Passive Income: Does Affiliate Marketing Really Work?

Passive Income: Does Affiliate Marketing Really Work?


– I’m gonna do my very best to rein in my overwhelming
sarcasm throughout this video, but I probably won’t succeed. Hey, everybody, this is Roberto
Blake of robertoblake.com, helping you create
something awesome today. So, in today’s video,
we’re going to tackle an interesting topic that
centers around passive income, and specifically we’re gonna
talk about affiliate marketing, everyone’s favorite scam. And I’m being very snarky when I say that, because affiliate marketing is not a scam. And I’m gonna preface this by saying that, if you have friends that are married, and they’re in love, and
they’re in la-la land, they will tell you that marriage,
and love, and having kids is the greatest thing in the world, and that it’s such a joy. Right? Okay, now if you have a
friend that is single, has been jilted, has been cheated on, and is stumbling into the
bar every other night, then they’re probably gonna tell you that love is a sham, it is a lie, and that everyone is
only out for themselves, and that you’re only waiting
to be disappointed by people, because that’s their experience. Meaning that people who have been successful at affiliate marketing will tell you that it’s
amazing and it’s fantastic because it’s been very good to them. People who have tried it
and have been met with nothing but failure will
tell you that it’s a scam and that it’s a lie because
it didn’t work out for them. And you have a real life
example in the same form of life, and relationships, and love. Happy people who are in
great, healthy relationships will tell you that it’s great, and that you should go out and
find someone and get married. People who have been
disappointed, and jilted, or cheated on will tell you that it’s only setting yourself
up for disappointment. It’s the same thing. Everything usually comes
down to those kind of, you know, binary decision-making things. So, let’s talk about why people aren’t necessarily successful, what my experiences
are, and let’s deal with some of the myths around
affiliate marketing, and passive income in general. When I talk about passive income, I’m not using your
grandpappy’s definition. I’m using the definition used by people like Gary Vaynerchuk, Pat Flynn, John Lee Dumas, people who
are actually successful. And by that, I’m being, again,
snarky and sarcastic because I’m trying to drive the
point home that there is a modern interpretation of a word, and then there is a traditional
or stuffy, professional version of a word, and
those things evolve. It’s not that people are making up their own definitions or changing them, that these things do evolve. Uber wasn’t in the lexicon
just a few years ago. The lexicon just keeps
evolving and changing. With that in mind, let’s deal with one of the elephants in the room. You need a big audience to be successful in affiliate marketing. A lot of people have said that the only reason I can talk about how successful I’ve been
in affiliate marketing through platforms like Amazon,
or through web hosting, or through TubeBuddy when it
comes to a YouTube plugin, or other things, it’s because, well, you have this
large audience in YouTube and in your other social media platforms. There’s some validity and truth to that, that it makes it easier, in theory, to be successful, but
it’s not a measurement of whether you can be successful or not, just because you do or don’t have those numbers in your favor because, anyone who’s ever actually done sales and/or marketing knows there’s actually only one number that
matters: conversion rate. Conversion rate actually matters, meaning that if you have an
audience of 100,000 people, but 0.01% of those people convert, it’s not really doing that well for you. On the other hand, if you had
1000 people in your audience, and 10% of them converted,
depending on what the margin is, you’re doing fantastic. Let’s put that into perspective here. What if I told you that even
if you only have an audience of 100 people, that you
still have a disproportionate opportunity to make a lot of money. Well, how is that possible? What if you were selling a
product that has a really good conversion rate for your
particular type of audience? And what if the margin on that
in terms of your commission was really good? A primary example would be,
what if you were getting $100 per sale through referring
a service of some kind? Web hosting is a really
good example of this. Meaning that if you had
an audience of people that absolutely, absolutely need a website, and you had an audience
of 100 of them, even if only 10% of them were to
convert the first time that you talked to them about it, well, 10 x 100 is $1000, so all of a sudden, you have the capacity to make
$1000 through the commissions on that sale. And that’s not far-fetched,
because companies like Bluehost do $65 payouts in
commissions for the lowest-priced product that they offer
in terms of web hosting, for people to build a website. And there are other ones
that offer a little bit more than than, just depending on what company you’re talking to. Some of them have higher tiers
based on the product that you sell, meaning that if you
sold the second cheapest, not even the most expensive,
the second cheapest web hosting product that Bluehost offers, you’d get probably about $100 off of that, and if you aren’t sharing
shared web hosting, and you’re starting to sell
something really robust like dedicated servers,
because maybe your audience are the type of business
people that would actually buy a dedicated server, and
