Residual Income Affiliate Programs

Residual income affiliate programs keep paying you, even after your initial sale. That’s a massive plus for an affiliate and it’s well worth focusing your efforts on programs like this. If you’re going to build an affiliate business on the internet, put in the hours and learn and grow; it’s worth far more if you choose residual income affiliate programs.

Passive Income Affiliate Programs

residual income affiliate programs

So how does this work? Which programs offer residual income? Let’s take a look at some of the strategies involved in making residual income from affiliate marketing.

  • Multi-tier sales
  • Up-sells
  • Subscription products
  • High Ticket
  • Built In Sales Team

Multi-Tier Sales – Residual Income Affiliate Programs

Multi-tier sales are a big plus for affiliate marketers. They mean you can earn commissions long after you have sold your initial products. A multi-tier sale is a commission you make from a sale made by one of your referrals. It’s a bit like multi-level marketing. By building a strong team, and helping them to succeed online, you can benefit from the sales they personally make.

Most programs won’t offer multi-tier sales and you’ll need to position yourself at the top of a business system to take advantage of them. Access this program to learn more.

Up Sells – Passive Income Affiliate Marketing

residual income affiliate programs

Up-sells are another way to earn residual income from affiliate programs. An ‘up-sell’ is basically a sale made to an existing customer. After your initial referral, if your customer buys another product from a range, you can earn commissions on the later products bought – even if you don’t close the sale personally.

Up-sells are a great strategy to use for affiliates. Most businesses have a range of products to offer existing customers. That’s how they get repeat customers and customer loyalty. An internet based business should offer these too.

Many affiliate marketing programs only pay their affiliates once. The company earns a potentially loyal lifetime customer, but the affiliate does all the work and only gets paid once. Up-sells are better for the affiliate marketer because they continue to earn from their referral. If they refer a customer who goes on to be a loyal, lifetime customer, they continue to earn from this referral.

Up-sells are a great addition to any affiliate business model. That’s why you see them everywhere in most businesses. Ever been asked “Do you want fries with that?” or “Do you want to supersize?”. McDonald’s and BurgerKing are well aware of the power of an up-sell. Access an affiliate program with a range of up-sells here.

Subscription Products – Residual Income Affiliate Marketing

residual income affiliate programs

The best residual income affiliate programs also offer subscription products. Subscription products are a complete game changer for affiliates. That’s because they offer ongoing income from each individual sale. If you’re going to learn affiliate marketing and put in all that effort, it’s far better to apply your assets to a program which pays out continually. Subscription products do this.

Let’s look at a quick example. A standard product pays out $40 for a sale, let’s say. A subscription product pays out half of that ($20) per sale in the first instance. However, you also earn $20 per month with your subscription product, every month thereafter.

Which product is better to promote? Of course it does depend on whether your product is good and that people will continue using it. But let’s assume you have a fantastic product. If you sold 10 of each products, with the standard product you’ll have earned $400. With the subscription product you’ll have earned $200. However, the subscription product will now also pay out $20 a month for each of your members. In the second month that’s $200.

So by month 2, you’ll have caught up with the standard product. Over the next 10 months you’ll receive $200 per month every month. That’s an income of $2000, just for your 10 members. You’ll need to keep selling your standard product, in order to keep earning from it. As you sell your subscription product, you’ll keep building on this regular income. Over time your income will far outweigh that of the standard sale, by choosing to sell the subscription product.

Subscription products are things like training and education platforms and software such as auto-responders.

High Ticket Products – Residual Income Business Opportunity

residual income affiliate programs

High ticket items are items worth more than your standard affiliate products. Items worth more than $500 can be considered high ticket. Although a high ticket sale isn’t in itself a residual income, if you combine high ticket products with subscriptions and up-sells, you can earn later from high ticket sales which are part of your sales structure.

High ticket sales have a couple of benefits apart from the obvious. You’ll earn $500+ per sale instead of the standard $50 per sale. High ticket products can reach into the tens of thousands too, meaning you can earn $8000+ from a single sale.

So you only need to make a few sales like this to make a good profit. In comparison, smaller value items need to be sold in bulk in order to make the same mark up. If you focus on the right strategies and target the right audience, it doesn’t take much more work to achieve this. As an affiliate marketer you have a global audience to reach with your advertising. High ticket products open up a bigger range of advertising methods too, because you can more easily recoup advertising costs with paid strategies.

With lower valued items, you’re stuck trying to use only free advertising methods online. This is much slower, more time consuming and much more difficult.

Residual Income Opportunities – A Built In Sales Team

residual income affiliate programs

Residual income affiliate programs also close sales on your behalf with built in sales teams. With affiliate marketing your job as an affiliate is to send targeted website traffic down a sales funnel, or to other people’s products. You’re the ‘front end’ marketing side of the business. The ‘back end’ is dealt with by the company. They fulfil sales, delivery, customer service and any refunds etc.

This is a massive bonus because it ultimately means you can automate much of your business systems. With a built in sales team, you can also benefit from up-sells, including high ticket products, which are later sold to your referrals. This is another important element of residual income affiliate programs. It means you’re more likely to receive commissions on sales, than if a sales team didn’t exist. For anyone who wants to start an online business, but doesn’t feel comfortable selling personally, it’s a great addition.

