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You don't need anything, but it helps if you have experience with (in order of importance, IMHO):
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1) computer programming
2) marketing
3) search engine optimization
4) web design
5) knowledge of the niche your site is in
6) business management
7) analytical skills
8) graphic design
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If you're lacking in one of those areas, it will be a limitation that you'll have to work around. You might get around it by outsourcing. You might get around it by working in areas that don't require as much of that skill. You might get around it by learning as you go.
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Consider your "exit clicks". Every page you produce has a means for the reader to get elsewhere:-
1. An internal link to elsewhere on your site.
2. The back button on their browser.
3. An advert.
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You need to force people through to #3. you need just enough content on your page to attract the traffic, but not quite enough that they get what they're looking for. By a process of manipulation (getting the copy right takes a little practice) you make their preferred exit route an ad. click. Most of the time advertising is about selling something. You need content to attract potential buyers (I personally find widget "reviews" the easiest way to accomplish this).
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Standard common or garden SEO rules apply in terms of getting the traffic in the first place.
Concentrate not on the reader, but on the advertiser. You're effectively acting as their sales agent. Give them what they want (a sale) and you'll be rewarded by Smart Pricing (and you can bank on google making this smarter as time goes on).
I wholly agree and subscribe to the big fish in a small pond theory.
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Depends on your business plan and abilities.
Catch all sites have the ability to cross and upsell and can bring in huge amounts of traffic. A good example of this is Shopping.com.
Single purpose sites have the ability to focus in on a single niche and do very well in their specific niches. A good example of this is PDABuyersGuide.Com.
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The key to both these models is to maintain focus on your business goals and not loose sight of your abilities.
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Both these models have worked for a lot of people.
Find out what works for you, do you want a pricing comparision, a reviews site, a classifieds marketplace, forums? Do you want single merchant, multiple merchants?
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I tend to prefer a model that requires planning. I might look at an affiliate niche for months before I can come up with an idea on how to integrate it in my portfolio. Many on the other hand test the program the second they signup by using PPC, I have never been able to figure out how that works.
I disagree demanding a one-year contract, from website advertisers, for a couple of reasons. First of all, you scare away potential advertisers. On my sites I let advertisers take a spot for as little as one month. That way they get to test the waters to see how it works for them. I definitely think they appreciate the ability to have a short trial period.
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The other reason is, once you get a long contract, you've locked YOURSELF into the amount of the contract. What if you learn a month later that your space is really worth three times what you sold it for? Or what if you priced it appropriately when you sold it, but you were charging a flat rate and now you have triple the pageviews so the space is worth more? Too bad, you gave the customer a one-year deal, and now you have to wait another 11 months before you can sell it to somebody else or charge the same advertiser a higher price.
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Let advertisers pick between 1 to 6 months when they sign up, but make them decide right when they sign up how many months they want in for.
Once you have more willing advertisers than ad spaces, you can sell your space at auction, and find out how much it's *really* worth. I wrote an ad-auction system for a site that had a waiting list of advertisers, and in seven months we're now bringing in over 250% of what we were before.
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I have over time had a range of affiliate programs, adsense and companies buying ad space on a CPM basis.
Occasionally I have had affilate income that worked out at an incredible CPM for me (relative to adsense and what I would charge someone) but it rarely lasts with any given program. I also have had experience with major brands clearly not paying out properly on an affiliate program and it really dents my confidence. They were provided details of transactions that didn't track, apologised and credited me with the amount, but it hardly inspires.
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I used to spend quite a lot of time rotating affiliate programs to provide appropriate offers to my users based upon my content, but frankly the time it took was so long. These things needed to be checked all the time as companies left the affiliate networks, or they changed their terms to screw you over, or they didn't convert - or in one case they just went bust!
Adsense on the other hand is fire and forget. Sure I make a low CPM rate off it, but it is ZERO hassle. It updates itself to be relatively appropriate, and I trust Google to pay me (being kicked out aside) regularly and mostly on time. The time I spent playing with affiliate programs was time I could have spent doing other things to make money, and has to be taken into account.
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If your site is making 6 figure sums a year through its advertising, then it's well worth squeezing out maybe another 20% income from it with affiliates. If you are making 10k a year, and you spend a couple of hours a week rotating programs for the best return, are you really up on the deal overall?
