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The Impact of 10% More Active Affiliates 

who Each Make 10% More Sales per Month

Remember...

Total Affiliate Sales = Product Price times # Active Affiliates times Avg Monthly Sales per Affiliate

It is extremely conservative to estimate a 10% increase in the number of active affiliates, each of who can make 10% more sales each month

As just mentioned, the affiliate manager will be actively recruiting, and paying particular attention into recruiting super affiliates (those with huge mailing lists or large visitor numbers (lists and visitors specifically targeted to your product). Above this, most affiliate managers actively train the affiliate marketers in your program, allowing them to increase the success rate of their campaign.

Our Affiliate Management Formula calculator (below) applies this simple formula to see what it can mean with your specific program, but in most cases, the money spent on hiring an affiliate manager full time is more than compensated for by the additional revenue brought in.

Product Price
# Active Affiliates
Average # sold/month
Current Potential (with affiliate manager)
Product Price
# Active Affiliates
Average # sold/month
Yearly gross sales

What does this mean in terms of your bottom line? Well, for example, let us assume you have a $97 product. While you have 200 affiliates signed up to sell your product, say only 20 are actively promoting it. The average number of sales each month attributed to affiliate sales is 100, so the average per active affiliate is 5. That works out to gross annual affiliate sales of $116,400

With the assumptions above, with affiliate management actively seeking new affiliates, and keeping them active, this scenario can change to 22 active affiliates, but now making an average of 6 sales each per month, and the gross annual affiliate sales becomes $153,648,

or an increase of approximately $37,248 just by recruiting 2 more active affiliates and motivating each active affiliate to make just 1 more sale per month!

 

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Last modified: April 05, 2007