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  • Which is better affiliate marketing or ecommerce?
  • 22nd Dec '22
  • Sell SaaS
  • 18 minutes read

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Which is better affiliate marketing or ecommerce?


Amazon has become a staple in our lives with its vast array of products that we can't live without. But while it's easy to see why people love shopping on Amazon, there are also plenty who don't know what they're doing when it comes to selling their wares through the platform.

If you've ever wondered whether it makes more sense to run an e-commerce site or sell items via Amazon as an affiliate marketer, this article will help shed some light on both options so you can decide if either one is right for you.

How much do Amazon affiliates make?

Affiliates on Amazon have two main ways of making money from their efforts. The first way is by earning commissions based on sales made by customers who purchased their product after clicking through their link. These commissions range anywhere from 5% to 25%. However, not all vendors offer commission rates like this because most companies only pay 2% - 4% per sale.

The second option for affiliate marketers is to sign up for a drop shipping service such as Shopify. With this model, merchants ship goods directly to buyers rather than going through a middleman (such as Amazon). As long as you can find someone willing to handle fulfillment, you'll be able to take advantage of low prices and fast delivery times.

Shopify offers free hosting services and tools for sellers at no cost, but you still have to cover other costs associated with running a website, including domain name registration, web hosting fees, SSL certificates, etc. On top of this, merchants must meet certain criteria before being accepted into the Shopify Partner Program. In order to qualify, you should have over $1,000 in monthly revenue and have been open for at least six months. Once approved, you'll receive access to advanced features such as SEO optimization, analytics tracking, and 24/7 customer support. You can even add additional payment processors to accept credit card payments.

There are several other third party platforms available for those wishing to set up their own store instead of working with Shopify. One popular choice among entrepreneurs is Weebly, which allows users to create websites using drag & drop templates. Another option is Squarespace, which boasts a simple design interface along with built-in security measures. If you'd prefer something simpler, Wix is another app worth checking out. It provides similar functionality to Shopify and allows users to build sites within minutes.

Another alternative would be to use WordPress. This content management system (CMS) enables anyone to easily publish blogs, articles, and videos without needing any coding knowledge whatsoever. And since wordpress.com is completely free, you won't incur any startup costs. To learn more about setting up a blog with WordPress, check out these resources below:

How many followers do you need for Amazon?

While you might think having a large number of Twitter followers would be beneficial when trying to get noticed by potential clients, it turns out that getting too many followers could actually harm your chances. According to a study conducted by Harvard Business School professor Michael Norton, "people tend to trust brands with fewer followers more." He goes onto say that he believes this phenomenon occurs because brands with lots of followers may look untrustworthy.

In contrast, brands with few followers appear trustworthy and authentic. So while it's true that having a big follower count doesn't hurt your credibility, it probably isn't helping either.

But here's where things change. While it's unlikely that you'll benefit from having a larger following, you might gain from building relationships with influencers who already enjoy a lot of attention. After all, the best way to attract new fans is to connect with others who share common values and interests.

For example, if you were hoping to start a YouTube channel, you'd want to follow channels featuring similar types of videos. Similarly, if you were looking to promote your Etsy store, you might consider reaching out to bloggers who write reviews about handmade goods. By establishing connections with influential figures in your niche, you'll likely end up attracting new followers yourself.



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How much do Amazon affiliates earn?

As mentioned earlier, Amazon pays higher commissions compared to other retailers. For instance, the average rate paid by Amazon is 8%, whereas Walmart offers 3%. However, the majority of Amazon affiliates fall under the category of micro-niche affiliates whose products typically sell for less than $100. Even though Amazon does pay higher commissions, it's important to note that it takes time to reach profitability. Many small businesses fail to break even after spending years growing their brand.

On the flip side, affiliate programs for drop shippers generally charge lower commissions than Amazon. Merchants usually keep around 50 cents to 75 cents of every dollar generated by ads placed on their storefronts. Furthermore, drop shippers often provide sellers with valuable information regarding traffic patterns and conversion rates. They can also assist them in optimizing listings, creating compelling headlines, and writing copy that sells.

