing.  Why, many Network Marketers join Affiliate Marketing because it is much easier.

Network Marketing or MLM has one of the highest failure rates in the business world. One of the best studies on Network Marketing was performed by Dr. Jon Taylor. Dr. Taylor analyzed 400 different multilevel marketing companies and published his reports in an eBook called “The Case (For And) Against Multi-Level Marketing.” His findings were pretty interesting:

–  In the first year of operation, a minimum of 50% of all Network Marketing representatives will leave the company

–  After five years of operation, a minimum of 90% of Network Marketing representatives will have left the company

–  By year 10 of operation, only those at or near the top of the company have not dropped out and a minimum of 95% of representatives have left the company

It is also widely publicized that most people will actually lose money through Network Marketing. Since you pay to join, many people simply can’t recuperate that initial cost of joining plus stocking inventory. Thus, they leave the company at a net loss.

Another problem, just like Affiliate Marketing, Network Marketing is not for everyone, however people in Network Marketing try to sign-up anyone that breaths.  Therefore the high failure rate.  Affiliate Marketing on the other hand is simply taking a companies product and marketing it to make a commission.

Some studies have put this loss rate as high as 99%. In other words, only 1 out of 100 people who join a Network Marketing company could make a profit.

To put those numbers in comparison, approximately 44% of traditional small businesses survive the first four years and 31% survive the first seven years. Only 39% of businesses are profitable over their entire lifespan, and 64% of all small businesses fail within 10 years.

Another issue with Network Marketing is lack of training and personal coaching.

Now, if you’re the type of person who doesn’t have sales skills, social connections, or good work ethic, then you’re not going to succeed at most businesses. That’s particularly true in Network Marketing.

Why did I go into such statistics for Network Marketing?  Affiliate Marketing has better odds in succeeding with people who work from home or home based business.  The failure rate is still high, but that is because most people go into Affiliate Marketing without  “blinders on” over complaining the program or look for the next “shinny object.”  For the few who study the programs, focus and works with the advice given here are better prepared to becoming successful

Does that mean you will be successful?  Don’t know.  But doing your homework and picking the right Affiliate Company, you have a good chance of success.

To answer the question:  “How To Succeed In Affiliate Marketing”, your job is to become a student in research, focus and determine if this is the right business opportunity for you.  It takes time commitment, focus and determination.  If you’re not willing to do what is necessary and go 100% toward your business…I will tell you to wait or look at something else.

How to Choose The Perfect Membership Affiliate Marketing Company

Home Based Business Search
Home Based Business Search

One of the biggest challenges for those new to the Affiliate Marketing industry is learning how to pick the right company with which to work with. There are hundreds of companies out there that all promise pretty much the same thing: fast profits, easy money, make money while you sleep and a great lifestyle.

If you have done your homework you will find that while some of the statements are true, most will not tell you that you have to “WORK”

Sifting through these offers can be challenging. Here are a few tips that will help you distinguish good Membership Affiliate Marketing Companies from bad ones:

Avoid Companies that Over Promise

One of the biggest red flags in the Membership Affiliate Marketing industry is a company that over promises. Does the company claim you could be a millionaire in six months? Does their website talk about luxury car benefits, travel benefits and other incentives?

If you’ve done any Google searches on affiliate marketing, I sure you saw someone standing next to a new Jaguar or BMW and how they earned the money while setting in front of the TV. Good Affiliate Marketing companies don’t need to over promise: they let their representatives do the talking.

  • Avoid Weird Presentations

Some Affiliate Companies perform a group presentation about the product, while others simply give you a one-on-one presentation.  The trade mark is hotel meeting or a direct mail to the house.  You can find countless offers like this on Craigslist and your local classifieds.

  • Watch Out for Companies that Focus on Recruiting

You have heard about pyramid schemes?  In a pyramid scheme, the company only sells recruitment/memberships and doesn’t sell a legitimate product. Pyramid schemes are illegal. That’s why it should be a red flag if you see a company focused heavily on recruitment instead of product selling. It’s not a definitive indicator of a scam, but it’s a sign that the company could be shut down in the future.

