Affiliate BizDev | Finch Sells

Building An Affiliate Business With $0 Investment

May 26 2010

That’s right, I’m sniffing for linkbait again.

When I use the term “Super Affiliate”, what image springs to your mind? Is it the picture of a top baller, sprawled across a sunbed, dripping Armani, and occasionally snapping his fingers to make more dollars fall from the sky?

Is it the eternally vivid image of Shoemoney wedged between a flock of scantily clad wenches at the Playboy Mansion?

Part of the reason why most marketers will never get close to that super affiliate lifestyle is because they’re looking at it from the wrong angle. They only see the rewards, and never the groundwork that the smug bastard covered to build his platform to brag from.

Behind most successful “super affiliates” is a sound business plan. One of the things I hear quite often from new marketers is the complaint that they don’t have the money to invest, or the freedom to spend enough money to attain this super affiliate state of luxury. Have you taken the time to look at the background of most top affiliates? The only shared quality is a desire to be successful.

Some people start with $10000 to invest. Maybe they’ve tucked away their savings and prepared mentally (or read a shit ton of blogs) to get started like a virgin mountaineer would at the foot of K2. To achieve something out of nothing. To reach the summit with knowledge in their head of what lays ahead, but no real experience of handling it. These are the marketers you probably hate if you’re built in the same mould that I was.

I had zero cash to invest other than the leftovers from my monthly pay packet. I’d guess that many aspiring affiliate marketers are in the same boat. You want to make it, but you just can’t fathom a way to generate income out of so little. I think it’s perfectly possible to build an affiliate business with a lack of start-up investment, and I believe that because I managed it myself.

How do you get visitors to your site without money? How do you generate leads organically without having the spending power to use paid traffic?

Get your thief on, we’re going hunting for coupons.

It’s always perplexed me why so many affiliates fail to see the appeal of coupons. I don’t use them anymore, but I would never be sitting at home scratching my balls right now if I hadn’t sniffed them out and used them as my “risk free” assessment of paid traffic. If you can plug a $50 voucher in to your Google Adwords account, you have a very rare situation where it’s possible to make what I’d call a “return on virtual investment”.

I was lucky enough to stumble across a campaign that was making me 300% ROI on Google Adwords when I was getting started. With the money I had in my bank account, it simply wasn’t possible to spend more than $200/month without having to jump London’s Oyster barriers or steal my lunch from the back of a van. But with coupons, ANY money you make is a profit.

If you’re from the UK, and I can’t believe I’m about to recommend this…but fuck it. Get down to your local WHSmiths. Search for a magazine called .Net. Look inside and you should find a free voucher worth Â£40 on Google Adwords. Jack that shit and clear out the pile. By the time you get back from your lunch break, you should have an Adwords budget of Â£200. And it isn’t even your money. I did this and with a 300% ROI, I was technically making Â£800 from…zero.

I should use this opportunity to thank .Net magazine. The secret to Internet riches, quite clearly. Or a criminal record if it goes wrong.

I have my tongue in cheek, thank God. There are ways to get your hands on free advertising coupons without stealing. Check out both Digital Point and the Warrior Forum. You can probably buy a $75 voucher for 10 bucks from some dude with no better business idea than to steal them from WHSmiths (ahem).

The point is, when you have no money to invest, you have to be looking for opportunities like this to give yourself the launch pad to start spending your own money. It didn’t take me long to use coupons to get on to weekly payments and to generate enough revenue to be able to re-invest it in to my business. But obviously that wasn’t the only opportunity I saw along the way.

There are two free traffic sources, right under your nose, that have incredible potential for making money without investing a penny. Only the currency of your time. Those traffic sources are classified sites and Yahoo Answers. Now as I understand, it’s a lot harder to make money on Yahoo Answers these days. But do you see why it was an open gold mine?

People asking questions, people looking for specific solutions to their needs…Christ, if you’re in the business of lead gen, your eyes would water at how simple it could be to game the system in to huge profit at no expense of your own. There is easy money out there if you expand on Yahoo Answers and look further afield for similar opportunities.

Classified sites were an enormous boost for me when I was assembling my cash to invest in the early days. I’m not going to venture in to detail about how you make money on sites like Craigs List and Gumtree. But any straight thinking affiliate should be able to smell opportunity like Justin Dupre outside the gates of an all-girls Thai college.

There are many ways you can jump from having zero money to having $10000 in as little as a few months – without ever spending a penny of your own on paid traffic. But the most important leap of them all is that you realize this thinking can only ever be temporary. Once you’ve established money to invest, it’s important to shed your fear of spending it.

I doubt you’ll find a single super affiliate who hasn’t yet overcome that fear of spending money. It’s necessary to grow your business. Don’t get caught up by the fact that the gurus are dropping six figures a day on their favourite traffic sources. You will never compete with them from day one. It’s your job to scrap and hustle, to seek out opportunity, to establish your own business that gives you a chance to scale in time.

