1. This website uses cookies to improve service and provide a tailored user experience. By using this site, you agree to this use. See our Cookie Policy.
    Dismiss Notice

IDEA: Create Shopfiy stores for FREE and collect signup Commissions

Discussion in 'Affiliate Programs' started by Icey Dan, Aug 11, 2019.

  1. Icey Dan

    Icey Dan Jr. VIP Jr. VIP

    Joined:
    Nov 24, 2014
    Messages:
    150
    Likes Received:
    106
    Location:
    Canada
    Hi guys, I have a possible idea for a business model that I wanted to bounce off the community and get some opinions on.

    So just to lay down some numbers for context: Bluehost and Hostgstor both pay about $60 USD for each paid affiliate sign up. Shopify pays $55 USD for each paid plan affiliate refferal. I live in Canada so this translates to a decent $75 in my currency. There are freelancers on Fiverr who can design satisfactory stores for as little as $20 USD.

    Now - my plan is to advertise a service where we build starter e-com stores absolutely free of charge. We will do everything from design, SEO, product imports etc and we will even throw in a free .com domain of the clients choice (as long as it is available). Everything needed to get up and running. For free.

    The ONLY catch is we would require the client to buy paid hosting through our affiliate link (or a paid Shopify plan if going that route) prior to us building the site so we earn commisison.

    Lets crunch the numbers...

    Each client earns us $75 right away from affiliate commisison.

    We then pay someone from Fiverr $20-30 to build the site and set everything up as asked. (We are mainly looking to give our clients a nice looking functional site to get them started - nothing too crazy)

    We then buy the .com domain for about $10 if needed and set it up before transferring everything over to the client in a document.

    This leaves us with about $35 leftover. With an extensive background in Facebook advertising and chatbot funnels I'm confident I can get a client on board for no more than $15 on the high end. We're literally offering to do it all for free so the interest should be there.

    As I get more clients, scaling would become a matter of simply finding more freelancers. The beauty of the model is that since the Fiverr freelancers offer revisions I can pass those revisions on to our clients if they are not satisfied. And since they aren't paying us any money directly they can't ask for a refund down the road. We would have already received our initial flat rate signup comission.

    As a web developer by day I can also make tweaks and adjustments on sites here and there if needed.

    Can anyone see any issues with this model? If so how can I make it better? Any tips or suggestions from knowledgeable members in this area would be greatly appreciated! Cheers.
     
    • Thanks Thanks x 8
  2. TooCorny

    TooCorny Regular Member

    Joined:
    Sep 9, 2018
    Messages:
    315
    Likes Received:
    120
    Gender:
    Male
    Great idea!
     
    • Thanks Thanks x 1
  3. Extruser

    Extruser Junior Member

    Joined:
    Dec 2, 2017
    Messages:
    165
    Likes Received:
    104
    Gender:
    Male
    This was a nice business, back in the day when Shopify used to pay a monthly recurring commission.
    Now I'm not sure it's worth it, unless you have a plan to upsell them extra products and services.
     
    • Thanks Thanks x 1
  4. Icey Dan

    Icey Dan Jr. VIP Jr. VIP

    Joined:
    Nov 24, 2014
    Messages:
    150
    Likes Received:
    106
    Location:
    Canada
    Yes, where I would have them in a Manychat messenger funnel I would absolutely promote additonal e-com related products and services over time through various sequences.
     
  5. KJREDDY247@

    [email protected] Senior Member

    Joined:
    Aug 31, 2018
    Messages:
    867
    Likes Received:
    345
    Gender:
    Male
    Not having an idea about Shopify payments but these Bluehost and HostGator payments were a little bit tricky as I heard, there were some threads on that here somewhere. Do check them if there are no issues and I am wrong then it's a good model to go ahead, I don't see any risk and as you mentioned you are a web developer so instead spending those Fiverr gigs try to prepare first two or three stores from your side so there will be 0% risk. All the best
     
    • Thanks Thanks x 1
  6. RenegadeX

    RenegadeX Jr. VIP Jr. VIP

    Joined:
    May 12, 2019
    Messages:
    190
    Likes Received:
    319
    Gender:
    Male
    Not a bad idea. I could see this working well with local marketing.
     
    • Thanks Thanks x 1
  7. Icey Dan

    Icey Dan Jr. VIP Jr. VIP

    Joined:
    Nov 24, 2014
    Messages:
    150
    Likes Received:
    106
    Location:
    Canada
    Thanks for the feedback. Great idea, I am more than capable of creating the sites myself so this should reduce overhead costs until I get more clients on the go.
     