would need an SSL cert because they’re doing e-commerce. Well those people, those commissions? They’re a lot more, that’s
hundreds of dollars a sale. So, all of a sudden, your audience size doesn’t matter, right? Right. So that myth can be squashed,
it all comes down to what you’re selling. What if you’re trying to
do something like Amazon affiliate marketing because
that’s the easiest thing to do in terms of an affiliate program, and you still don’t have a huge audience? Well, if you’re specifically
trying to convert people and sell laptops and you’re
doing laptop reviews, I’ve got news for you. As long as the laptop’s
about maybe $600 plus, the odds are your commission
is gonna be about $25 based on the way they cap it out. If you sell a cheaper laptop,
the price could go down, but as long as you’re selling
a laptop that’s at least $600, you probably make $25. So all of a sudden,
trying to make $100 a day doesn’t seem that far-fetched. But to actually start to
be successful at this, you don’t have to make $100 a day. If you start making even $30
a day doing something online that doesn’t take you a
lot of time to set up, you’d be making an extra $900 a month. If you’re making an extra
$900 a month, congratulations, you gave yourself a 10K a year raise, maybe you’re not quitting your day job, but you can take a vacation. So, I really feel that if
you’re struggling with the concept of affiliate marketing,
it might have to do with you looking at it the wrong way, only seeing problems and
not seeing opportunities. Not crunching the numbers, doing the math, and making it practical. And maybe you’re just
listening to people who are forlorn and jilted, like the drunk guy who’s been
cheated on or the spinster, you’re listening to them instead of people who actually have what you
want, a good relationship. If you wanted to go out and
you wanted to get married, you probably should be hanging
out with and talking to, and being mentored by people
who are in healthy, happy, loving relationships, instead
of listening to people who are single and miserable, about what a relationship is or isn’t. Unless it’s, hey, don’t
do all the things I did to end up where I am,
that’s perfectly valid to take mentorship from
them if that’s the case. So again, if people are telling
you, oh, affiliate marketing is a scam, or no one
can be successful at it, or so on, so forth, I would
advise you and encourage you to look at people who have
been successful at it, find people that have
been successful at it, and figure out what they did differently than people who aren’t successful at it, and then, if they’re willing
to share that secret with you, replicate their success, do what they did, and you will probably see similar results. Just like if you went and
you found somebody that’s actually fit and healthy,
and has rocking guns, they’re probably a
fantastic person to be your personal trainer. If you find somebody that’s
not that, and is not happy with their body image,
and is morbidly obese, probably not the best person to be taking nutrition and workout advice from. Probably not a good idea. Again, I’m being snarky, but
I’m dead serious about this. That is a lot of the issue
with when people talk about marketing, or online,
or video, or YouTube, or anything that they wanna
do, if you actually look at and model people who are successful, and Evan Carmichael has a YouTube channel that’s all about this, by the way, about modeling the success
of other successful people to get there yourself, and
finding out what they did versus what you’re doing
that hasn’t worked. That matters. Not only what you did that
hasn’t worked in the past, but what other people have done that created their failure points. If you identify where
the failure point is, and then you’re able to actually
work toward addressing it, that creates the potential
for success, right? If you find somebody
who’s been successful, and you follow the same
breadcrumbs as them, then you’ll probably be successful. It’s why we use our parents a lot of times as a model for certain
things that we want, because we use them as a
baseline for success because they’re the most immediately,
readily available example. But, when it’s time for us
to go beyond the knowledge that they have, we seek
out people who are experts in a very specific thing, in the form of, when you want to play football,
you’re usually learning that from your football coach. When you want to learn martial arts, you’re going to the
martial arts instructor. When you want to learn cooking, you’re going to culinary school. There are people who have
done a very specific thing, they are good at it, and if you want to be good at that thing,
learning from somebody who’s mastered it, or is at least
reasonably good at it, is the best thing you could
possibly do for yourself. Anyway I hope this video
helped you guys understand a little bit more about
how affiliate marketing and passive income can work for you, if you actually put in the
work to make it successful, and why, in my opinion and my
experience, it’s not a scam. Like anything else, you get
into it what you put out of it, if you’re doing it
efficiently and effectively, and if you’re doing it with
an actual plan that’s been proven to be successful. Anyway, I’d love to
know what you guys think in the comments section. Also if you have a video
request for a small business and social media Saturday
videos, let me know that as well. Always love you guys’
feedback, always love the ideas that you guys give me for new videos. Like this video if you like
it, don’t forget to subscribe. Check out the other awesome
content on the channel. As always you guys, thanks
so much for watching, and don’t forget, create
something awesome today.

