Posted by Have you ever wondered how the REALLY big money is being made online? Not just good money like hundreds or even a couple of thousands of pounds/dollars a month. Big money. £5,000, £25,000, £50,000 or more a month.
The biggest secret to these results is Joint Ventures.
A Joint Venture (or “JV”) is simply joining efforts with another business to sell your product or service.
Obviously the other partner needs to benefit well from this arrangement. Usually the benefit to them is a percentage of the sales that they generate for you.
>> Good JV Partners – Where The Money Is <<
You can assure yourself of finding a great joint venture partner by focusing on a few key things:
A good JV partner has similar products or services to yours, without being threatened by any direct competition from you.
They have a lot of potential customers for you. This means either a very high traffic web site or a large newsletter subscriber list.
A very credible JV partner is extremely powerful. A good endorsement by them is very likely to give you strong sales.
>> How Successful Deals Are Formed <<
Like anything else in this world, cooperation boils down to “what’s in it for me?”.
To be successful, make sure you do the following for any JV partners:
Give them a quality product that they are happy to represent
Give them a copy of the product to evaluate without them having to ask for it. (You want to eliminate any additional steps to get them on board. Make it so they can say from the beginning “Ok, looks great. Let’s do it now”)
Offer a strong financial reason to do the JV with you. (It is not uncommon to offer 50% or more of sales to strong JV partners. Some people may question 50% as too high. Would you rather have 50% of a lot of orders or 100% of no orders?).
Don’t bother them unless your site is turning a good percentage of visitors into buyers. A site with a 1.5%+ conversion rate would be sufficient. Much lower than that and they probably won’t be happy with the performance of your site. The exception would be if you had an expensive item with a high commission.
Give them the statistics for how well your product is selling. If you have a 2% conversion to sales rate, let them know. This helps them quickly do the math to see if its worth it for them. If they send 10,000 newsletter subscribers your way, they could expect approximately 200 sales.
Make things as easy as possible for them. For example:
- If they need to set up an affiliate account, do it for them if possible.
- Offer the tools and information that they need to implement the joint venture as easily as possible.
- Give them example text that they can use to sell your product if they wish to use it.
I’ll discuss specific strategies on how to get joint ventures going in a future article. – I’m working on two possible JV partners myself… or hope to during the next 6 weeks anyway… (this is another reaosn for attending seminars, in my mind the ‘networking’ at these events is worth way more than the ticket price to attend)
Don’t underestimate the power of Joint Ventures!
By approaching strong partners in a manner which benefits both of you well, you can earn some excellent money together.