  8. youveggie

    youveggie Regular Member

    Joined:
    Nov 13, 2017
    Messages:
    212
    Likes Received:
    64
    Gender:
    Male
    Occupation:
    STACKING IS A HOBBY
    Location:
    YA I LIKE TO PARTY
    bad idea, very bad idea.
     
  9. Icey Dan

    Icey Dan Jr. VIP Jr. VIP

    Joined:
    Nov 24, 2014
    Messages:
    150
    Likes Received:
    106
    Location:
    Canada
    Useless feedback. Explain why and maybe give me some suggestions instead of just saying it's bad?
     
  10. M4DM4X

    M4DM4X Power Member

    Joined:
    Jan 21, 2015
    Messages:
    667
    Likes Received:
    166
    People who are looking for cheap stuff (or free) are cheap people always complaining. Good for a starting cash, but in my opinion not a good long term business. Plus nowadays everybody can create a website/ecommerce almost free of charge anyway. Good luck
     
    • Thanks Thanks x 1
  11. Icey Dan

    Icey Dan Jr. VIP Jr. VIP

    Joined:
    Nov 24, 2014
    Messages:
    150
    Likes Received:
    106
    Location:
    Canada
    Thanks for the feedback. Yes everyone can create site for free - but what would make our service unique is our willingness to give free domain name, premium theme and responsive design, payment gates set up, SEO ready to go etc at no cost. Other free services don't offer that stuff.

    Our goal is to get people started with ecom and sell them on the "profitability" of it all long enough to get them to invest in the hosting. It very well could flop but I think it is worth a shot
     
  12. jadsn

    jadsn Power Member

    Joined:
    Jul 29, 2008
    Messages:
    693
    Likes Received:
    265
    If you have an eye for design, you can definitely make Shopify or Woocommerce shops (my personal favorite) for way more than that. Sure it's fine when you need to make a simply website for a local business and can automate the entire process, but ecommerce requires a bit more work, and the referral commission in exchange isn't worth it imo.
     
    • Thanks Thanks x 1
  13. Icey Dan

    Icey Dan Jr. VIP Jr. VIP

    Joined:
    Nov 24, 2014
    Messages:
    150
    Likes Received:
    106
    Location:
    Canada
    Noted. I appreciate the feedback. Cheers
     
  14. shakerzillo

    shakerzillo Newbie

    Joined:
    Apr 22, 2010
    Messages:
    38
    Likes Received:
    7
    Location:
    Spain
    In my opiniom, the customers thats doesnt want to spend money are always asking for more changes, better desing or more extras than if they were paying.

    Why you just dont buy a vps, and offrr the same but earning more money?

    :) hope it helps you
     
    Last edited: Aug 11, 2019
  15. Icey Dan

    Icey Dan Jr. VIP Jr. VIP

    Joined:
    Nov 24, 2014
    Messages:
    150
    Likes Received:
    106
    Location:
    Canada
    I see where you're coming from. As mentioned the freelancers offer mutliple revisions so if the client is fussy offering changes wouldn't be any additional cost.

    And I want to avoid buying a VPS because I don't have the capital for that right now. Trying to test the method risk free first. Thanks for your feedback I appreciate it :)
     
  16. kindablack

    kindablack Jr. VIP Jr. VIP

    Joined:
    Aug 10, 2014
    Messages:
    630
    Likes Received:
    230
    Occupation:
    Your 'Speed' Guy
    Home Page:
    It’s a well-known strategy but still good.

    The only problem in this model is finding clients.

    It does not convert better because it’s free. Because free service usually mean lower quality for clients. You imagine it’s conversion rate will be 5X of a paid service, but it’s not. It’s almost same.

    So, CPA won’t be $15 just because it’s a free service. Or you should find scalable free methods.
     
    • Thanks Thanks x 1
  17. Icey Dan

    Icey Dan Jr. VIP Jr. VIP

    Joined:
    Nov 24, 2014
    Messages:
    150
    Likes Received:
    106
    Location:
    Canada
    Thank you for the quality advice. I really appreciate it.
     
  18. netcelal

    netcelal Senior Member

    Joined:
    Jul 12, 2009
    Messages:
    976
    Likes Received:
    399
    Location:
    7/24 Internet
    I did something like that about 10 years ago, use your time better to get clients who are willing to pay more.
    You will get +100s emails and on the end of the day you would have more trouble than success with this type of clients.
     
    • Thanks Thanks x 1