100 thoughts on “Passive Income: Does Affiliate Marketing Really Work?”

  1. great points! I can't do amazon because they will not accept Maine residents in they program but if made me look for awesome independent stores that sell great products and are good to customers so that problem became an opportunity;) great stuff today!

  2. Hey Roberto, relatively new to your channel but been chain watching them over Christmas. I'd be interested in any recommendations you have for promoting your website to increase readers. Obvious steps are SEO and including useful links to it from other websites but if you have further ideas that would be very interesting to hear. Thanks and thank you for the time you put into your videos 🙂

  3. Love your stuff, you've been putting out some great content. The problem with affiliate payouts from hosting is: the worst hosts pay the most. Recommending Bluehost or Hostgator is only done because they pay out is the highest, but offers the worst service across the major hosting companies out there, especially for WordPress hosting. Both owned by Endurance, the largest conglomerate hosting company in the world. So while you make the most payout, you're offering up a bad option to people who need reliable hosting with great support. /2cents

  4. Roberto, are all of the links that you typically have in the description an example of affiliate marketing? If so, are you successful at getting people to those links?

  5. I plan to get into affiliate marketing and all that good stuff. Just new a few thousand more subscribers to make it work my wild. LOL

  6. Super interesting! I have been wondering about something, though. Maybe you (or anyone else here in the comments) can help me? I have been googling, too, no answer. I have an English speaking channel but I don't live in an English speaking country. Can I also participate in American affiliate programs like amazon? I live in the Netherlands and as far as I know there is no partner program for amazon.nl (amazon.nl literally just launched maybe a month or two ago). Or do you have to be a US citizen to be able to participate in all the affiliate American programs…? I wonder what alternatives there are.

  7. I am so thankful for your channel! Your info is pure gold. I must have watched a hundred "how to youtube" vids before I found you. Thank you!

  8. How do we set up platforms to market our affiliate links? Are there any specific affiliate programs that convert better than others?

  9. I'm so glad you made this video Roberto, nice to hear so much sense being spoken and no cheese like a lot of other YouTubers do when they talk about affiliate marketing. Really appreciate this.

  10. Thanks for that, You gotta start somewhere, ive been a year building an audience on youtube, just wonder how many are people needing help, or how many are my competitors "keeping an eye on things? I guess it shouldnt matter….thanks for the upbeat content, keep it up…

  11. I feel like I am affiliate marketing challenged. I wasn't sure what program to do. I will try Amazon and see what happens. Thanks for this video. ^_^

  12. I appreciate you clearing this topic up. I signed up for Amazon affiliate, but have been going at it the wrong way. I'll be careful of who I take advice from now! lol

  13. Priceless video on about affiliate marketing. I've been stumbling about this subject for months. Thanks for putting this up! Please keep producing videos.

  14. This video just pumped me up to get back on track with my marketing. Good, practical advice in this video. Marketing is a job and needs to be treated as such with time and effort. Let's go!!!

  15. Thanks for this. I actually link to sales of music albums and dont even affiliate. I should set it up. Don't know if it makes you much money tho

  16. Hey Roberto, great video. I want to create a Fashion blog that I anticipate to have some affiliate marketing on the page.
    I also want to have an ecommerce website…….Can I do Affiliate marketing on that ecommerce website??? You know sell my stuff, promote other products too and get a commission for it?

