Backend Profit Secrets and Viral Marketing


Once you truly understand the power of backend profits, you'll explode your marketing results and create an unstoppable viral machine.

The techniques I will reveal to you have often been taught in many marketing courses and articles...but they are still underutilized because of two words -- "tunnel vision."

Backend profits means the additional income that you earn from a customer. The first purchase from a customer is the front end profits while the second purchase and so forth will be your backend.

The really good marketers understand that the most money will be made on the backend.

Here are a couple reasons why:

You can charge higher prices for backend products because you've already built a relationship with your customer.

They already know the quality of your product and of your customer service. You no longer have to convince them that you're credible and that your information is good.

You only have to convince them that your backend product is higher quality than your front end product and that they NEED the backend product.

Trust is one of the single most important components of selling. You can earn that trust by providing a good front end product.

Most marketers do not truly understand the power of the backend and that's a fact.

I know because I see very few affiliate programs which pay higher than 50% commission.

Think about this for a minute.

Let's say you sell your product for $50 and you give 50% commission. You have 5 affiliates who each make 10 sales each.

You pocket $1,250 after paying commissions. You now have 50 customers. Five of them end up purchasing your $100 backend product for a profit of $500. Total profits is $1,750 for you.

Now let's consider giving away 75% commission to your affiliates.

By giving away higher commissions, you get 10 affiliates instead of the 5. Ten affiliates making 10 sales each at $50 will make you $1,250 -- which is the same front end profits as before.

Now you have 100 customers and make 10 backend sales for $1,000 profit.

So how did you end up making more when you increased your affiliate commissions by 25 percent? You made it on the backend.

Here's what is happening behind the curtain as you increase your commissions.

You gain more affiliates and subscribers as those affiliates send you more traffic to your site.

Those affiliates are happier with their higher paycheck because you gave them higher commissions. Therefore, they will continue to send traffic to your site.

This cycle increases your traffic over time as you gain more customers, more affiliates and more subscribers.

It's the ultimate viral marketing machine!

More subscribers equal more profits. More customers equals more profits. More affiliates equals more profits.

So is all that worth a hit on your front end profits?

Yes!

The problem most people have is they can't stand to see their affiliates making more than them. Tunnel vision keeps them from seeing all the extra subscribers, customers and affiliates which could be theirs.

Please remember one thing about running your affiliate program.

A 75% reduction in profits is better than a 100% reduction, which is the case if the affiliate had not made ANY sale.

In summary, you should create an affiliate program for your front end product which gives away a majority of the profits.

You should also spend your time creating multiple backend products.

Gary Huynh is a full-time online information marketer. He currently earns money from affiliate programs along with running multiple membership sites.