It’s a lot easier to operate CPA campaigns with enough money in the bank to be able to run on 20% ROI. The job gets easier in that respect. I like to use the mountain metaphor. If you try to catch up with the top guys at the summit, without building your base camps along the way, you’re probably going to get blown off the mountain altogether. To get to the summit, you have to grow your business in stages. And at each stage, you’re going to have to acclimatise to the new pressures and the new risks. Because the distance to fall gets a little greater every time.

It’s a slow process, and I could slap every guru out there who preaches otherwise. But even if you’re sitting at home with nothing. Zero, nada, a pint of water and Pot Noodle for lunch. All is not lost. There is opportunity EVERYWHERE for those who are willing to seek it out.

Need a larger slice of Finch?

I haven’t been posting much recently, that’s pretty obvious. I did take the time to do an interview over on Jonathan Volk’s blog though. You can check it out below.

Stuff you never thought you needed to know about Finch Sells

An Affiliate Marketer’s Guide To Site Flipping

May 03 2010

Time and time again you’ve heard me rattle on about the need to build long term assets to survive. Traffic brokering is a volatile gap-market to be working in, and if you’re not setting some time aside to expand in to other ventures, you’re going to run in to a brick wall at some point.

Site flipping is something I’ve never posted about before, and yet it’s probably one of the most interesting areas for an affiliate marketer to work in. It’s a chance to leapfrog your way to those long term business assets without needing the creativity, time or technical know-how to build them yourself. It’s the art of investing in a good concept. Something any self respecting entrepreneur should be able to appreciate.

And it’s a very simple concept to get your head around. There are many websites for sale on the net. Some of them are untapped goldmines of potential revenue that a lesser webmaster simply hasn’t thought to monetize properly. As affiliates, we’re typically a long way ahead of the average website owner when it comes to finding ways to drive profit from a site.

By scouring various online marketplaces, it’s possible to buy websites that have already been developed with outstanding content. We can then choose to apply an affiliate’s touch. Hopefully to raise the revenue being generated by the site with a view to selling it on at a greater price – “site flipping”, if you will. Of course, you can also choose to bag the redeveloped website for yourself and keep it as one of your long term business assets.

Nothing says “well diversified” like an affiliate with a few dozen automated and high-quality websites earning him a few hundred dollars each every month.

Unfortunately site flipping is one of those areas where if you go in unprepared, you’ll end up getting mislead in a market where there are 1001 tricks that a seller can use to artificially inflate the true value of a website. This post should hopefully warn you against a few tricks of the trade.

Ten Commandments For Successful Site Flipping

Behold:

1. Become a dirty great cynic. – Whenever I visit a website marketplace, I’ll make sure I’m already feeling cynical. Maybe I’ll play Radiohead in the background and pound myself in to a state of doom and gloom. The reason being because there’s simply so much bullshit that a site seller can attempt to get more money for his creation. If you go looking to buy a website with the attitude that you’ll snap up the first bargain you find, prepare to be burnt. Be super cynical and don’t be afraid to ask for whatever necessary data you need before agreeing to a sale.

2. Don’t trust the seller’s traffic stats on face value. – So you’ve stumbled across an excellent looking website and you’re salivating at the thought of 65,000 unique hits/month in a high profile niche. With a 1% conversion rate, that’s 650 sales, right? Don’t be such a retard. You need to know exactly where that traffic is coming from, the countries of it’s origin and whether the traffic will be sticking around after your purchase.

I’ve seen websites for sale boasting 20,000 unique visitors/month, but what the seller isn’t keen to disclose is the fact that nearly all of them are triggered by a pop-up on his own high traffic site somewhere in Ethiopia. Oh, and that he’ll be removing the pop-up after the sale. Get smart about it. If the seller is currently driving a shitload of low quality traffic through PPV, for example, you can pretty much disregard any value he attributes to the current traffic levels.

Assess the website as it’s own little standalone business. Is it well diversified with organic traffic being driven from a number of different sources? That’s what you should be looking for.

3. Adsense is for amateurs. – If a website is boasting Adsense as it’s main source of income, your little affiliate ears should be standing on end. Adsense, with a few exceptions, usually means that the webmaster is pretty clueless when it comes to monetizing his site. Why would you plaster ads over your website for OTHER affiliates to use your own high quality content for their own gain? Remove the Adsense, replace with your own banners, and you could flip a profit in the space of a lunch break.

4. Look out for licensed software platforms. – I got duped by this trick last year. I purchased a website built on the CubeCart platform, but I failed to check how the long the license would last. Contrary to our agreement, the motherfucker deactivated the license after a month and I ended up having to pay more than I set out for the actual site just to renew the license.