  • Choose a Company Whose Product You Genuinely Want to Offer

Maybe you had a good experience with a weight loss supplement. Or maybe you enjoyed the health benefits of some high-priced coffee or tea.  Maybe you found a coaching product or a “How To” product that people could see a benefit in owning.  Whatever the case may be, your situation is guaranteed to be easier if you’re selling a product you genuinely want to offer.

  • Avoid Companies that Don’t List or Describe their Products

When researching Membership Affiliate Companies, you’ll inevitably encounter companies that refuse to describe their products. They’ll dance around questions like “What do you sell?” and talk about the tremendous opportunity available instead of focusing on the actual products. At best, these companies are selling a crappy, unsellable product. At worst, they’re pyramid scheme scams.

What To Look For:

  • You want to look for good leadership, people who have been in the trench and have become successful.
  • You want a product in demand.
  • You want quality coaching and maybe even personal coaching.
  • You want a proven marketing plan that is easy to implement.
  • You want to know the commission structure.
  • Is the program 100% based, or a small percentage based.
  • Is there a “pass-up” or do you give up a number of prospect to your up-line or down-line.

Training is important. 

  • What does the company offer in training?
    • One-on-One coaching
    • Live training
    • webinars
    • videos
    • blogs
    • etc.

Study the market.  And if you do make a mistake in your choice, learn from the mistake and move on.  You will be wiser knowing what to avoid or what to look for.

Personally, I have made many mistake.  I joined several Membership Affiliate Companies and failed.  I spent hundreds even thousands of dollars only to end up with nothing to show for it. I may not have had success with these companies, but I did learn.

I will tell you that I have never made a bad decision, I have never made a mistake.  I have learned a lot through trial and error…never a mistake.  It’s all how you look at it.

Time and Money


Most Membership Affiliate Companies require an initial sign-up expense or a membership. This expense is the cost of doing business but it could also pay a commission of the person who recruited you.  There is nothing wrong with this structure.  After all if you are able to start your home business and make money with your business possibly even thousands or millions doesn’t it make sense to pay a small commission to the person who invited you?

What does it cost to start a business?  That will vary from company to company, but you can expect to pay anywhere from a few hundred dollars to several thousand dollars.  Many companies I have looked at requires a membership of $500 or less.  Then within the program are various options.

  • For the basic membership you have access to “these products” and a “commission structure of xxx.”
  • For the upgrade premium membership you have access to additional product and a commission structure of xxxx.”
  • For the platinum membership you have access to all the products and a commission structure of xxxxxx.”

The advantage here is you can choose your level of commitment.  On a small budget, go for a basic membership and as you grow, upgrade your membership.

Many companies also require a monthly membership.  Work that into your budget.


If you remember, this was one of your homework assignments.  Any business requires time to become profitable.  Most brick and mortar business may take 5 plus years to become profitable.

Affiliate Marketing may take months become profitable.  That depends on your level of commitment, training and desire to make money.

Plan on spending 20 to 25 plus hours per week part-time on your home based business in the beginning.  You will find that after you build knowledge and momentum, you may cut back.  Many full-time Affiliate Marketers may spend 10 to 15 hours per week and take long weekends with the family as a reward for the time they spend working.

Unfortunately many work at home business operate the business as a hobby or only “dip their toe” in testing the water.  After a few weeks or months they go back to their normal lifestyle saying “I tried it and it didn’t work.”  Affiliate Marketing WORKS…only you and you only can determine if the program WORKS.   By putting in the time, commitment and focus on your job at hand you have an opportunity to earn a great income.

If your are the type of person that is a “dip your toe” and “try it'” my best advice is not to do it.  Stay with your current job or situation and look for something else.

Affiliate Marketing takes commitment, time and a lot of energy to get it going.

A good friend of mine, Zig Ziglar made a statement:  Home based business is like a steam engine.  It take a lot of energy to get it to move even an inch.  Apply more energy and it will move one foot.  Apply more energy and the steam engine will begin to move faster.  After a while, it needs less energy.  But the amazing thing is that once it builds enough energy, just try and stop it!

