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Home Based Business
Back To Advertising articles summary

Why is Affiliate Marketing Popular with Home Based Business Entrepreneurs?

The great strides made in the development of the Internet in the recent 
past has enabled information to be transmitted thousands of miles away 
with such ease and clarity that time and space are hardly of any 
consequence to the Internet Marketer today. 

Marketing Programs have literally taken over the Internet and riding 
high, is Affiliate Marketing.

According to the Computer Industry Almanac "The world-wide Internet 
population for 2004 was 934 million and the projection for 2006 is 1.21 
billion."

Sean Michael Kerner in an article in Click Z News quoting a spokesman 
for eBay states "According to eBay their largest affiliate earned over 
$1.3 million dollars in January commission, the largest amount yet in 
their affiliate program's history. Their top 25 affiliates averaged over 
$100,000 per month each and the top 100 affiliates earn almost $25,000 
each per month."

With this sort of statistics around, is it any surprise that thousands 
of entrepreneurs especially those Home Based Business entrepreneurs 
with very small marketing budgets are jumping on to the Affiliate 
Marketing band-wagon!

Given below are some of the Popular reasons for this desire and urge to 
do Affiliate Marketing:

1. Cost Factor:
Most Entrepreneurs refrain from starting a brick and mortar business or 
for that matter a Home Based Business (non internet) because of the 
investment required. In Affiliate Marketing the set-up cost is negligible 
with most programs being free to join and the merchant even providing 
you with the tools, tips and websites.

2. Pick and Choose Products:
With dozens of Affiliate Program providers and thousands of merchants 
having their own affiliate programs, there are several thousands of 
products to choose from. You name it they have it! In fact there are even 
Fortune 500 companies to choose from. The idea is to pick and choose 
your niche products and promote them.

3. No need for an Inventory.
The hassle of purchasing, stocking of items and storing of finished 
items (in a production unit) and dispatching them are not there. There is 
no need to maintain an inventory. It is all handled by the merchant.

4. No need for Employees.
In any business the wages of the employees is one of the major 
expenditures to contend with. Here the problem does not arise since the 
marketer himself will operate his home business and probably get the 
assistance of a family member to help him.

5. Necessity for Customer Service does not arise.
Customer service plays a major role in the success or failure of a 
business. The advantage here is that there is no direct dealing with the 
customers. The website will automatically direct the customers to the 
merchants.

6. Two Tier Affiliate Marketing:
An attractive feature of certain affiliate programs is that they have a 
Two tier system, whereby affiliates can sign up as sub-affiliates below 
them. When the sub-affiliate earns a commission, the affiliate above 
him too earns a commission.

7. Income without a limit.
In a paid job the salary structure has a vice-like grip over your 
monthly income. Here the possibilities are limitless. Though it is not every 
marketer who earns a big income, the fact remains that avenues are all 
there for the enterprising marketer to make it to the big time.

8. Global Market Place.
You no longer need to restrict your market to your home town or 
country. With your well chosen niche product you can sit in the comfort of 
your home and target the Global Market.

9. Low Risk Factor.
The risk factor in Affiliate Marketing is so small that it has become 
one of the major attractions for many Home Based Business entrepreneurs 
especially for those with low marketing budgets.

10. Business works Right Round the Clock.
One major asset of Internet marketing is that your Website, or in other 
words, your Home Based Business never sleeps. It works right round the 
clock (24/7) making money from home for you.

Having indicated the above reasons for the popularity of Affiliate 
Marketing, it has to be mentioned that statistics indicate that only 5% of 
the marketers do make big money. It is presumed that there are of 
course several thousands of marketers who make some money, thus giving them 
an additional income. 

As long as the top marketers in the 5% slab, continue to make their 
millions and the latter continue to make reasonable amounts of money and 
have the urge to emulate the top marketers, Affiliate Marketing will 
continue to draw the attention and be popular with Home Based Business 
Entrepreneurs.

About the Author

Copyright © 2005 Kanaga Siva

About Kanaga: Kanaga Siva has been a Marketing Manager and Business 
Manager and has a wealth of experience in Marketing. He now operates his 
own Home Based Business. For Articles, Resources, Tips and Ideas to 
start a Home Based Business from anywhere in the World and for other 
recommended Programs to make money from home, visit his website, 
http://www.business-fromhome.com


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