  17. Roberto, I've been watching some of your videos on affiliate marketing. of what I've seen, so much of the affiliate marketing is technology related. now, we are in the blacksmithing/ metalworking field so we were wondering if there are any programs that might be more relevant to us.

  18. I recently had my channel (not this one, this my personal YT account) approved for an affiliate program with only 45 subs! But my channel is targeted specifically at pop culture collectibles and the company I'm affiliated with are one of the makers of such products, so my conversion rate is great for a tiny channel cause it Prime targeting with my viewers

  19. Hey Roberto! I like your direct and honest approach. You definitely don't seem like one of the marketing gurus who are just looking to line their pockets at the expense of newbies. Thank you!

  20. why do people want to become associate with amazon get a couple of 1000 bucks start your own website that introduces associates with business organizations and make money by charging the companies that want real associates who can sell their product the worst that could happen is you depend on ad revenue on your site and this can realistically cost less than $5000 to set up and earn you hundreds of millions

  21. I had very bad experience with affiliate marketing but it doesn't stop my drive. I always ask for advice and watch a lot of YouTube video still no success. I still have a positive attitude no matter what. the mentor I see is on YouTube and are willing to charge 5,000 for advice that's crazy I'll find my way just fine by myself

  22. Roberto i like your speaking style. its so clear and so understandable. you are not running fast on your word which makes your sound so clear. keep it up bro

  23. Roberto thank you for your advice. The 30$ a day model help me see this affiliate thing from a different point of view. Passive income is still passive income no matter if it's 900/month or 10,000 /month

  24. Roberto how are you doing so far with affiliate marketing? I'm interested in working with you. I run a Web to Print e-commerce and we have over 1,000s of custom print products. $99 average order & Immediately, no delay payout! Let me know if you want to get on the phone to discuss the details, otherwise information can be found at >> https://www.uzmarketing.com/Affiliate

  25. Need a crack to earn money on the web. You will get to know more tips to make money online. Simply type: "TheMakeMoneyOnlinePro" in google.

  26. Thank You So Much! I was so motivated when you said even if you just have 100 subscribers you have potential, Thank You!!!! I currently have 151 xD

  27. I have a question. Im interested in doing ebay or amazon. Iffilation program. But my answers havent been resolved . first i dont have a website. If i where to pick a topic. And make lets say a facebook page. To advertise for ebay or amazon. Would that work? And my second question is how does amazon and ebay contact and connect with you? I know email. But when do they call you? Do they ever call you ? I dont want to sell my own products . i would like to try the ebay or amazon affiliate program. To get myself out this rut im. In.
    I havent found the answers to these questions yet. Please help .
    Thank you for very good video.

  28. Great analogy, Roberto! The relationship metaphor is perfect and I can use it to explain why I'm considering affiliate marketing as a source of honest income

  29. Affiliate marketing is a job, but what a great way to sell! Could you give us some names of some of the successful AFM'ters? I'd love to hear some of their success stories. Thanks so much for the video!

  30. I am a newbie to affiliate marketing and have just registered to amazon associate program. I have recorded my first product review video and planning on uploading within the next week. I have no expectations as this is a journey of experience and just enjoying the process and learning as I go. I have recently launched a YouTube channel where I am documenting through video my fitness transformation from unfit to fit. I am totally new to social media, photography & filming and editing so I am literally learning from the basics and progressing bit by bit with the help from videos like yours. Thank you for your video, I found it very interesting and informative. I work 12 hour shifts 4 days on then 4 days off a mix of nights and days, so this gives me little time to train record it then edit and post, so at the moment I am only able to post one video a week. One question I have is 'am I wasting my time if I am only able to post once a week?

  31. I like the laptop review idea, big tickets. But I have a question Roberto, if I want to review laptops consistently as they launch in the market, do I have to invest and actually buy all those laptops to review them? I hope you will reply

  32. Man…clear, precise and to the point. Roberto, you're like a human cup of coffee. I'm woke now..lol. Thanks for being an awesome motivator. Big respect !

  33. Be around and learn from the real masters who are successful in the field is definitely the way to go, and I am grateful for learning affiliate marketing from my mentor. Thank you for the great content Roberto!

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