Access A Digital Business System And Training Program

residual income affiliate programs

Access a digital business system and training program which has:

  • A built in sales team
  • Subscription products you can earn regular commissions from
  • Up-sells
  • High ticket products
  • Multi-tier sales (according to your business positioning)

Access a free 7 day video series to learn more.

 

Residual Affiliate Programs

Residual affiliate programs pay you later on, after your initial sale. You still make a commission on the main sale, but you also receive monies for membership fees. This is for sales you have referred. In some cases you can also receive residual income from later sales (up-sells) closed by the company. Residual affiliate programs are therefore probably the best kind of affiliate programs, because you make continual sales.

Residual Affiliate Programs

Ideally you will be paid many times. Once for the inital sale, once every month for the duration of your customers membership and each time your customer buys again (upgrades). If the affiliate program offers built in up-sells, you get paid for sales closed later on your behalf. This is great if you join such a company. However, many affiliate companies don’t offer this. They know the lifetime value of a customer and only pay affiliates to refer the customer to them for the inital sale.

residual affiliate programs

The best affiliate programs offer:

1.) High Ticket sales – Sales of digital products valuing upwards of $1000 can mean you earn $500+ for each sale.

2.) Ongoing sales from memberships – residual affiliate programs offer memberships or monthly commissions based on a continuous business model. Website hosting, autoresponders or membership training websites are examples of this kinf of program.

3.) Up-Sells – which you, as the affiliate earn commissions on – By choosing an affiliate program which offers many up-sells you increase your ability to earn money later down the road after your inital sale is made.

4.) A Built In Sales Team – Choose an affiliate program which closes sales on your behalf and offers more value to existing clients should they want it.

You can access a program which offers all these here.

Why Residual Affiliate Programs Win

residual affiliate programs

The affiliate model works best with residual income. By choosing a business model wisely you stand to earn money after your initial sale is made – assuming your customer maintains their membership. You can also earn money later from your customer’s other purchases, and (in some models) from sales made by people you have referred. This is similar to the network marketing concept which allows the marketer to build a team of sales people and benefit from a commission based on their sales.

Selling single item affiliate products means you only make money for a single sale. There is no after sales commission so you need to continually find new customers for your products. With residual affiliate programs you make multiple streams of income from each sale.

Membership Products

Membership products like website hosting, autoresponders and online training programs, as mentioned previously give you a residual income from sales. Each customer is worth much more than they would be in the case of a single point of sale product. The customers lifetime value can be worth thousands per year, even when the product value is only small. You earn every month for each customer so as you sell more of the memberships your monthly income grows. This is very different to selling many products for a single commission. In order to keep your income growing (with single sale products) you need to sell more and more. With residual affiliate programs this isn’t the case. You simply need to sell a certain number of products to earn a nice residual income.

Example

Let’s say you sell two different kinds of products. One of them is a single digital product which teaches the piano. You make $30 for each sale. The other product is an autoresponder membership product and you make $10 for the inital sale and then $10 per month for the membership.

You make 10 sales a month of each product.

Month 1

 

Piano digital course earn you 10x$30 =$300

Autoresponder software you earn $10×10= $100

So looking at this example you would think the piano course wins out. However for the autoresponder course you have referred 10 memberships. The following month you would earn $100 without making any further sales. To earn another $300 for the piano course you would need to sell the piano course again 10 times.

Now lets say we made the same amount of sales the next month.

Month 2

Piano course earns you another $300 (10x$30)

Autoresponder software you earn another $100 (10x$10) plus you also earn $100 for your 10 members who you have already referred from the last month. This means you now earn $200 this month.

Still you are earning more selling the piano course however.

Month 3

Piano course 10x$30=$300

Autoresponder software 10x$10 = $100 + 20 memberships = $200

Total =$300

So now we are in month 3 you can see the autoresponder sales have caught up. Not only that but we have referred 30 memberships. So in month 4 we will earn 30 x $10 whether or not we sell any more! In month 4 we could find we don’t make any sales of either the piano course or the autoresponder software. Lets assume this is the case and look at month 4.

Month 4

residual affiliate programs

Piano course sales = none. Money earned this month = $0

Autoresponder software sales this month = $0. Memberships = 30x$10 = $300. We still make money each month for the membership we referred earlier. As time goes on you can see this will have a coupounding effect on our profits. Lets now say we will make another 10 sales of each in month 5 and see what happens.

Month 5

Piano course sales = 10x$30 = $300

Autoresponder software sales = 10x$10=$100 + (30 memberships x $10) = $400

Using this example you can see how by selling membership products you can earn more over time. I also used an example where the sales were much less that that of the piano course and it still wins out over time.

Month 6

Let’s say for month 6 we don’t sell anything:

Piano Sales = $0

Autoresponder sales = 0. Memeberships = 40. So 40 x$10 = $400.

Every sale made of the autoresponder gives us a monthly income, potentially for life. Assuming all of our members keep their membership we can grow a nice income from memberships over time.

Access a sales system which benefits affiliates with residual income here.