clickbank dominance

Document Sample
clickbank  dominance Powered By Docstoc
					                               Clickbank Dominance
                  How To Get To #1 Position on Clickbank by….
                            Jason “Profit” Moffatt

     Understanding the Clickbank Ranking System and How To Use It To Your
                                  Advantage.


Have you ever had your product in the Clickbank marketplace but could never seem to
rank higher then one of your competitors?

This happened to me once and I was really frustrated. I was in a very competitive niche.
It’s probably as competitive as you can get. My product ranked #2 in this particular
niche, but I could never get to #1.

I desperately wanted to overtake the #1 position, but how do I do it?

First, we must take into consideration all the factors that Clickbank uses to rank each
product.


         What are the determining factors in raising your rankings at Clickbank?

Here are the words straight from the horse’s mouth…


“Every product listed in the ClickBank Marketplace is associated with a sales commission rate.
Commission percentages range from 1% to 75%. On any one sale the minimum commission is
$0.25 and the maximum is $100.00.

In the Marketplace products are ranked by their "productivity score". To preserve the integrity of
the system we do not publish the formula for the score, or the score itself, but we can say that it is
a function of these four factors:

    1. $Earned/Sale: Average net amount earned per affiliate per referred sale. Note that this is
          the net earned per actual sale, and so it is impacted by refunds, chargebacks, and sales
          taxes. (Effective 28 July 2005, unfunded sales, such as returned checks, do not impact
          this number.)
    2.    %Earned/Sale: Average percentage commission earned per affiliate per referred sale.
          This number should only vary if the publisher has changed their payout percentage over
          time.
    3.    %Referred: Fraction of publisher's total sales that are referred by affiliates.
    4.    Gravity: Number of distinct affiliates who earned a commission by referring a paying
          customer to the publisher's products. This is a weighted sum and not an actual total. For
          each affiliate paid in the last 8 weeks we add an amount between 0.1 and 1.0 to the total.
          The more recent the last referral, the higher the value added.
All factors are combined, and adjusted such that more recent sales activity is given greater
weight. Products are not listed until at least one has been sold.

To improve their Marketplace ranking products must show a history of reliably converting referred
traffic to paying customers over the past 8 weeks. Products that maintain a higher ranking
naturally attract more affiliates, and make more sales overall.”




So we know there are at least 4 things we can do to boost our rankings. We don’t know
which of the 4 parameters is more valuable then the other, so, it only makes sense to try
and boost the numbers in each of the 4 factors.

Let’s take them 1 by 1.

    1. $Earned/Sale: Average net amount earned per affiliate per referred sale. Note that this is
        the net earned per actual sale, and so it is impacted by refunds, chargebacks, and sales
        taxes. (Effective 28 July 2005, unfunded sales, such as returned checks, do not impact
        this number.)




This one is easy to tackle.. You want to help yourself and affiliates make as much
money as possible. This can be done in a variety of ways.

    A) Charge a lot of money per sale. Of course this will need to be tested, because
       selling a product at $47 can be more profitable then pricing it at $97. However, in
       my experience, the higher price always has done better for my niches. Don’t be
       afraid to jack up your price. If it doesn’t work, go ahead and lower it.



    B) Implement a “Affiliate Resource Center” that gives your affiliates all the tools
       necessary to promote your product.

Provide them with pre-made links with your keywords imbedded into the anchor text, as
well as pictures, banners, and email text.
One thing that I have found to work really well is to make Camtasia videos. I personally
imbed my affiliates ID into the “Jump URL” function of Camtasia. This allows the
affiliate to use the videos I made, but at the end of the video, it redirects to the sales page
with the Affiliates ID automatically imbedded.

I only have to make 1 video, and make a slight alteration to customize it for each affiliate.
It takes about 2 minutes to do so.

Beyond just helping your affiliates to make more sales, you want to do everything
possible to reduce the amount of refunds and charge-backs you get as well. (See the
chapter on “REFUND POLICY PAGE”) Refunds will hurt your ranking, so let’s keep
them down.

