An Unbiased View of Affiliate marketing vs e commerce
Many beginners looking for ways of making money online look into one of these avenues. When we compare affiliate advertising vs e-commerce, both have their advantages and disadvantages. Either may be a great start for a newcomer. I've done both and decided to concentrate my time together with affiliate marketing. In this video I'll explain the advantages and pitfalls of affiliate marketing vs e-commerce to assist you decide for yourself.
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 wonderful. If you're planning to go all to it, then do it up. You may create a ton of money and that I know a good deal of people that are earning a lot of cash with e-commerce. But I chose to go into affiliate advertising for a couple different reasons. If you are a newcomer with making money online, I would urge affiliate marketing and I'll explain why in this movie. I feel like it is an easier start for somebody attempting to make money online.
I had a couple e-commerce shops on Shopify. There's different ways to begin e-commerce. Many people buy big inventory upfront, others do white tagging or private labeling, etc.. I had been doing drop shipping. I had been sourcing my merchandise from AliExpress. It is kind of like Amazon but with a lot of suppliers selling items for cheap. You don't ever have to hold stock.
The wonderful thing about e-commerce compared to affiliate advertising is e-commerce gives you complete control over everything related to your business. By way of example, it's entirely up to you what costs you want to put your products at. The only thing that you need to make sure is you're not going to a loss. You are either breaking even or Affiliate marketing vs e commerce making a profit. As long as you're doing this, you can set whatever price you desire. The added advantage of this is you may also create exceptional sales, give out discounts, etc as far as you want. That is not the case with affiliate marketing as you are promoting other peoples' products. So they set the purchase price and you usually can not create your personal discounts or prices. It's up to the individual selling. You're only referring customers.
Sometimes when you're part of affiliate marketing programs, they also place other restrictions on where you are able to advertise, the way you can promote their products, etc.. Together with e-commerce you have full liberty. While in affiliate marketing, there might be a few restrictions you are going to need to deal with.
Another thing that I like about e-commerce is, provided that you can sell your merchandise, you get full flexibility. You are able to choose from an infinite 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 method 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 using 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 have to produce the product. You are referring people to other products.
As an example, I am an affiliate with ClickFunnels (among other applications ). I know I am now going to get a monthly recurring commission with that person of about $50/month. That means I broke even in the first month and I am making a profit for each and every month after that.