More Resources

How to Succeed With Any Affiliate Program
In the early days before the internet was born, starting a business was like taking a giant leap into the unknown. Aside from the involved time and money, it also causes lots of worry.
Free Affiliate Marketing Page Pays $755 in Commissions From its First 100 Visitors
Affiliate marketing is an easy way to get started making money online. You just sign up to be an affiliate, and refer new customers to the sales site(s) with a special, coded affiliate link.
High Paying Lateral Keywords
If you run AdSense on your site you know that some words pay more than others, much more in fact. More than likely you have also learned that terms like "structured settlements" and "mesothelioma" can produce incredibly high PPC revenue, if they show up on your site at all.
Is There Any Money On Over Saturated Markets?
Well that depends ultimately on you! Let me explain?I have tackled a few over-saturated markets that are just splattered everywhere on the internet and at first when I tried I pretty much failed miserably. You wanna know why?Because I was doing EXACTLY what every other bloody Tom, Dick and Harry was doing? I was trying to promote products that were already being marketed the exact same way everyone else did! I took the obvious trail that most others do!But of course I wasn't going to give up without a battle - I had to put my thinking cap on, I knew there had to be a way so I didn't give up! I got creative and looked for ways to promote these products that sell so well (Heck who doesn't want to sell a product that people jump at right?)Here is what I did? I started marketing these products tactfully in other niche's I had.
Pros and Cons of Third Party Online Affiliate Networks
Online affiliate marketing has taken the internet by storm and has proven to be a highly effective way of maximizing website revenue. Why limit yourself to selling your own products when you can profit by selling somebody else's too?There are thousands of individual affiliate programs offered on the internet, many being through third party affiliate program networks such as OffersQuest, Commission Junction and Linkshare.
How to Easily Increase Your Affiliate Commissions in Two Days or Less?
Clearly, the people benefiting the most from affiliate programs are the companies running them. My goal here is to help you - the affiliate - earn more money.
Marketing A Single Affiliate Program is the First Key to Success
There are a lot of affiliate marketing programs out there that claim to make you more money than you could possible spend; when in true reality, you've just sign up to be another person that the company can send you emails to buy their products!Have you fallen for that kind of bait? I have before!! Hook, Line, and Sinker!!!Well the First KEY to really making an affiliate program work for you is just by sticking with the one program you've signed up for until you make a profit. It gets quite easy to keep signing up for program after program in hopes that you will finally hit pay-dirt.
3 Ways to Squeeze Even More Revenue Out of Your Traffic Equaliser Pages
Ever wondered if, apart from Google Adsense, there were other ways of generating real revenues from Traffic Equaliser pages.There has been some great results using the above two programs, running Google Adsense results on page as a fast way to driverevenues on a huge number of boiler plate pages.
Preparation - the Way to Success
I have two questions to ask you. One.
5 Tips If You Want To Be A Reseller
If you are planning to be a reseller for a product or many products, here are five great tips you can use for your own![1] A good way to source for quality products with great demand is to purchase a yearly (or even lifetime!) access to membership websites dedicated to resale rights. These membership sites offer products such as E-books, software, templates, and audio/video with resale rights.
The Logic Behind Niche Content Profits
In researching most successful online businesses, you start to notice a trend emerge. As far as websites go, there are a few giants such as Yahoo and MSN that cover every topic imaginable.
Tracking Phone Sales Is Important To Your Affiliates
Today the majority of affiliates are looking for compensation when your customers call in their orders by phone. One of the first things they will look for when thinking about joining your affiliate program is to see if you have an order phone number on your site.
8 Ways To Increase Your Affiliate Commission
Here are 8 easy ways to boost your affiliate income:1) Collect your visitor email addresses by providing free reports.Offer a free report to your visitor.
Looking For An Affiliate Internet Marketing Tip?
Here's a few affiliate Internet marketing tips that can help you earn extra money for little effort on your part. Do you currently have a web site that sells products? If you do, developing an affiliate program may be the opportunity you are looking for.
Expanding Your Business With Affiliate Programs
Many people think that they can only get involved in e-commerce if they have a product or service of their own to sell -- or a lot of products and services to sell. But this simply isn't true.
Top 3 Things All Affiliate Marketers Need To Use
Every affiliate marketer is looking for exactly what allows those truly successful markets to make the big affiliate paychecks. It seems at times to be almost a magic formula! It is not.
Earn Top Dollar With Your Affiliate Monthly Income Stream
Virtually all online marketers have attempted lots of schemes and programs. Most online marketers have dropped a load of bread attempting to get going.
Affiliate Programs - Are They A Business For You?
Many people look at affiliate programs as one of the easiest and best ways to start a profitable online business. The reasons for this are you don't have to worry about having your own product, collecting the money, shipping, or customer service.
5 Mistakes to Avoid When Choosing an Affiliate Program
When people decide to join an affiliate program to make extra money, or to have a full time job, they often do so with illusions and no idea of how the affiliate program actually works. Read the following top 5 mistakes people make when it comes to choosing an affiliate program and avoid these mistakes at all costs.
Google AdWords Clobbers Affiliate Sellers
First, we must understand their point of view. Unlike some other search engines, Google is committed to providing the best quality search results possible.

More Affiliate Revenue Information:

Related Articles

Making Money with Affiliate Programs - Part II
In this holiday season online shopping is hotter than ever! According to US Commerce Department online sales continue to grow with a robust 25-27 percent this year over 1992. Online holiday shopping at a rate of 10 percent is also considerably outpacing the 5.
The Lucrative Power of the Digital Era - Info Marketing
There are certain things we need in life that must be bought and replenished time after time - toothpaste, guitar strings, food (a personal shopping list of mine). Food goes off.
8 Reasons Why Affiliate Marketing is the Better Option
Many people are confused when they first become iterested in internet businesses, they find themselves asking what type of busisness is best for me?Well I can't answer this for you but I can certainly give you a few pointers in the right direction and my personal opinion. So here they are:1.
9 Steps to Success in Affiliate Marketing
1.Join an Affiliate Program: Join programs that interest you personally.
Is There Any Money On Over Saturated Markets?
Well that depends ultimately on you! Let me explain?I have tackled a few over-saturated markets that are just splattered everywhere on the internet and at first when I tried I pretty much failed miserably. You wanna know why?Because I was doing EXACTLY what every other bloody Tom, Dick and Harry was doing? I was trying to promote products that were already being marketed the exact same way everyone else did! I took the obvious trail that most others do!But of course I wasn't going to give up without a battle - I had to put my thinking cap on, I knew there had to be a way so I didn't give up! I got creative and looked for ways to promote these products that sell so well (Heck who doesn't want to sell a product that people jump at right?)Here is what I did? I started marketing these products tactfully in other niche's I had.
5 Tips If You Want To Be A Reseller
If you are planning to be a reseller for a product or many products, here are five great tips you can use for your own![1] A good way to source for quality products with great demand is to purchase a yearly (or even lifetime!) access to membership websites dedicated to resale rights. These membership sites offer products such as E-books, software, templates, and audio/video with resale rights.
Affiliate Revenue For Beginners
Affiliate programs can be a very powerful source of income for your website and many meaning the majority of websites on the net uses affiliate programs to generate revenue from there websites and many are making lots of cold hard cash. Here are the most common terms that you will encounter with affiliate programs-Cost Per Click (CPC) or Pay Per Click (PPC)-Cost per thousand (CPM)-Cost Per Action (CPA)-Cost Per Sale (CPS)Cost Per Click (CPC) or Pay Per Click (PPC)The cost per click-through; the fee charged every time a user clicks on a banner ad or HTML link.
Launching Your Affiliate Program Correctly
To any Internet Marketer these days an affiliate program is absolutely essential marketing method of achieving a decent e-growth. Allowing others to promote your products or services can be the most efficient way of selling your products as you only pay for successful results, whether these are leads, sales Or traffic.
Why Top-earning Affiliates Have Their Own Domains And Websites
Many affiliate programs usually provide special web pages for their affiliates. This is one of the reasons why it may appear very strange, at first, that most top affiliates and the high earners from affiliate programs will most certainly always have their own websites, complete with their own domains specifically for promoting a certain affiliate program that they are involved in.
Whats LinkShare, And Do I Need To Use It?
Online affiliate marketing is one of the most effective, cheapest and fastest ways to promote merchandise. With millions of people getting access to the Internet everyday, there's a great chance for a merchant to introduce his products and services to a wider market, thereby, maximizing his revenue.
Free traffic vs. Extra Revenue - Earning From PPC Search Engines
What are the Search Engines?A Search Engine is special database-driven web site designed to index and categorize internet addresses. Search Engines focus to help people to find information stored on the Web.
Leverage Your Way to Profits With Joint Ventures
You can't conduct business on the internet for very long without hearing the term "Joint Venture", but do you really understand them or how and why a Joint Venture works?In broad, simple terms -- a Joint Venture is partnering with others to create a win/win situation for everyone involved.But just what does that mean? How do you identify a good Joint Venture situation? How do you structure the partnership so that everyone wins? How do you approach a potential Joint Venture partner? There are tons of questions, and I'll try to answer them all.
Why Two-Tier Affiliate Programs are Best
When you join an affiliate program or start an affiliate program of your own, you have to decide whether it will be a single tier or two-tier affiliate program.With a single tier program you earn a commission on any sales you make and that is it.
Two Quick Ways to Make Your Copy of Merchants Data Feed Different From All Other Affiliates
Product data feeds are really popular among affiliates because they can help produce thousands of product pages quickly and easily. Such pages can be used to drive highly targeted search engine traffic looking specifically for those products.
Successful Free Affiliate Programs
Affiliate programs are the latest money making tools available on the Internet. While there is definitely not a lack of options available, there is a lack of good options available.
Never Too Old
NEVER TO OLDMy great granddaughter said I was too old to learn to use a computer.The trouble with the younger generation is that, they think that just because you are getting old, you are also becoming stupid.
Tips For Marketing Your Affiliate Business
Not all Home Business Entrepreneurs are experienced enough to produce their own product, so most of us 'would-be-entrepreneurs' become affiliates, marketing someone else's products and opportunities. That is nothing to be ashamed of.
Three Critical Affiliate Marketing Tips For Higher Commissions!
Affiliate marketing is quickly becoming a very specialized form of online business. It seems that people all over the Internet are clamoring for more affiliate tips.
3 Tips To Succeed With Affiliate Programs
Dear friends, when it comes to promoting affiliate programs we all follow a certain defined process. We first go to google.
Heres Why Affiliate Marketing Is So Lucrative
There are people who think of the world as a dreary place simply because they do not find their existence charming enough to render them contented. There are those who wish that they have more than what they possess.