    C) Email your prospect every single day until they buy.

Most people are scared to death to do this, but I can almost guarantee you that if you slam
your prospects with emails, you will make a lot more sales. If you don’t believe me, just
sign up for Dan Kennedy’s email list and watch him drop the email hammer on you.

The more often you content your prospects, the better chance you have to make a sale.
Forget about mailing them once a week. If your not contacting them at least 5 times a
week, chances are one of your competitors is outranking you because of his email
persistence.

Once your prospect have bought from you, ease up on the email frequency and treat them
as your customers, not your prospects.

    2. %Earned/Sale: Average percentage commission earned per affiliate per referred sale.
        This number should only vary if the publisher has changed their payout percentage over
        time.




This one is also fairly easy to accomplish. The higher your commission percentage, the
better it’s going to help your ranking.
I personally like to use 51%. However I have used 75% at times as well. I don’t think
too much weight is placed on commission percentage, but I’m not sure. The reason I like
51% is because most people use 50%. Why not be 1 percentage point better then them?
It may not be much, but it is more.



       3. %Referred: Fraction of publisher's total sales that are referred by affiliates.




This is a HUGE SECRET that just about nobody takes advantage of. It’s not really a
secret, but it’s amazing how many people neglect the “% Referred Stat”.

If we are trying to boost all 4 of the factors that Clickbank uses to rank your product, then
it makes perfect sense to do all you can to maximize each of the factors. With the
“Commission %” there is only so high you can go before it becomes unprofitable to you.
Anything above 75% just wouldn’t seem to make much sense. In some circumstances
offering 51% would be much more profitable to you then offering 75%.

However with the “% referred”, you can massively drive up this stat. When you drive
up the percentage of sales coming from affiliates it accomplishes a couple things.

   A) It helps you rank higher in the Clickbank Marketplace
   B) It is attractive to other potential affiliates. Most people want to refer products that
      they know are already selling. If someone sees that 90% of the sales from a
      certain product is generated from affiliate sales, it pretty much tells you that is a
      profitable product. Lot’s of affiliates would not be promoting it otherwise.



                     So How Can We Drive Up The “% Referred”?


This method is used by few marketers, but it will drastically boost your “% Referred” to
90% or higher. Here’s what you do.
You NEVER make sales through your standard Clickbank link!

What Chu Talking About Willis?

What I mean is that you drive all your personal sales through various affiliate links. But
what affiliate are you talking about Jason?

I’m talking about YOURSELF.

What you need to do is create a few Clickbank accounts and get a couple of Clickbank
ID’s. Whether you run Pay Per Click ads, or sell your product through organic search
results, you always want to imbed your affiliate links into the URL when a customer pays
instead of your normal link that Clickbank provides to you.

Let’s say your product sells for $97. If you make the sale on your own, (without any
affiliates) you will make $89.44 after Clickbank fees.

If an affiliate makes that sale, and you offer 50% commissions, you will both receive
$44.72.

But imagine if you made the sale through the 2nd Clickbank ID you created. What would
happen.

You would make $44.72 in your regular account, and your affiliate (which is yourself)
will also get $44.72. So you still get the $89.44 for the sale, but it’s separated into two
accounts. Obviously you aren’t making any more money specifically on the sale, but you
are making more money because of this….


         YOU MASSIVELY DRIVE UP THE AFFILIATE REFERRED %


Now potential affiliates will be excited because they see that the majority of sales are
being generated by other affiliates.

If you want to make it to the #1 position on Clickbank, don’t cheat yourself by selling
your product through your standard Clickbank link. Make sure you use your own
affiliate ID’s instead.



       4. Gravity: Number of distinct affiliates who earned a commission by referring a paying
       customer to the publisher's products. This is a weighted sum and not an actual total. For
       each affiliate paid in the last 8 weeks we add an amount between 0.1 and 1.0 to the total.
       The more recent the last referral, the higher the value added.
For the longest time, most people were clueless about “Gravity” in the Clickbank
Marketplace. It was purely speculation as to what Gravity actually meant.