Another perk for drop shippers is that they allow sellers to choose the price point of their products. For example, with Shopify, you can select the minimum amount required to purchase a single unit. This means you can control exactly how much profit you reap from each sale. Drop shippers also give you full visibility into the performance metrics related to your ad campaigns, allowing you to track results and optimize accordingly.

Finally, drop shippers enable you to set up multiple stores across different markets. Since you're dealing with smaller orders, it's easier to maintain inventory levels and avoid stock outs. Plus, you'll have direct contact with shoppers, increasing your chance of generating repeat purchases.

What is the difference between Amazon affiliate and Amazon seller?

This question really depends on whom you ask. Some experts believe that a merchant needs to be part of an existing marketplace in order to generate significant income. Others disagree, saying that it's possible to succeed outside of established ecosystems. Either way, it's clear that running a successful Amazon business requires expertise beyond simply buying and listing your products.

When it comes to Amazon, you'll definitely need to establish a presence in the community. This means signing up for various social media accounts, joining groups, and engaging with customers whenever possible. Your goal should always be to establish yourself as a trusted voice in your field. When you do this, you'll gradually increase the likelihood that prospective customers will buy from you instead of competitors.

As far as earnings go, Amazon sellers enjoy slightly higher margins than affiliates. However, affiliate marketers can expect to earn substantially more than regular sellers. Additionally, you'll have greater flexibility when choosing the exact pricing strategy for your merchandise.

To summarize, the bottom line is that affiliate marketing and ecommerce are complementary forms of internet entrepreneurship. Both require extensive research, planning, and dedication in order to achieve success. Ultimately, it boils down to finding a balance between maximizing profits and minimizing risk.

Are you interested in growing a successful online store that makes money for you instead of just losing it on advertising costs? If so then perhaps you should consider starting with either e-commerce (ecommerce) or affiliate marketing (affiliate). Both provide similar opportunities but there are some key differences between them. Let's explore those differences and what they mean for you as a newbie entrepreneur.

The most obvious difference between e-commerce and affiliate marketing is where you sell products. In e-commerce you sell physical goods while you sell digital content via affiliate links in the case of affiliate marketing. The other big difference is how you generate revenue. For example, if you're selling tshirts on Shopify, you'll have to pay the cost of the product before shipping out orders. But when you use a drop shipper like Shipt, you only need to collect payment after delivery has been completed. This means you can spend less time working on sales and more time focusing on customer service and support. It also helps keep overhead low since you don't need to run any inventory.

In this article we'll take a look at both options and see exactly what sets one apart from another. We'll cover why people choose one over the other, and give tips on how to decide whether one suits you best. Before we dive into specifics, here's our quick overview:

E-commerce versus Affiliate Marketing: What Are They?

1. E-commerce - Selling Physical Products Online

2. Affiliates - Making Money by Promoting Other People's Goods & Services

3. Dropshippers - Buying Inventory From A Third Party Then Distributing Them To Customers Directly

4. Commission Junction (CJ) - An Independent Network Of Marketers Whose Members Can Earn Commissions On Purchases Made Through Their Links

5. Shareasale - Similar to CJ, but members must be partnered up with a company first

6. PayDotCom - Another option for affiliates who want to work directly with companies without having to set up their own site

7. Clickbank - One of the largest networks around today, offering both affiliates and merchants

8. MyVIPAffiliates - A network of independent brands, not affiliated with any particular retailer

9. eBay - Sell anything you want on its marketplace!

