Affiliate marketing is the marketing of other people’s products or services,
where you make a commission off each sale.
Find an offer, mail an offer.
To get clicks, you must have proven subject lines and email swipes.
Numbers don’t lie.
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EPC - Earnings Per Click
EPC is an important metric that I pay attention to closely. It means earnings per (100)
clicks.
This is a way for affiliates to understand what their earning potential will be if they
promote a product.
The EPC represents the average earnings of all affiliates, which are based on the number
of sales and clicks they send.
Here’s a quick and dirty formula for calculating EPC.
You take the amount of money, the net commissions you earn, and divide it by the total
clicks you send. If you make 100 dollars and 100 clicks, that’s a $1 EPC.
Here’s an example.
1. Price of your product: $100
2. Affiliate Commission received for each sale: $50
3. Net number of sales (after refunds): 25
4. Total dollars in commissions: $ 1,250
5. Total number of clicks on affiliate link: 1000
Net Commissions Earned ($1,250 or $50 x 25 sales) divided by total number of clicks
(1000) = EPC $1.25
Keep in mind that the EPC you are given on an affiliate site is an average so your results
will vary based on the prospects in your list, how many they buy, how many times they
click, etc.
Also, different sites calculate the EPC ranging anywhere between 7 days to 30 days so
pay attention.
Note: Some affiliate programs will artificially inflate their numbers by reporting EPC
without the refunds taken out. Be honest with yourself and others when calculating and
deduct refunds for a true reflection of EPC.
EPC can be affected by what your list does once they click.
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You may have a lot of clicks but only a small percentage of those clicks will actually
result in a sale.
If that small percentage only purchases one item, your EPC will be low.
On the other hand, if you have a lot of clicks and a small percentage of sales, yet those
who bought purchased multiple items, your EPC could increase dramatically, resulting in
your earning more transaction.
Here’s some simple math. If you had 100 clicks with a $1 EPC, it would be $100 a day.
That would be $700 a week. 1000 clicks at a $1 EPC is $7,000 a week and then $30,000
a month. That’s how the numbers work out.
However, you’ll never get clicks unless you get subscribers.
If you don’t get subscribers, then this whole thing doesn’t work.
If you don’t push send, you’ll never get a click so you’ll never make money from them.
If you don’t find offers that work or convert, EPC, you’ll never make money. Those are
the three key elements to make this happen.
When it comes to EPC, there are three different types of offers.
There are pures, hybrids and biz ops.
Biz op offers are usually over at Clicksure or “Scamsure” as I like to call it.
An example of a biz op offer is one that promises if you take this special pill, you will
magically lose 100 pounds.
An example of a pure offer is work your butt off, walk every day and eat right to lose
weight.
A hybrid bridges the gap between the pures and the biz ops.
Clickbank offers hybrids that lean a little closer to the biz op world.
WSOs, which is a Warrior Special Offer, found on Warrior Plus, are typically more
towards the pure side.
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The reason I focus on selling WSOs is because I can sleep at night selling them. It a
product on Warrior Plus is garbage, you’ll know it right away because Warrior Plus
shows you the refund rate.
On top of that, the person selling the WSO will get called out on Warrior Forum.
Looking at my own personal numbers over the years, here’s what I’ve found to be true.
On Clicksure, I would have a 60% refund rate.
On ClickBank, I would have a 30% refund rate.
If I promoted a WSO on Warrior Plus, I would have a 3%-6% refund rate.
If that’s not a reason to use Warrior Plus, I don’t know what is.
Out of those offers, there are three types that make the most money.
The number one offer to mail is make money online. Number two is “online” traffic
offers.
There are two kinds of traffic offers out there- free traffic and paid traffic.
When you have a choice, free traffic beats paid traffic, every time.
Number three is about “being” an affiliate.
It’s not about getting affiliates but about being one.
Those three offers are your best bet when deciding on what type of offers to mail.
Tap into the offers that are selling. It’s important to have a community in which you can
ask people, “What are you mailing that’s working? What’s selling for you?”
This is what a lot of the big names in internet marketing do. The only two places that
allows you to do this are JV Zoo and Warrior Plus. I’d rather use a platform where I can
get the numbers and evaluate them.
My client Andrew explained EPC why you should evaluate your EPC on a continual basis,
“When you can only expect a certain amount of clicks per email, you want to get the
most bang for your buck and EPC will tell you which offers give you the most bang. You
can also use EPC to look at your overall performance of your list. So there’s EPC you
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should concentrate on for each offer and then there’s your own overall EPC for the life
of your list. Both are important.”
During a weekly webinar I have with my clients, Sharvin had some valuable insights to
share about EPC that to some may seem counterintuitive.
She said, “One thing I’ve noticed is the importance of understanding your subscribers.
Most marketers flock to high EPC offers because they assume they will make the most
money out of those.
But I’ve noticed that if you’re constantly doing that and the offers don’t really resonate
with your subscribers, you may be reducing the lifetime value of your subscribers.”
Can you tell Sharvin has a degree in philosophy?
Keep in mind that you must take into account both things when finding offers.
Simultaneously, you must consider EPC and understand what offers suit your list best. If
the EPC for an offer is high but not a good fit for your list, you may be wasting your time
and losing out on the opportunity to make money.
Once you mail out your offer, you can then calculate your EPC and see if it’s worth
sending again.
Over time, you can make this determination by using your average EPC that you’ve
gained from experience.
When you know your average EPC, you can then see if the EPC for that particular offer is
higher and lower and then base your decision off of that.
Bear in mind that when ascertaining which offer to mail, the percentage of commission
you will receive varies from offer to offer.
Two offers may appear the same by having the same EPC listed but if the commissions
are higher on one product than the other, it’s an obvious choice as to which one you
should choose.
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