Recently Clickbank decided to let us out of the fog and has willingly told us what
“Gravity” is. However, even today, most people still have no idea of what Gravity
actually is.

The method needed to keep your Gravity high is to constantly recruit new affiliates.
Recently a friend wrote a book all about blogging. His Gravity was up near “350”. That
is an insane amount of gravity and affiliates.

So How Did He Do This?

Most likely he shared his book with a ton of people before launching it. He attained all
those affiliates in a very short amount of time.

I’m assuming he gave away his book to 100-150 well known marketers. Probably 50 or
so actually decided to market it and tell others, and the whirlwind got started.

From there, everyone else says… “Well Guru #1 and Guru # 2 are promoting it, so I
better hurry up and start promoting it too”.

Most of these affiliates that drive up his Gravity were marketers mimicking what every
other marketer is doing.

Don’t get me wrong. This book has some valid stuff in it. However I can’t believe it
generated over 350 affiliates when you consider there are a ton of products about
blogging that offered much more information.

However the owners of the resources did not approach a JV strategy as efficiently as this
guy did. That is why he has so many affiliates, so much Gravity, and was sitting atop of
the “Marketing Category” in the Clickbank Marketplace.

So if you want to drive up your Gravity, recruit new affiliates and make sure they SELL,
SELL, SELL.
                         Picking The Right Clickbank Category

Choosing the right category in Clickbank can make you much more visible to potential
buyers and affiliates.

Most affiliates like to promote products that rank in the top 10 and have a proven track
record of sales. Therefore you want to pick a category that you are confident that you can
rank well in.

If the number 6 and 7 vendors have over 30 affiliates, then it is going to take some time
for you to surpass them. You might want to think about choosing a different category if
there appears to be too much competition in the most likely category for your product.


                                    Affiliate Hijacking

Remember when I told you about being frustrated that my biggest competitor kept
outranking me in Clickbank?

His gravity was considerably better then mine, which means that he has more affiliates
actively promoting his book over mine. I was getting awfully sick and tired of seeing
him outrank me so I decided to do something about it.

I went to Google and typed in some phrases that were associated with our niche. About
40 ads would pop up in the “Paid Listings” section of Google (The Right Side).

I always check out all the ads that are competing against me. I sign up for all the
autoresponders and see what they are doing. While doing this, I came across a few
affiliates who were promoting my competitions website.

I saw their ads in Google, and clicked on them. Then I analyzed their sites and noticed
that they were promoting my competitor.


              Time To Do A Who-Is Search and Make Some Phone Calls


Before I make the calls to the affiliates, I need to make sure I can offer them a better deal
then they are already receiving from my competitor.

You might need to offer the affiliate some extra incentive to start promoting you over the
other vendor, or maybe your stats alone will convince him to switch.

It is very important to keep track of the amount of people who buy compared to the
amount of people are seeing your sales page. If you can prove that your sales page is
converting at 5% and your competitors is only converting at 2 or 3 %, chances are good
he will be willing to switch without an additional incentive.

When I call the affiliates I like to find out how they are currently doing with the vendor
they are currently promoting. I’m very laid back about the approach and really try to
make the deal profitable for us both.

Sometimes you might not be able to make a deal that will satisfy both parties. Most of
the time you will be able to broker some type of deal if you are smooth and keep both
parties interest in mind.

Ideally you should be trying to make yourself and your affiliate more money. If you can
effectively relay this to them on the phone, they will be very receptive most of the time.




                                   Refund Policy Page


Refunds are an inevitable part of doing business online. Some people go into a purchase
with the mindset that they are already going to return the product before they buy. They
know this while they are entering their credit card info.

Why would they do this?

Because they know that they can.

It’s basically “Refund Fraud”, but if you offer a 100% unconditional money back
guarantee you have to honor it. That’s how it goes, sorry Charlie.

In my opinion you should be quick to honor all refund requests that come in. It’s not
worth it to take a chance on having someone complain about your company to the FTC,
The Better Business Bureau, or any other agency that could be detrimental to your
business.

