The Brutal Truth..

Just read a post by Amit from that he shared with his readers some time back last year. Here’s what he wrote in a interview with another super affiliate Felix. Its a bit long but i strongly urge you to read this post…

Conversation with Felix:

I asked Felix how you deal with the following scenario:

You promote a new affiliate offer, get it profitable and strong. It’s making a killing, you optimize & expand it as much as you can, and then let it run on autopilot.

Everything is going fine the first couple of months, then you start to see a slight decline in sale and profits.

Okay, no big deal, probably just a slow month, right?

Then after 6 months of your campaign running on autopilot you realized that your profits have drop by 25%, 40%, or more. Sound familiar?

Felix said that you will see this steady decline in profit overtime in virtually every market you’re in! The fact is that there’s more competition entering in every niche, bid prices are going up. Also, ppc affiliates, and other advertisers are getting savvier and savvier.

Overtime this game will get more challenging NOT less.

So what’s the solution?

With his years of experience and expertise in affiliate marketing, here’s what Felix had to say: You need to accept the fact that profit margins will become thinner and thinner, and overcome this by launching affiliate offers at a faster rate.

Today you may be able to make a fortune with 4-5 solid & build up affiliate offers, 3 years from now you’re probably going to need 10-12 strong offers going to make the same net profit.

The bottom line is if you don’t launch affiliate offers FASTER than your existing affiliate offers are losing profitability, you’re in trouble.

Before you panic, here’s steps you can take to assure long term profitability of your business:

  1. For most of you out there you’ve BARELY touched the surface of the niches you’re currently in. If this is the case, you need to get busy optimizing and expanding your current campaigns. Split test your landing pages, do keyword research, test new adcopy, etc, etc. The more optimized and build up your campaigns are, the more long term & stable your profits will be.
  2. If you’re already having great success with affiliate marketing you need to start thinking about how you’re going to build a team and turn your one man show into a real company. With a team you’ll be able to launch, optimize, and build up more affiliate offers, at a faster rate. This way your companies bottom line continues to grow, even as your profit margins continue to shrink and more competition enters your markets.

Remember the average business in America has a profit margin of about 10%, expect that to be the case with affiliate marketing 5 years down the road from today.
Are you prepared for the future of affiliate marketing?

This is the exact same problem that i am facing now. Stronger competition from all over the world. Trying to have a share of the pie in this CPA industry. As suggested by Felix, the only way to beat these competitors is to have solid strong campaigns all running at auto-pilot in order to generate the same income you did a while ago.

So what’s the solution? You have to be fast in getting all these campaigns up. You have to be fast in optimising your campaigns for maximum ROI. You have to be fast in eliminating keywords that are losing you money.

Another super affiliate, Jonathan Volk , said that if you are not throwing up at least 5 campaigns a day, then you ain’t really serious in your internet business yet. Look at how fast people are moving nowadays. Scary? Yeah, it is.. But this is just part of the game.

Another factor to building a long term business not at the mercy of the search engines is to have a solid foundations of website that are build for the long term. I’m not saying fanciful and have all sorts of animation flying around. But at least, it must have all the requirements needed to make your website Google friendly. If you can pleased Google, you definitely have pleased Yahoo and MSN.

I reckon that to be able to lead a lifestyle of the super affiliate and make affiliate marketing my main source of income, i have to look long term instead of just trying to aim for quick bucks.

Last night, i redo my timetable for my school to insert in time slots for me to concentrate solely on my internet business and i would like to post it here for everyone to see as well as to remind myself of the commitment and goals that i have set for myself. Added in a 10 hour /week slot in my timetable. This should be the minimum amount of time spent per week working on my campaigns. Am planning to get some software like EfficientPPC and PPCRiches to help me launched my campaigns faster and better. :)

Time to get serious on building a long term business. I’m sick of looking at super affiliates’ profit and go wow…

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