Affiliate marketing vs e commerce - An Overview
Many novices looking for ways of making money on the internet look into one of these paths. When we compare affiliate advertising versus e-commerce, both have their pros and cons. Either may be a great start for a newcomer. I have done both and decided to concentrate my time together with affiliate marketing. In this video I'll explain the advantages and pitfalls of affiliate advertising vs e-commerce to assist you decide on your own.
Over the past year and a half, I was constructing an e-commerce business. Although I moved from e-commerce to affiliate marketing, I believe e-commerce is awesome. If you're planning to go all into it, then do it up. You may make a lot of money and that I know a lot of individuals that are making a great deal of cash with e-commerce. But personally, I opted to go into affiliate marketing for a few different reasons. If you are a beginner with earning money online, I'd recommend affiliate marketing and I will explain why in this video. I feel like it's a simpler start for someone attempting to earn money on the internet.
I had a couple e-commerce shops on Shopify. There is different ways to go about e-commerce. Many people buy large stock upfront, others do white labeling or personal labeling, etc.. I had been doing drop shipping. I was sourcing my merchandise from AliExpress. It's sort of like Amazon but with a lot of providers selling items for cheap. When you are drop shipping, you have a deal with the provider that when a customer purchases from you through your e-commerce shop, the supplier will send directly to the customer. You don't ever have to hold inventory.
The wonderful thing about e-commerce compared to affiliate advertising is e-commerce gives you full control over everything related to your business. By way of instance, it's completely up to you what costs you want to put your goods at. The only thing that you need to make sure is you are not going to a loss. You are either breaking even or making a profit. As long as you are doing this, you can set whatever price you desire. The added advantage of that is you may also create exceptional sales, give out discounts, as much as you desire. That is not the case with affiliate marketing as you're promoting other peoples' products. They set the price and you generally can not create your personal discounts or deals. It is up to the person selling. You are just referring customers.
Sometimes when you are a part of affiliate marketing applications, they also set other limitations on where you can promote, how you can promote their goods, etc.. With e-commerce you have complete freedom. While in online affiliate marketing, there may be some limitations you'll need to deal with.
Another thing I enjoy about e-commerce is, as long as it is possible to sell your products, you get complete flexibility. You can pick from an endless supply of goods to dropship or retailstores.
Alright, so now why I proceeded on to affiliate marketing...
There are a few struggles that come with e-commerce that you frequently don't realize you'll face when you are first getting started. One is the costs. Drop shipping is most likely the lowest cost means of e-commerce. A good deal of people consider it like it's a"no-cost" manner but that's not correct.
The difference between e-commerce and electronic products or affiliate marketing is with the latter two, your financial plan is almost just advertising. There are not many costs beyond that, which means you get to keep all else. And if you're performing affiliate marketing, you do not even Affiliate marketing vs e commerce have to produce the product. You are referring people to other goods.
For instance, I'm an affiliate using ClickFunnels (among other programs). I understand I'm going to find a monthly recurring commission from that individual of around $50/month. Meaning I broke even in the first month and I'm creating a profit for every month then.