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Affiliates Interested in a Legit Product?

Discussion in 'CPA' started by glhawkins, Feb 25, 2010.

  1. glhawkins

    glhawkins Newbie

    Nov 19, 2009
    Likes Received:
    Digital Marketing
    Santa Barbara
    I'll try to keep this short and simple.

    My Dad's business partner wants to expand his business and I told him how he could promote his product online through affiliates. Depending on the plan an individual signs up for he gets paid $8.80, $11.00, and $15.80 per month. His business is all about volume.

    Now the problem is will affiliates work hard enough and be willing to receive such a low return or would you guys be more inclined to promote such a product if he paid out a one time $25 or $32 payout which is a 3 or 4 months commission for him respectively. He wont see any returns until 3-4 months later, if he does a one time payout. The problem is, this product is in one of the highest paying keywords. So another question would be, would you guys see profitable margins promoting this product?

    The only other viable option I see, is if an individual has a website solely concentrated on this niche and doesn't have to pay any costs towards PPC campaigns because they're getting traffic organically.

    He also wants to know if $3,000 would be enough to test this out or would he need more? I talked to a friend of mine and he informed me that to get a product listed in his private affiliate network, he would need $20k upfront.

    Do you guys know any cheaper alternatives or ways to test this out before throwing a lot of money upfront?

    EDIT: Hypothetically, being the positive guy I am, I like to think optimistically. Lets say everything goes well and he gets into an affiliate network. What can protect him from getting into such a financial burden? For example, a super affiliate is generating 100's of leads every day. My dads business partner is going to have to cover these payouts (costs) upfront for at least 3 months. What kind of protection wall can he set up? Putting a limit on the amount of leads that are allowed a day?
    Last edited: Feb 25, 2010