Convenience and reliability of payment are always the main selling points for me with adsense, because I value my time too much to play around with the alternatives.
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As the sites got bigger, I was contacted by companies wanting to advertise direct, and that is the best money maker of all for me and I rarely have any space left for affiliate programs now. Of course, this assumes you have content that someone would specifically want to advertise on....
Use an automatic number as the Primary Identifier Key.
For each table, use only one field, as the primary key and linking field, to other tables. This becomes the unique identifier, for every record. It is the only linking field, to other tables. Never use data as the primary key.
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In Practice.
Companies often use a company-created ID, to link relational data together. This is not recommended. Ideally, as a reference, a table linking field never changes.
Suppose a company wants to change an ID, as the company grows. At first it seems OK. However, as time passes, it becomes clear the ID system is outdated.
Now, the company has millions of records, in active and history tables to change. Since this ID was used as a linking field, all the data using the ID needs to change. With millions of records, this is no easy task. Add to this all the code referencing these ID's, in different company software.
Recommended.
Use an automatic number as the primary key, to identify and link. This avoids worrying about the above situation. This saves time, money, and energy.
By definition, 50% of the population is below average
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There is a huge population out there that doesn't think. It's a terrible thing to say, but it is so true.
There is a great big part of the world that wants to believe that something can be had for nothing, and that it really is just that easy.
The reason microsites work (and As Seen On TV items) is because some part of every person believes there is a better way. But an overwelming portion of the population is even more subseptible because, frankly, they don't have a chance at it.
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Have I run a microsite? No. But I have overseen the sale of thousands of ASOTV and diet and sex products. It's all the same. Appeal to that sense of need, of better life, of something more. That is all there is to it.
At the end of the day it needs to be a business decision. What results in more profits for your business?
As a merchant you want to make as much money from your affiliate program as possible. You need to consider the following:
1) Does filling the search results page with listings for your company (instead of your competitors) help you do this?
2) Are affiliates causing confusion or misleading consumers by placing their ads?
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If affiliates present a variety of different links to your site when searches for your name are done, this might be thought of simply as better merchandising. It presents the visitor with a variety of different ways to enter your site and they may be more likely to enter the site on a page that contains exactly what the are looking for so total sales are higher.
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Most affiliates probably prefer no restrictions and if this policy results in more profits for the merchant, then its a win-win situation. If it doesn't then one workable policy is for the merchant to specify in their TOS that affiliates may not outbid the merchant for the merchants branded terms. By doing this affiliates can still make some cash, the merchant gets added exposure and sales and there are likely to be fewer ads for competitors showing up.
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The other thing it makes sense to add into the TOS is that affiliates cannot put things like "official site" in the ads as this almost certainly causes confusion among consumers when there are 2 or more ads for the same site all claiming to be the "official site". Any merchant who runs an affiliate program should at least consider PPC campaigns on thier own brand name. On the other hand, an affiliate program can serve as an outsourced PPC program if the merchant either doesn't have the resources to run a PPC program or simply prefers not to put in the work to run PPC.
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If the decision is made not to allow affiliates to bid on brand names, the best bet is to give notice (typically 7 days) of the change in policy to give affiliates time to change their campaigns or adjust their bids.
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PPC affilate takes a bit of guts. I would NOT suggest that you attempt it on a large scale unless you are very good at PPC. That means you know all about misspellings, ROI, tail keywords and all the fun quirky stuff that goes along with PPC.
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If you really want to try this, spend a month or so (at least) with researching adwords and Overture. Then start out small. One merchant, a few products. Think back to high school algebra and figure out a formula for how much you can pay per click. Set up an excel spreadsheet to track everything.
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Build it from there.
NO - unless you really want the loads of calls or you are just lonely, don't do it. It's all very well to say that you may make a lot more sales, but the flipside to this approach doesn't become apparent until you have lots of sites selling lots of stuff and can't get to the toilet because you are stuck on the phone.
You could always say that you'll just employ people, but then you have them to deal with as well as the constantly ringing phone.
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I accept the above points about high ticket items, but thought it was worth posting a balancing comment.
Imagine if every visitor you had called u every day - if you can deal with that, go for it.
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