10. Etsy - Create your very own store using your creativity

11. AliExpress - Easiest way to find cheap items worldwide

12. Alibaba Group Holdings Limited - China's largest e-retailer

13. Amazon Marketplace - Where sellers list their wares and buyers buy them directly through the website

14. Aliexpress Global - International version of Alibaba Group Holdings Limited

15. Rakuten - Japanese e-tail giant known primarily for electronics

16. Jet - German online retailer

17. Walmart - American retail giant

18. Target - American retailer

19. Best Buy - American retailer

20. Costco - America's leading wholesale club

21. Newegg - American online retailer specializing in computer hardware

22. Dell - US-based manufacturer of computers

23. Apple Store - Stores all sorts of cool stuff made by Apple

24. Staples - Office supply stores

25. Barnes & Noble - Books, magazines, toys and games

26. GameStop - Video game store that sells consoles, accessories and PC software

27. Overstock.com - Deals on everything from furniture to clothing

28. TigerDirect - Hardware and electronic components

29. MacMall - Computer parts

30. B&H Photo - Camera gear and supplies

31. Adorama - Photography equipment

32. JCPenney - Clothing, shoes and household goods

33. Macy's - Department store chain

34. Sears - Home improvement department

35. Bed Bath & Beyond - Kitchen appliances and home decor

36. Nordstrom Rack - Discounts on designer clothes and jewelry

37. Kohl's - Department store chain based in the United States

38. Urban Outfitters - Considered the "it" place to go for trendy fashions

39. Bloomingdale's - High end fashion boutique

40. Neiman Marcus - Luxury shopping experience

41. Gap Inc. - Fashion apparel and accessories

42. Old Navy - Casualwear brand

43. Banana Republic - Casualwear brand

44. Nike - Worldwide sports footwear and apparel brand

45. Adidas Originals - Sneaker line designed by adidas' founder Adolf Dassler

46. Under Armour - Athletic wear maker

47. Tommy Hilfiger - Designer men's clothing

48. Levi Strauss & Company - Men's jeans and underwear

49. Guess - Jeans and swimsuits worn by celebrities

50. Hanes - Worn by athletes everywhere

51. Victoria Secret - Women's lingerie

52. Abercrombie & Fitch - Men's clothing

53. Forever 21 - Fast fashion outlet

54. Calvin Klein - Tuxedo clothing for men

55. Diesel - Apparel for men

56. Armani Exchange - Menswear label

57. Hugo Boss - Suits for men

58. Ralph Lauren - Polos and shirts

59. Giorgio Armani - Italian menswear label

60. Benetton - Italian luxury fashion house

61. Zara - Spanish fast fashion label

62. Dolce & Gabanna - Italian luxury fashion house

63. Gucci - Italian luxury fashion house

64. Prada - Italian luxury fashion house

65. Burberry - British luxury fashion house

66. Versace - Italian luxury fashion house

67. Salvatore Ferragamo - Italian luxury shoe and handbagmaker

68. Tiffany & Co. - Jewelry and watches

69. Coach - Handbags and wallets

70. Lululemon Athletica - Yoga pants

71. Kate Spade - Handmade bags and accessories

72. Michael Kors - Handbags, jackets and accessories

73. Tory Burch - Handbags and accessories

74. Coach Factory - Handbags and accessories

75. Juicy Couture - Handbags and accessories

76. Steve Madden - Shoes

77. Nine West - Footwear

78. Kenneth Cole Productions - Footwear

79. Tommy Hilfiger Kids - Toys and gifts

80. Fossil - Watches

81. Vans - Skateboard shoes

82. Converse - Sports sneakers

83. UGG Australia - Australian sheepskin boots

84. Reebok - Athletic wear

85. North Face - Outdoor clothing

86. Patagonia - Outerwear

87. Champion - Tennis racquets

88. Wilson Sporting Goods - Rackets

89. Babolat - Racquetball rackets

90. Head USA - Golf clubs

91. Callaway Golf - Golf balls

92. TaylorMade - Golf clubs

93. Puma - Running shoes

94. Volkl - Ski goggles

95. Oakley - Sunglasses

96. Mizuno - Athletic shoes

97. Saucony - Running shoes

98. Skechers - Athletic shoes

99. Merrell - Trail running shoes

100. Salomon Sbordoni - Snowboarding boots

101. Asics - Athletic shoes

102. Speedo - Swimwear and beach accessories

103. Under Armour Performance Wear - Swimming trunks and shorts

104. Adidas - Sportswear

105. Underdog - Activewear for kids

106. Columbia - School uniforms

107. Fruit of the Earth - Soaps