If you’re buying a website built on licensed software, make sure you nail down the terms of the transaction so both parties are clear who owns the license, how long it has left to run, and any other bullshit escape clause a slimy dealer might use to shaft you over. This includes the site domain.

5. Ask what has been spent on the site so far. – Of course, you want to know what percentage of the site’s traffic is being delivered from paid traffic sources. Otherwise you could just build the same damn site for yourself. But it’s also important to find out if the seller has paid for any banner placements, directory submissions, classified listings…anything that you might potentially have to replicate to maintain the current levels of traffic. If it’s not free, and it’s not automated, you need to know about it.

6. Is there any work required to maintain the website? – If the site involves distribution of any kind of physical goods, you need to be considering the implications of what an actual “brick and mortar” business involves. Basically, asking yourself “Am I too much of a lazy motherfucker?” If the website is selling something, make sure that the sales funnel requires absolutely minimal processing at your own end, or ideally none at all.

I only bother investing in websites selling virtual goods. You should be careful not to end up site flipping your way in to a position where you’re responsible for a dozen small businesses that each require your time and care. Automation is key, and it will dramatically increase the number of potential buyers if you choose to sell the project on.

7. What are the hosting requirements? – If you’re purchasing a very bespoke website, it may come with specific server requirements. These can be a Grade A pain in the jacksy. Nothing will frustrate you like having to purchase a brand new server to recreate a specific hosting environment for a site that currently only makes $47/month. Make sure you can handle your new baby, or that it shows enough potential to merit such an investment.

8. What are the reasons for the sale? – This sounds petty. Well, I’m a petty man. I like to know exactly why a website is being sold. My logic being that if there’s a reason for selling, there’s probably a reason for not buying. In cases of turnkey sales, my mind rests a little easier. But if a seller is boasting an automated website providing $500 of profit per month. Why would he sell it for $800? He only has to wait 6 weeks to match that ROI by keeping it. Explore the reasons for selling and compare them to your own reasons for buying. Don’t get stuck looking after somebody else’s wobbly dying donkey.

9. What do I know that the seller doesn’t? – I specifically like to find websites that are developed by passionate fans of their chosen niche. Firstly, it guarantees a level of excellence in the content. I like value that a marketer wouldn’t be able to replicate without outsourcing. But secondly, by targeting these kind of websites, you often have a raft of knowledge for monetizing the project that would dramatically increase the website value. I like to use forums as an example. Most forum owners create and develop their communities because they like to play God. Their ROI comes in the form of members and posts.

If an affiliate marketer can get his dirty hands on hours of work where the content really is king, his task of monetizing it becomes a whole lot easier. Look to buy what you cannot build overnight.

10. Sleep on it. – Hey, listen. It’s better to miss out on a promising looking website than it is to jump the gun, buy it now, and end up waking in the morning with that bitter taste in your mouth. You know, the “why the hell did I just buy a website about the culling of trees in the Amazon rainforest? Oh yeah, just because it mentioned acai in the footer” kinda taste. Yes, site flipping is a competitive business. But there’s plenty more competition for being a retard with a bunch of failed investments in your portfolio. Think before you buy, eh?

Finally, here are some marketplaces to check out for site flipping galore:

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Finch Sells is the anti-typical affiliate marketing blog, designed and written for real affiliates. If you’re interested in reading more and grabbing the odd tip, follow me on Twitter. I don’t sling you shitty ebooks but I do talk about my balls. So you’re morally obliged to, okay?

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The Super Affiliate Secret To Success

Apr 21 2010

I know. What a trashy linkbait title, right?

Your bullshit-o-meter is probably looking for one good reason to close the page so I’ll cut to the chase. Scaling a successful campaign is the secret to success. And it’s not even a secret. But you’re here now, so allow me to continue.

One of the questions I get asked a lot, normally by non-affiliate friends, is “How much do you spend on advertising in a day?”. If you haven’t trained yourself to fire back with “As much as I can”, then there’s something fatally flawed in your mindset.

A key reason why some affiliates fail to take their earnings to the next level is simply a lack of ambition. A willingness to settle for X/day and not re-evaluate targets when they’ve reached them.

I have to admit, I was guilty of this same flaw when I first started marketing. Back when rebills were as common as the sun rising in the east, I was milking a cash cow for more money than I knew what to do with. But not everybody has the instinctive “super affiliate” trait of chasing the maximum profit. You have to think big to win big.

I was trapped in the salary mindset. I saw that if I continued to earn X/day, I’d have made X/month. And that figure, being a mind-blowing leap from my work wages at the time, was enough to kill my ambition. I didn’t look to scale my campaigns any further than I was already happy with. You can probably see where I’m going with this.