Can I Really Do This Part Time?

Many people start successful Affiliate Marketing businesses part-time.  They might have a full-time job to fund the startup capital for their new business.  Advantage here is that you have a job with income while you build a business part-time.

Question 2But can you really be successful in either Affiliate Marketing paid commission or Membership Affiliate Marketing if you do it part time?

Many Membership Affiliate Marketing companies promise that you can make thousands of dollars per month by working part-time. But in reality, creating a lot of money with a part-time effort in Affiliate Marketing is rare.  Has it been done?  Many times and I can name dozens of people who have created massive incomes part-time.  For the “average” person (like me) it can be done with Work!.

When working part-time, many people aren’t willing – or able – to put in the hours and money to make their business succeed. When working full-time, you might have a different outlook: you’re more willing to invest more time and money into the business, which then increases your chances of success.

Another problem with working any Affiliate Marketing part-time is that some of the biggest rewards only come to the highest levels of your commitment. If you run this as a “business” instead of a hobby, your success is almost guaranteed.

Can you make money with Affiliate Marketing part-time?  The answer is YES.  Many successful people have made a success with the business and gone on to become full-time entrepreneurs.

Important…go back to your homework assignment in Part 1:

  • Do you want it bad enough?
  • Are you willing to put in the time?
  • What is your level of commitment?

Go through Part 1 again and Part 2 again.  You will find something new each time you reread and maybe pick-up a gold nugget or two.

Discouraged with the above statements?  Well don’t.  Many successful people started part-time.  Can you make a good income part-time?  Of course you can. It is your level of commitment that will determine how successful you will be in either Affiliate Marketing or Membership Affiliate Marketing.


Congratulations on reading this far.  If you have read Part 1 and Part 2 you have shown your level of interest.  Most people would have gone away before getting this far.  Again, congratulation.

Can you make money with Affiliate Marketing?  Yes you can with the right company, right products and support.  Can you do this part-time?  Of course you can.  Does it take a lot of money to start your business?  That can vary from a few hundred to a few thousands of dollars.  Plan your budget and work your plan.

Are there bad programs?  Yes…do your homework, be a student before you begin any Affiliate Program.

How about time?  Time is the biggest enemy to any business.  Time to become profitable and time to become disillusion and time to quit.  Knowing that time is an issues you can successfully determine how much and when you can devote to your business.

Understand that your commitment will shorten the time.  Coaching and mentors will shorten time.  A proven plan will shorten time.  And no one ever succeeded by quitting.

If you found value in this article please share with others.

Your homework: 

Sit back take a deep breath, close your eyes for a moment and relax.  You deserve it by getting this far.  Look at your notes.  Study the industry.  Don’t make rash decisions.

DREAM.  What would it be like to be working from home on your own hours?  Report to work when you want.  Take a day off without asking for permission.  Work from your laptop anywhere in the world.  Having more money coming in than you can spend.  Give a tip to a waiter/waitress of a hundred dollars and see the look on their face when you say, “thanks.”  Fix up the house or purchase a new one.  Take a month long vacation with the family.

My thanks and I look forward to seeing you sometime on the beaches of the world.

By the way, I have some good news for you today.  If your are looking for a great Membership Affiliate Marketing Business, to either help you with your Affiliate Marketing or to grow your existing business, Wealthy Affiliate is your answer.

You can start with a no cost 7- Day program to see if this is the type of company you want to join.  After the 7-Days, make a decision, cancel or become a member.  By becoming a member, you will have, not only a program you can promote, but a training platform and tools to be a highly successful affiliate marketer.

What I did was to start my Wealthy Affiliate affiliate marketing business with their Free Trial.  I then became a VIP member for less than a long weekend at a resort.  I highly suggest you do the same and you can get that program by CLICKING ON THE BANNER.




About the Author


Bill Fletcher is a long time marketer and coach. My goal is to help anyone who is interested in building a business through a systematic approach to success. Affiliate Marketing 100 will guide you with the help of some of the best articles and coaching program available anywhere. We train you in all categories of business building and success management.

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