However there is a technique that I’ve seen quite a few people use that will drastically
reduce people from ever asking for a refund in the first place. Beware that this is against
Clickbank policy, yet I still see people do it.

By implementing a “Refund Policy Page” you can lay out the terms needed in order to
obtain a refund. I’ll explain the process in a second.
This method is applicable for reducing refunds at Clickbank, and other payment
processing companies.

Clickbank is infamous for “Refund Fraud”. On every sale receipt there is a message that
says……

“If you wish to refund this sale simply
forward this entire email message to:
refunds@clickbank.com”


This aggravates the hell out of vendors and rightfully so. Clickbank totally alerts any
new buyer that they can refund the product by simply sending a email.

Now I don’t mind a customer honestly thinking the product was not worthy of the price.
They have a right to refund if the product sucks. But when Clickbank blatantly points
this out the very second they purchase, it lets the buyer know that they can refund at any
time.

When using Clickbank as your merchant processor, you are subject to their rules. I
personally don’t have many problems with refunds. My refund rates range from 5% to
10% on most of my products. Many people would cringe at 10% refund rate, but I like to
think that I’m doing a great job on my sales copy and therefore will convince hesitant
people to buy. Some of these will inevitably refund.

I know a few guys that have products that sell like crazy on Clickbank, but their returns
are anywhere from 15 to 25%. That is a insane amount of refunds, but when your
making 10 to 30 sales a day it doesn’t hurt so much.

So here’s what some people are doing in order to dramatically reduce your refunds.

You build a separate page called “Refund Policy”. Now you must remember that if
anyone requests a refund (for any reason), you always give it. The purpose here is to
reduce the amount of people who ever ask.

We are going to make them feel like getting a refund is HARD WORK, and therefore
not worth the trouble.

On that Refund Policy page you create a set of requirements that the buyer has to fulfill
before he is eligible for a refund. Now we all know that he is eligible for a refund no
matter what, but most of the time the buyer doesn’t know this. The requirements could
be something like this…….

“If after 90 days you are not totally satisfied with your “Ticket Scalping Course” please
send us “COPIES” of all the tickets you purchased and were unable to make a profit on.
Once we verify that you truly attempted our methods, we will gladly refund you”.
Or, something like this….

“If you don’t land a job using our “Master Interview Secrets Course” simply send us your
last 6 job applications to prove that you actually tried our innovative methods”

The truth is, once people see requirements like these, they seldom will follow through
with the instructions to get their money back. Of course, they could just send a email for
any reason and get their money back, but most don’t know this.

When you make it sound like a huge hassle for them to get their money back, they often
don’t ask.

Now I’m not suggesting that you don’t refund people when they ask. You ALWAYS
give people their refunds. The trick is convincing them that the process of obtaining a
refund is too hard, and requires a bit of work.

This stealth ninja process is not only limited to just Clickbank, but almost all merchant
processors. As long as you follow the rules and give the refunds in a timely manner you
will be just fine. What we are trying to achieve here is to reduce the amount that will
ever ask.

                                         Closing

I wish you the best of luck on climbing the clickbank ladder. By implementing the
strategies and techniques that I have laid out here, you stand a much greater chance of
bypassing your competitors.

Keep in mind that whoever sells the most product or whoever makes more money each
month does not decide rankings. I have one particular product that ranks #4 right now,
and another product in the same competitive category that ranks #3. Believe it or not, the
product that is in 4th place does more then twice the amount of sales per month then the
product in the 3rd position.

So remember, in order to rank well in Clickbank, you will need to combine all 4 of these
factors and do everything you can to raise them all. Simply trying to sell more product
then your competitors alone doesn’t cut the mustard.

Here’s to your success,

Jason “Profit” Moffatt


PS: No portion of this book is to be transmitted, shared, or sold in any manner by
unauthorized parties. All contents are property of the author and shall not be distributed
without the authors written consent.

				
DOCUMENT INFO
Description: clickbank dominance