affiliate marketing is one of the most popular ways for people to get started online. People have the opportunity to get started with their own affiliate business in literally a few hours.
However, just because it’s so easy to start doesn’t mean it’s all plain sailing. In fact it’s far from it. Affiliate marketing has a low barrier of entry which is great but it takes a special level of persistence and dedication to achieve tangible results.
There are plenty of other business opportunities out there that would potentially suit people better. Many people prefer to deal with physical products or maybe you want to create your own course.
I’ve compiled a short list of great content i’ve come across that reveals some alternative online businesses to affiliate marketing. Many of these businesses are similar to affiliate marketing in terms of the low barrier of entry. Contrary to mainstream opinion, you don’t need a lot of startup capital to start a business these days.
How Does Affiliate Marketing Stack Up?
Affiliate marketing operates a unique business model where the affiliate is paid for successfully making a referral (if the person they goes on to buy something). It’s unique because you don’t need to spend time coming up with a product yourself or ship out anything to the buyer.
Let’s take a look at some of the biggest benefits of affiliate marketing:
- No requirement for shipping products out.
- Geographically free. All you need is your laptop and internet connection.
- No need to create products yourself.
I’m sure you can see why affiliate marketing is so popular.
Affiliate marketing shares some similarities to another popular online business opportunity… dropshipping.
Dropshipping is a product fulfilment business where the owner only buy a product when it has already been sold to a customer. Physical products are kept in a supplier warehouse and shipped directly to the customer when they buy something. Dropshipping provides many of the same advantages that affiliate marketing has to offer.
- No need to ship out products yourself or hold stock of anything.
- You’re in business 24/7 once you’ve set everything up.
- No need to come up with amazing products yourself. Just do research into the type of products that do well in the market and go for something similar.
Dropshipping differs from affiliate marketing in quite a few ways. Dropshipping is the business of selling physical products where as affiliate marketing can be both. In most cases, people promote digital products because you’re able to earn more commissions this way.
Dropshipping also has very low profit margins due to the low barrier of entry that results in high competition. This can be daunting for someone who’s just coming into the business and discovering that they’re only going to make a very small amount of profit per product.
What Type Of Business Is The Most Lucrative?
This is a highly relative question. There are people making millions in both spaces. It really just depends on the affiliate program, products you’re promoting, profit margins, size of inventory, amount of traffic and many many more variables. The right question isn’t what type of business is the most lucrative. The right question to ask yourself is which business suits me better?
You want to go with a type of business that you like. Something that you have an interest in. This way when it gets really difficult you won’t throw your toys out the pram and give up. It’s very important for you to do your research before jumping into something otherwise you may end up wasting your time.