Residual Income Streams - What Are The Ideal Residual Income Streams

In one marketing scenario it takes a hundred clicks to make a sale. The commission received once that sale is created is $100. The standard refund rate for this product is 5 %. If you pay eighty cents per click what will be the return on your 1st $100 investment (did we mention there had been mathematics involved?).

In the second promoting scenario it in a similar way takes a hundred clicks to make a sale. Every sale offers $100 commission but also gives an once a month residual commission of $10. As shown, there is five percent refund rate and the average length of the subscription is four months. Now, if you pay $.80 per click just like in the 1 st example, how much will you make now for your $100 investment?

O. K, in the 1 st example it would cost $80 to make one sale. So you would make $20 minus the five pc refund rate thus ending up with an ROI of $19. That 's not such a bad investment. Now, in the second example you get the same result for the sale-- $80, but your net profit is far more inspiring due to that four months worth of residual income. You woul d still get the $19 ROI on your 1st $100 investment, but here you make that additional $40 a 59 % return on investment.

Residual Income That Little Extra Goes a Ways

You can always tell a super affiliate's marketing model the single time they are going to offer something like in the 1st example above, they will find a way to leverage that sale. A lot of them will be offering a free report, a bonus, or a kind of review simply as a strategy of obtaining your opt in info they give worth for worth and th is i s where the leverage comes in. A focus ed opt in list could be worth up to five dollar s a month to the list owner. The key' s to supply an upsell later on which naturally gives the chance to earn another commission.

The heavy hitters in the affiliate marketing business go one better than that, they target promoting their products which initially supply an one off commission but go on to supply an upsell to something that provide s a monthly residual income, eg a membership site. So that the key to the best affiliate marketing opportunities is no t about the first commission, it's about what follows later on. Can you blame them? In the example above, it's the most important difference between 19 % and 59 % ROI.

The Secret to Wealth is Multiple Streams of Residual Income

The famous Stream Nile is the longest river on this planet. If you look down from space you can see it and its two main tributaries quite obviously. Yes, it is that large. What you do not see from outer space is all the thousands of little streams and streams that run in to the Nile and there are many thousands of them. All that water in those thousands of little streams is what converges to make the Nile so large.

Look at your affiliate marketing efforts in the same way, by making multiple streams of income; you are making a stream of wealth. You should start by promoting a number of different products that have got the advantage of making reoccurring streams of income. Stick to those and nothing else. Eventually you 'll be able to kick back and enjoy that river of income. Imagine starting each month off with a growing amount in the bank without doing a thing! Isn't that the ideal eventuality?

You may never start the month from scratch having to figure out what you 've got to do to make cash to meet the bills it wi ll already be there in your account - is the final word in economic security. residual income sources