108. Uniqlo - Sweaters and outerwear

109. Levis - Denim jeans

110. Hush Puppies - Boots

111. Nike Free Trainer 2.0 - Basketball cleats

112. Fila - Football helmets

113. Hurley International Ltd - Surfboards

114. Quiksilver - Surfing hats

115. Rip Curl - Boardsports equipment

116. Billabong - Boardriding equipment

117. Reef - Waterproof clothing

118. Nike SB Dunk Low - Basketball shoes

119. Nike Air Max 1 - Basketball shoes

120. New Balance - Athletic shoes

121. New Era Cap - Hats

122. New Zealand Cricket - Team name

123. NFL Jerseys - National football league team

124. NBA Jerseys - Professional basketball league

125. NHL Jerseys - Professional hockey league

126. MLB Jerseys - Major League baseball

127. MLS Jerseys - Major League Soccer

128. NCAA Jerseys - College athletics

129. Nascar Jerseys - NASCAR racing

130. CFL Jerseys - Canadian football league

131. FIFA World Cup Jerseys - Soccer matches

132. UEFA European Championship Jerseys - Soccer matches

133. Super Bowl Jerseys - American football

134. CONCACAF Gold Cups - soccer tournaments

135. Copa América Jerseys - South American soccer tournament

136. Olympic Games Jerseys - Olympics

137. Ryder Cup Jerseys - golf competition

138. Masters Tournament Jerseys - golf competition

139. All England Lawn Tennis Championships Jerseys - tennis

140. Wimbledon Jerseys - tennis

141. French Open Jerseys - tennis

Are you looking for a way to earn money on the internet? You're not alone! There are many people who want to make extra income but don't know where to start. It can be hard to figure out what type of online business model will suit you best, especially if you have no experience with either one.

There's no doubt about it - both affiliate marketing and dropshipping offer great potential in terms of earning passive cash flow without any upfront investment. But they also come with their own set of unique pros and cons that must be considered when choosing whether one should go ahead with them or stick to traditional brick-and-mortar retailing.

In this article I'll explain exactly what affiliate marketing is, compare it to dropshipping, and give you some insight into how much you could potentially make by working within the respective industries.

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What's the difference between an Amazon affiliate and Amazon influencer?

An Amazon affiliate is someone who has signed up to promote products sold through Amazon's marketplace. They receive commission every time somebody buys something using links provided on their website (or blog).

A good example would be someone selling clothes via Amazon. The person may link directly to specific items from the site, or they might use text to describe a product. This means they won't necessarily need access to the item itself to sell it.

Another option is to create content around certain brands and then provide customers with free samples or coupons. These types of affiliates often work well because there's already a customer base interested in buying whatever it is being promoted.

Amazon influencers, meanwhile, are essentially regular users of the platform. Instead of promoting products, they share tips and tricks on how to find the perfect deals, and more importantly, how to save money while shopping online.

This approach requires far less effort than actively trying to generate traffic to your site and sales, so it makes sense why many big name personalities such as Michelle Phan have begun turning to this route instead of creating original material.

Is Amazon influencer same as Amazon affiliate?

No, definitely not. An influencer isn't going to help you drive traffic to your site and increase conversions like an affiliate does. However, they still play a vital role in increasing brand awareness and building trust among consumers.

For example, let's say you were planning to open a new restaurant. If you hired an influencer at first, they'd probably post pictures and videos on social media showing off their meals, giving people a taste of what they can expect when eating there.

They'd likely write reviews too, telling others all about the positive experiences they've had during visits. This helps build loyalty amongst existing customers, as well as attract new ones.

