Many beginners searching for ways of making money online look into these avenues. When we compare affiliate marketing versus e-commerce, both have their own pros and cons. Either can be a fantastic start for a beginner. I have done both and decided to focus my time together with affiliate marketing. In this video I'll explain the advantages and pitfalls of affiliate marketing vs e-commerce to assist you decide for yourself.
Over the past year and a half, I had been building an e-commerce business. I wound up moving out from e-commerce to affiliate marketing. Although I moved from e-commerce to affiliate advertising, I think e-commerce is awesome. If you are going to go all into it, then do this up. You can create a lot of money and I know a good deal of individuals who are earning a lot of money with e-commerce. But I chose to go into affiliate advertising for a couple different reasons. If you are a newcomer with making money online, I would recommend affiliate marketing and I'll explain why in this movie. I feel like it's a simpler start for somebody trying to earn money on the internet.
I had a few e-commerce stores on Shopify. There is different ways to go about e-commerce. Many people today buy large stock upfront, others do white labeling or personal labeling, etc.. I was doing fall shipping. I was sourcing my merchandise from AliExpress. It's sort of like Amazon but with a lot of suppliers selling items for cheap. You don't ever have to hold inventory.
The wonderful thing about e-commerce compared to affiliate advertising is e-commerce provides you full control over everything related to your business. For instance, it's completely up to you what costs you wish to put your products at. The only thing that you need to make sure is you are not going into a reduction. You are either breaking even or making a profit. As long as you are doing that, you are able to set whatever price you desire. The added advantage of that is that you can also produce exceptional sales, give out discounts, as much as you desire. That is not the case with affiliate marketing as you're Affiliate marketing vs e commerce promoting other peoples' products. They set the price and you generally can not create your personal discounts or deals. It is up to the person selling. You are just referring customers.
Sometimes when you are a part of affiliate marketing applications, they also set other limitations on where you can advertise, the way you can promote their goods, etc.. With e-commerce you have complete freedom. While in online affiliate marketing, there may be some limitations you'll need to deal with.
Another thing that I enjoy about e-commerce is, as long as it is possible to sell your products, you receive full flexibility. You are able to choose from an infinite supply of products to retail or overburdened .
Alright, so why I moved on to affiliate marketing...
There are a few struggles that come with e-commerce that you frequently don't realize you'll face when you are first getting started. One is the costs. Drop shipping is most likely the lowest cost method of e-commerce. A good deal of people consider it like it's a"no-cost" manner but that's not correct.
The difference between e-commerce and electronic products or affiliate marketing is using the latter two, your financial plan is almost just advertising. There are not many costs beyond that, which means you get to keep all else. And if you're performing affiliate marketing, you do not even have to produce the product. You are referring people to other products.
As an example, I am an affiliate with ClickFunnels (among other programs). I understand I'm going to get a monthly recurring commission with that person of about $50/month. That means I broke even in the first month and I'm creating a profit for every month then.