Joint Ventures and Affiliate Marketing
Typically a joint venture refers to a corporation entering into a pact with another corporation to work on a single project/product. But with e-commerce, joint ventures are taken to a whole other level. When thousands can be reached from the comfort of one’s own home, the possibilites that a joint venture create are endless. Affiliate marketers know all to well what a joint venture can do for their pocketbooks.
Affiliate marketing refers to someone promoting a product with the intention of gaining sales. The one doing the promoting is the affiliate and gains a percentage of the sales. Since affiliate marketing deals with more than just pushing a product in front of a potential customer, joint ventures are often quite necessary in affiliate marketing. The very relationship between an affiliate marketer and the product owner can be considered a joint venture as both are playing off each other’s strengths to gain a profit.
Since exposure is key to sales, it may be beneficial for an affiliate marketer to enter into an joint venture with someone who is skilled in driving traffic and/or leads. Alternatively, if the landing page does not pull the potential customer in, the traffic is basically meaningless. A joint venture does not have to be solely between two individuals or corporations; it can be a group or a team. In the affiliate marketing scene, this could mean the product developer, the markter, the traffic coordinater, the copywriter, and the graphics designer.
As the whole idea of a joint venture is to play on the strengths of the ones involved, it would only make sense to form a partnership with these types of individuals in the affiliate marketing game. The product designer/owner gets his product out there and purchased, the affiliate marketer makes his commission, and the others get their profits by providing the services they do best. Everyone contributes, does their part, and prospers.
Not only does creating a joint venture in affiliate marketing allow everyone to play on their strengths, it allows an affiliate marketer to promote numerous products. As the venture allows him to focus his time on what he does best, he does not lose money wasting his time on trying to drive traffic to a page that will not convert. A joint venture in the e-commerce world is generally a lot more profitable to everyone involved as opposed to the natural ones found in major coporations because online, time really does equal a lot of money.
No longer does a joint venture refer soley to a physical corporation combining its efforts with another physical corporation. E-commerce has brought the intangeable aspect of joint ventures into play. The same essential purpose and makeup still applies, but in the world of affiliate marketing, joint ventures become vital to success.