Is Affiliate Marketing a Pyramid Scheme?

Let Me Explain How Affiliate Marketing Is A Pyramid Scheme…

Is Affiliate marketing a pyramid scheme?

Yes.

This answer may have not been what you expected but..

Let me explain myself.

How Is Affiliate Marketing A Pyramid Scheme?

Affiliate marketing is indeed a pyramid scheme, but not in the way you may be thinking.

Take a corporation, for example.

  • First you have a CEO at the very top- this person is making the most money
    • Next, you have the managers- they make a little bit less money than the CEO, but they still make good money.
      • At the bottom are of course, the entry level employees- they make the least amount of money.

Now how does this apply to being an affiliate marketer?

Well think of where you might be within the list above.

Let’s use the Amazon affiliate for example.

Are you the CEO of the affiliate? No.

How about the manager? No.

Are you at the bottom? Yes.

Although you may not feel like it, you are technically the entry level employee.

Now the people above you are the product creators.

The products that you are trying to sell, these people own.

You are helping them with sales and traffic, so you are supporting them and working for them by promoting their products.

At the very top is Amazon.

  • Amazon- they make the most money
    • Product creators- they make a lot of money, but much less than Amazon
      • The affiliate marketer- this person makes the least amount of money

So as you can see, Amazon is at the top, but the product creators support Amazon by giving them a cut of the money they make from the products they sell through Amazon.

While the affiliate marketers support the product creators by promoting their products and encouraging their products to sell.

Being an Affiliate Marketer in The Pyramid Scheme

As you can see, affiliate marketers are at the bottom of the pyramid.

This does not mean that they do not make any money at all.

In fact, affiliate marketers can make a lot of money from promoting the product creator’s products.

The more money the affiliate marketer’s make through affiliate product sales, the more money the product creators will make.

The more money the product creators make, the more money Amazon makes.

So in the end, everyone is making money.

Affiliate marketers do have to put a lot of work into making their money.

With that being said, if you put in the hard work first, you can start making money without having to work as hard.

For some, this may take longer than it might for others.

With plenty of knowledge and patience, you can begin making a full time income within a few months of hard work.

Being an affiliate marketer can potentially bring you a lot of money.

As opposed to the corporate pyramid scheme, the affiliate marketer scheme works a little bit differently.

Although affiliate marketers are at the bottom of the pyramid, they still make a lot of money.

They can easily live off of their income with no trouble at all.

For other entry level workers, they may never be able to comfortably live off of their income.

Affiliate marketers can also choose how much they want to make.

The more products they promote and sell, the more money then end up making.

For entry level workers, they can work for several years and still only make minimum wage.

So, being an affiliate marketer does not mean that you are at the very bottom.

You can be just as successful as being a manager in the corporate pyramid scheme.

Work Your Way Up

Here are a few tips for beginners to use when trying to work their way up.

  1. Find a niche and make it yours- make many websites about this niche
  2. Cross promote your website with other similar websites- find a website that does not compete with you, but instead complements you
  3. Avoid working with your competitors- do not work with anyone within the exact same sub niche as you. You can have a website about dog collars and work with a website about dog toys. Do not work with another website about dog collars.
  4. Start promoting other products before creating your own.
  5. Pace yourself and be patient

When it comes to being an affiliate, you are not stuck in one spot.

You will have a lot of space to grow and work your way up.

In the beginning you will have to work hard because you are at the bottom.

Once you have earned your spot within your niche, you can begin to grow and expand your website.

 

 

 

 

 

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