Beware False Conversion Rates
Recently, I began promoting a Clickbank affiliate product that claimed to have a conversion rate of 1 in 16. This product was owned by a reputable entrepreneur and showed documentation that “proved” the conversion rate that they claimed.
As an affiliate, it looked like a good deal.
Just send targeted visitors to the sales page and make one sale for every sixteen or so visitors you send them.
So, I started working on my affiliate marketing campaign for the product. In this case, I decided to use pay per click(PPC) to promote it. Here’s why I started with PPC:
- With PPC you get results quickly. In other words, when you use PPC you don’t have to wait a month to see if your marketing campaign is working or not. Results for your campaign start coming in very quickly.
- PPC allows me to make money more quickly than other types of affiliate marketing.
- This product claimed to have a very high conversion rate, therefore making it idea for PPC.
Let me explain that last one a little.
Generally speaking, your conversion rate is a little lower when you use PPC than it is when you use other types of affiliate marketing. You can’t presell the product as much with PPC as you can when you’re marketing to your own list, visitors, or customers. There are ways to mitigate this, but PPC just isn’t conducive to relationship marketing.
So I started a PPC campaign for this affiliate product and started testing it.
Boy was I disappointed!
I sent 500 targeted PPC visitors to the affiliate product sales letter and didn’t make a single sale!
Even accounting for the affiliate marketing strategy that I chose for this product, the sales letter had a dismal conversion rate.
As I said before, a 1:16 conversion rate mean that 6% of all visitors to the sales letter bought the product. If I had sold just one product out of the 500 visitors I sent to the sales page, I would have gotten a conversion rate of 0.2%.
That’s aweful!
And it also makes it really hard to make any money promoting the product as an affiliate.
So I started looking at the merchant claims of a lot of popular affiliate products on networks such as Clickbank where the conversion rates aren’t independently verified.
I would guess that 40%-50% of the merchants are claiming 6% or higher conversion rates… And I don’t believe it for one second. That number becomes especially hard to swallow when you see some of the sales pages and take a look at Clickbank’s ranking system (gravity).
My point is that you need to beware that some merchants lie about their conversion rates. After all, it doesn’t cost them anything if you promote their product, send them free links, and never make any money. Most affiliates will assume that it’s something they are doing wrong, not the ineffectiveness of the sales page itself.
Something to keep in mind the next time you’re looking at prospective affiliate products.



I posted an article today called, “![Reblog this post [with Zemanta]](http://img.zemanta.com/reblog_e.png?x-id=f0d430b8-783a-470c-a48b-0d8fe4e0551c)
A lot of merchants who want to start their own affiliate program have trouble knowing just what to look for in an affiliate management system.





