Here we are winding down 2009. Not a good year for most. With companies cutting back and huge unemployment rates, millions of people lost there only source of income. Folks were forced to think outside the box ( outside the cubical ) and be resourceful. A number of people looked to online commerce which opened the door to a whole new life style.
Internet marketing put food on the table and introduced entrepreneurs to the work of “work at home”. One good example is program affiliate marketing where you get paid a percentage of each sale you produce for some one else’s product. An even BETTER example is a residual income affiliate program. The beauty of these is that you get paid over and over and over for each sale. It’s like getting paid royalties like a musician, or like getting a check month after month years after your TV show has gone into syndication. People from all over the world have learned to profit from affiliate marketing, but if the sales stop, so do the checks. With a residual income affiliate program, each sale compounds on top of last months sales.
Residual income programs are based on paying you the share of a sale from a particular customer. The payment is not limited to the initial sale. Instead, it carries on as long as the business entity is getting continued purchases from the customer. This means that you can earn for the work you are no longer actively doing.
For what ever reason, these residual income opportunities are commonly overlooked. Yes, it feels great when you get the hang of generating affiliate commissions, but if you could put the same effort into earning residual income – how much further ahead would you be in a year?
Plain and simple - residual income affiliate programs top regular affiliate marketing. Even then though, these programs come with different payout plans. For one there is the lateral payment structure. Let’s say that you refer 10 people to a website hosting company that pays you $7 per month – that’s $70 /month as long as they stay with the hosting company. Now lets say you refer 10 more next month, and 10 more next month. At the end of 3 months you would have 30 people X $7 (or $210 a month)
You may be surprised to know that very few people that say that they want to “work online” will ever stick with it long enough to even see a $210 month. At the above rate, even after a year you may expect $840 per month. Hardly seems worth all the effort when you look at it that way. You defiantly are not going to quit your day job this way. After you factor in taxes, and maybe health insurance, each person would need to pay closer to $20 a month for the service you are promoting to live comfortably.. but there is a better way.
For the second example, let’s look at a matrix payment structure. We will use the same example as above. Webhosting company - $7 a head – 10 heads - $70 the first month. This time though you will teach your first 10 people how to get 10 people of there own, and for each one they refer, you get just $1. In a perfect world, there would be 100 people in your 2nd tier that amounts to $100 just by you being a leader and mentor. With your original 10 people you are at $170 in your second month. What if this hosting company also paid you $1 for a third tier. Your 10 people taught there 10 people to get 10 people for a grand total of $1,000. So in the same 3 months your linier line produces $210 while this simple 10 X 3 matrix resulted in $1170!
Back in the real world though, you and I both know that people are lazy by nature. Some people don’t have the drive or level of commitment. Your ‘work at home’ job will be to inspire and motivate, and for those that fall along the wayside, you will need to replace them. It’s the nature of the game. Knowing this up front and even expecting it will help alleviate the discouragement for those that have the drive and time to make it work.
In summary, a residual income affiliate program will have better payout then standard affiliate marketing for the same amount of work. On top of that, if you can lay the ground work in a residual affiliate matrix structure – then switch your focus on teaching others how to profit there really is no limit to how much you can make.
Keep in mind though that there are about as many matrixes as there are programs out there. Some are good – some are frauds. There are one-up, Two-up, etc.. but that is for another article. Finding a system with a mentor is critical. Some one that know the program and can answer our questions.
I have put together a report that will show how powerful and profitable a 3 x 10 matrix can be. Traffic Wave is the machine and the Freedom Team is the fuel that powers it. While 90% of MLM marketers end up spending more then they make - 100% of the members that use the Freedom Team marketing system are making money.
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