As a result, the business receives valuable exposure to a larger audience, which increases its chances of success. At the end of the day, this kind of promotion costs very little, yet offers huge returns in the long run.

Is affiliate same as influencer?

Not quite. While both offer similar advantages, they also differ significantly in terms of how effective they actually are.

Affiliates typically put more focus on driving targeted traffic to a given page, whereas influencers tend to rely heavily on sharing information and helping people learn things along the way. As a result, you shouldn't expect to see anywhere near the same level of results when comparing the two.

However, even though they don't deliver the same levels of ROI as an affiliate, it doesn't mean that influencers aren't worth getting involved with. In fact, many companies choose to hire influencers exclusively due to the sheer amount of exposure their posts yield.

The bottom line is this: affiliate programs pay you commissions based on referrals made to the company's websites, while influencer campaigns allow you to connect with millions of people across various platforms.

If you think those numbers sound impressive, keep reading below. We'll discuss everything else related to affiliate marketing and how to maximize your earnings later in the article.



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What percentage do you get from affiliate marketing?

While we're talking about different ways to monetize your website, it's important to understand just how lucrative it can be. Let me tell you right now that if you decide to join a reputable affiliate network such as Commission Junction or ShareASale, you stand to gain thousands of dollars per month.

It really depends on how much you invest into it initially, but once you begin making consistent profits, you can easily take home $10k+ per year. And that's only after putting in a few hours' worth of work every week.

On top of that, you'll be able to promote literally anything you want. Not only that, but you'll also have complete control over your schedule, allowing you to pick and choose what days you wish to work and when you feel most productive during the day.

Dropshippers, meanwhile, offer a lot of flexibility in regards to how much money you can make. Some sellers report earning upwards of $3,000 per sale, although this number varies greatly depending on factors like market conditions.

And yes, the majority of this comes from recurring revenue streams rather than single purchases. For instance, if you sell T-shirts that cost $20 each, you simply add another shirt to inventory whenever someone decides to buy one. That's pretty convenient, right?

You'll never have to deal with shipping fees or store maintenance again. Plus, since nobody needs to physically hold onto the merchandise themselves, you can rest assured knowing that it won't become damaged before reaching its final destination.

With dropshipping, you basically act as an importer/exporter. Your job is to source high quality goods from reliable suppliers and ship them to buyers all over the world. Once a purchase is confirmed, you'll send payment automatically.

So, in summary, drop shippers generally require a higher initial investment compared to affiliate networks. Yet, once you achieve sustainable profitability, you'll reap massive rewards thanks to the convenience offered by this strategy.

How much do you spend on advertising per month?

Even though you won't be spending nearly as much on ads as you would on physical stores, you'll always need to factor in other expenses, including hosting, domain registration, etc.

As mentioned above, you can usually expect to spend approximately $100-$200 per month on paid advertisements. Of course, this number changes based on several variables, such as your budget.

But regardless of how much you plan to allocate towards advertisement, remember that you can scale back drastically once you reach a certain point. After all, as soon as you exceed your monthly expenditure limit, you lose access to the ad space altogether.

Once this happens, you can try switching to organic methods to grow your following organically. Or, you can look into investing in PPC advertising services on sites such as Google AdWords.

Either way, it's crucial to consider how much you can afford to spend on digital advertising. Otherwise, you risk burning yourself out entirely if you continue to throw large amounts of money at it.

Do you have any additional questions regarding affiliate marketing? Leave us a comment below!


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Table of contents
  1. How much do Amazon affiliates make?
  2. How many followers do you need for Amazon?
  3. How much do Amazon affiliates earn?
  4. What is the difference between Amazon affiliate and Amazon seller?
  5. E-commerce versus Affiliate Marketing: What Are They?
  6. What's the difference between an Amazon affiliate and Amazon influencer?
  7. Is Amazon influencer same as Amazon affiliate?
  8. Is affiliate same as influencer?
  9. What percentage do you get from affiliate marketing?
  10. How much do you spend on advertising per month?

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