Affilaite Marketing

Affiliate Marketing 101: ClickBank Gravity: High Or Low?

In the last post I wrote about how to promote just any product starting with the product itself. The example I took was GDI because it was the most common question I received. Although GDI is not dead, and still people are able to get new sign ups. it is not an attractive affiliate program anymore. In fact, I don’t see it going anywhere better unless they consider enhancing their product.

Today’s post is about promoting clickbank products starting from the product. There are several factors involved in evaluating the product before you start promoting it. In this post I’ll focus on the gravity index because the debate about it is very controversial.

First, what is ClickBank Gravity Index

Gravity: Number of distinct affiliates who earned a commission by referring a paying customer to the vendor’s products. This is a weighted sum and not an actual total. For each affiliate paid in the last 8 weeks we add an amount between 0.1 and 1.0 to the total. The more recent the last referral, the higher the value added.

That’s the definition given by clickbank itself. As you see it can be taken as an indicator of the sell-ability of any product, and also as an indicator of the competition. The higher the number the bigger the competition.

So, for a product with a gravity index of 400 you are competing with between 400 and 4000 other competitor, while for a gravity of 40 you are competing between 40 and 400 other affiliates.

When I first started I listened to a guest in one of Mike Filsaime’s workshops who was talking about competition and how one can see it like a big wave, if you stand in the way you’ll definitely get wet. So are niches with high competition. If you promote products in this niche you’ll definitely make some money. But he ignored the Return On Investment. You could make money in competitive niches, but if your ROI is negative the net result is losing money.

How I see competitive niches is totally different. I see it as a race in a funnel. With a certain number of racers they can move freely and pass one another without being hurt or damaged. The higher the number the harder it is for new racers to get through to the front line without being hurt or even completely destroyed.

So, to pick a niche (not a product) from clickbank I do the following:

  1. When I consider a niche I calculate the sum of gravity indexes of all of the products in that niche. If too high I go for subniches unitl I find a sum of gravity indexes below 100.
  2. The next step is test the competition. I check for adwords ads for those or similar products. If I find between 3-10 ads I pick that subniche.
  3. Keyword research comes next. If the first position for the most relevant keyword costs $1 or less per click I start a direct link test campaign. If it converts I scale it up with more keywords and ad copies, and go for building the three types of websites for it: the blog, the review site, and the lead capture page. If not I pause it for now and test something else.

And because this is what I do for living, I do it every day. Every single day I start a new campaign as described above.

That’s it for today, have a good day.

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Earning Online

Make Money Online? Or Build A Business Online?

The Internet is the greatest media for earning huge amounts of money since as far as I can find in the history of economics. All forex, stock trading, auction sites, shopping malls, advertising agencies … you name it, are all operating online. So whether there is a possibility to make money online has not been a question since the late 1990s.

The real question becomes whether to just make money or build a long term business online?

How to make money online has been explained in hundreds and hundreds of ebooks, courses, coaching programs, membership sites, and even for free on blogs and Web 2.0 pages. It’s just a matter of picking up a system and sticking to it until you make the money you want.

Building a business, on the other hand, takes more than just learning a bunch of techniques and applying them. Building an online business, like any business, requires a vision, goals, a plan, resources management, and action to start this business and make it grow over time to achieve the desired goals.

What makes a difference between earning money online and building a business online is how you perceive it. The two might require the same activities and might result in the same thing, which is money, but one is taken as a hobby, and one is taken serious. The hobby might make you some money now, and make the same money a year later. A business, however, should not settle for just making the same amount of money. A business should be making 2X, 3X, 4X … of what it generated a year before because it should be growing.

What does that mean to you?

There are courses out there to teach you how to make money using all free tools available for every one on the Internet. Bum marketing and one week marketing are just examples. Those courses are great courses that are proven to work and many people are happy with their results. They are happy because they are making money.

They are making money, but not building a business. When you invest time and effort on putting content on someone else’s website because they allow you to do so and you use that to get people to click and buy through your affiliate link, when you do that you are leaving tons of money on the table and helping the owners of the sites you used to grow their virtual properties.

With the business mentality, you should be putting your content on your own website. Give your own domain more value by adding more content day after day instead of putting your content on someone else’s website. The more valuable content and back links you get to your site the more your sites value will grow. This is an asset that you can keep working for you and making you money, or you can sell it for a big some of cash if you need.

Also, funneling traffic to your affiliate product is not a good practice. You worked hard to get that traffic to click that link. Make sure you get those people to come back to you whenever you call them. Get their names and email

addresses and build your LIST. Your list is your most valuable asset that no body can take from you. Your list could be your virtual ATM machine. All what it takes when you need cash is to find a product and send an email to your list recommending this product. That’s it! Just send an email to your list.

I am not against such courses as one week marketing. In fact I highly recommend one week marketing for beginners until they learn how to build their own websites, capture their visitors’ contact information, and have money for all of that. The beauty of one week marketing is that you can start with $0 budge and make good money with it. But it’s just a phase.

After you have enough money to buy a domain name and hosting do it immediately. Build a niche site and change the links you’ve built with one week marketing campaigns to point to your own niche site instead of going directly to the sales page.

Once you have enough money to afford an auto responder do it without a delay and start building a list of your niche site visitors. Who doesn’t buy immediately on the site could buy a month down the road if you follow up with the proper email series.I have seen sales pages converting 7 times better with the follow up series vs. without.

Once you have these two (your site and your list) start buying traffic from search engines and other advertising platforms. This is the reliable source of traffic that you can buy more of. What you pay for is what you can build a business on. Organic traffic could disappear if search engines change their algorithms or if a competitor succeeds in kicking you out of your position. Paid for traffic, on the other hand, has to be delivered to you … or else.

Start making money online with one week marketing, article marketing, bum marketing, or whatever method of marketing you like. But once you have the ability to establish a business on solid foundations of virtual real estate (your website and your list) and reliable sources of traffic, don’t wait a minute.

And remember this: The more you wait the harder it will get for you to do it because every day hundreds and thousands of people start online businesses in all kinds of niches. The more you wait the less niches will be available and the harder the competition will be.

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