A lot of marketers end up frustrated or beating themselves up over their failures to match the success of higher earners and bigger ballers. Maybe this is you. But I can guarantee one difference in their attitude to yours. They never stopped redefining their goals. They never stopped looking to scale their campaigns.

Great ideas do not run on tap. A winning concept isn’t going to slap you in the face over morning coffee every day of the week. So when you find something that works, you have to make it work big. One successfully scaled campaign will pay for months of failed concepts. And this is how many super affiliates operate. I’m elbowing myself in the balls at every mention of the term “super affiliate” here, because it’s a fucking joke and a definition invented to keep the Warrior Forum ecosystem alive.

How many times have you had a successful campaign producing profit that you’re happy with, looked at your options for scaling, and dismissed an idea because it’s too much work for too little return? You’re happy with what you’re currently earning, right? That satisfaction can kill ambition. And it will kill your ability to grow your business.

There are several steps to scaling a campaign, and I’m going to outline my usual thought process when I’ve found an idea that’s making me money. Note that these points are catered more towards social traffic. If you’re a PPC player and you can’t think of a way to scale your campaign, you’re a retard.

1 – What other age demographics can I incorporate?

I have one dating campaign which is producing 200-300% ROI. It all started with one ad targeting American 30-40 year olds. One week on and I’ve now adjusted the copy and images to target Americans of all ages from 21-65. I could have lived quite comfortably off the original campaign. It required research in to different offers but the concept was a winner.

2 – Can I develop the same concept for the other gender?

Many of you running dating ads are guilty of this. The majority of affiliate marketers are male. We have this nasty habit of targeting males as an instinctive step towards what we know we can relate to. Are you settling for 50% of what you could be earning if you opened your mind to targeting the fairer sex?

3 – What happens if I raise my bid prices?

Are you one of the many marketers who starts bidding low and slowly raises the price until you’ve reached a level of volume you’re happy with? If you’re producing 100% ROI, you have absolutely no excuse not to raise those bids a little higher and test the results. Don’t settle for the lowest bid that hits your magic profit number. If you have the luxury of bidding higher and staying profitable, DO IT. Basement bidding will only work until somebody comes along with an equally good concept and the balls to pay more for the traffic.

4 – Can I take the campaign in to English-speaking international markets?

Do I even need to stress this one? CPA offers don’t have to be restricted to the United States. I know affiliates who earn crazy money and haven’t generated so much as a single lead in North America. If you have a winning concept, it should be common sense that scaling in to other English speaking countries is likely to raise your profits. Look for similar offers and bring your campaigns to Canada, UK, Australia, New Zealand, Ireland and South Africa. With the right offer, you may even be able to hit Asian markets with large numbers of English speakers.

5 – Can I be bothered to get my creatives translated for non-English-speaking markets?

Now this is where you’re going to start shaking a lot of your competition. Only a small percentage of affiliates make the effort to translate their campaigns in to foreign languages. It just so happens that the small percentage usually consists of some of the smartest and most profitable marketers out there. With cheaper traffic and much less competition, I think you already know that you COULD scale internationally if you wanted to. It’s whether you can be bothered to take those extra steps.

6 – Can I take my successful campaigns to other similar traffic sources?

This is the final step to successful scaling as far as I’m concerned. You’ve maxed out the age demographics. You’ve adjusted your offers and creatives for different international markets. What next? It’s at this point where I take a moment to glance over the test data that I’ve accumulated in the time that it’s taken me to expand a campaign as far as I already have. I’ll take the best performing creatives – those with the highest ROI – and I’ll use them as my test barometer for new traffic sources.

To take a classic example, let’s say you’ve got a PPV campaign producing the kind of profit margins that keep your bed wet at night. You’ve optimized and developed a list of URL targets that produce consistent results. Where can you go from here? I’ve been in situations like this before where I’ve explored the URL target a little further and noticed that it actually has Content Network placements on the same page.

Easy money!

Even without content network placements, if you’ve found a really obscure URL that drives converting PPV traffic to an offer – can you get in touch with the webmaster? How about paying for a single banner placement on that page? When you consider that a large number of the visitors don’t actually have Vomba installed to spring your pop-ups, a banner placement is likely to catch the rest of the traffic. I’ve said it over and over again but there are many ways to skin the cat.

Once you learn how to successfully port your campaigns across various traffic sources and advertising platforms, you’ll begin to realize that it doesn’t take a million great ideas to be a super affiliate. One good idea, developed and scaled as far as it can go, will usually put you ahead of your peers.

I’d recommend you check out this extensive list of traffic sources for ideas of where to scale your campaigns. Scaling isn’t just the secret to earning more money. It’s the secret to a stable and well diversified affiliate business. If you’re working in this industry without ambition, it won’t be long until somebody jacks your good ideas and buys a new yacht with them. Make every winning concept count.

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