Why Network Marketing is Better Than Affiliate Marketing (For Newbies)

If you are considering doing your first steps in internet marketing, I’m going to explain in this post why should you choose network marketing and not affiliate marketing. Some people, when they hear the term “network marketing”, have an immediate impulsive rejection. I believe that it is too bad. For them. Especially for internet marketing newbies, network marketing has a huge advantage over affiliate marketing, that can save a lot of money, time and effort. But first..

affiliate marketingHow to make money in affiliate marketing

What attracts many people to online marketing is that they hear that they can earn money on the internet. A lot of money. According to rumors, a few years ago it was even pretty easy to do so with simple affiliate marketing strategies. The book “Google Cash” is a book from 2003 (look for it in Google). In this book, the author Chris Carpenter describes how easy it was to make money in affiliate marketing 10 years ago: EBay, for example, paid $5 for each client who subscribed to the site (for free). What Chris had done was using Google pay-per-click ads (what is called Google PPC), and directed people directly to the EBay site. And he would find enough relevant keywords for which he paid five cents for every person who clicks on his ad. Back then, the affiliate marketer’s job was to know how to find lucrative offers and connect them to Google, Yahoo and other search engines advertising platforms. Conversion rates were high because people were really looking for something in the search engines, and Chris was paying pennies to give them what they wanted. And he also did not have to work hard to do it: He was just sending them directly to the company website.  

Affiliate Marketing – What is happening today?

In Clickbank, a very popular affiliate marketing marketplace, the average commission for an affiliate product with a reasonable gravity (which means there are people who advertise it) is usually around $20. The average keyword in Google keyword tool is more than a dollar per click. There are even keywords that you need to pay more than $40 per click! google ppc keyword rates How can you run successful advertising campaigns in these conditions? How can you make money in a campaign where you pay $40 per click? The truth is that to succeed in affiliate marketing today, and make some real money, you must be a professional. Marketers today build websites, capture contact information, build mailing lists, and offer their lists a number of relevant proposals. For example, if someone is searching for the keyword “car loan”, they can also offer him “car insurance”. By offering several relevant proposals, they can increase their profit per lead and pay these outrageous prices per click on their advertisements. Today, most of the people who are doing affiliate marketing are involved in SEO to get organic traffic from the search engines to their offers, since Google ads are just too expensive. So you too will need to learn the skill of SEO, which each is another high barrier. They also make optimizations for their pages to increase conversion rates. Pre-sales, video marketing, copywriting, NLP, everything that is needed in order to eventually make the sale, which is the goal that they seek. Is it possible today to make money in affiliate marketing? The answer is certainly yes, but it’s not easy, since a newbie will have to master many new skills. He can try to acquire these skills from free resources in the internet, wasting a lot of time, or he can waste a lot of money buying very expensive courses that might shorten his learning curve.  

Internet network marketing vs affiliate marketing

In the past, network marketers often had to chase their friends and family, or to ambush local customers at the mall. Most of the marketers today still do that. Those who are using the internet to build their business see much resemblance to affiliate marketing. Network marketers also build websites, capture contact information and offer their lists all kinds of offers in addition to their main program. I for example, promote MLSP to my list, a tool that helps me a lot in my business. I’m also promoting several others affiliate programs. Same as affiliate marketers, online network marketers should learn to get traffic to promote their sites. So they need to learn the skills of SEO or to master paid advertising. In short, online network marketer isn’t easy as well. So where’s the difference?  

The difference is the support

As an affiliate marketer, your goal is making a sale. After making a sale, there is no connection between the you and the person who bought the product. In network marketing, on the other hand, the support is built-in the compensation plan If you want to learn internet marketing (which includes building websites, mailing lists, article marketing, etc.), you can join a team that is doing network marketing online and learn their methods. They will teach you! Your success will inevitably lead to an even greater success for them as well. No one has any interest in teaching you affiliate marketing! Imagine that you discover an amazing way to get traffic from Google for one cent a click. Would you share it? And create yourself a competitor? Of course not! At least not for free. And that’s why so many affiliate marketers require a lot of money for their training. And now, imagine that your MLM sponsor had found the same technique how to get Google clicks for cents. Do you think he’ll teach it to you? If he is smart he will, because he will be rewarded from sales that you create using it. While for affiliate marketers the sale is the end of the relationship with their customer, for network marketers the sale is just the beginning. Because after you join, your team, if you chose a good one, will have to teach how to achieve your own success.  

Internet Marketing for Newbies – Why should you choose network marketing

You can make money online, in affiliate marketing or in network marketing. In both cases it requires perseverance, learning, and professionalism to get results. It’s not easy money, but those who persist either way will get results. The advantage of network marketing is the power of the group.  It can give you guidance on methods that are working now, shorten the learning curve needed to succeed, and ultimately save you lots of money on unnecessary training or unsuccessful attempts. The group also can provide a supportive environment by motivating you in times when you are low, or provide you drive when you see someone else who has success. However, there is one huge disadvantage for internet network marketing: where can you find a team of online network marketers team that knows what to do? If you are really serious about your success, I’m looking for you. This year I’m going to take a number of people and work with them, teach them everything I know that brought me to my success.

=> Click here to work with me <=

To Your success in life Hezi hezi     Join me on my Facebook Page: Hezi on Facebook Follow me on Twitter:Hezi on Twitter. Skype: hezi.h

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Hezi Hershkovitz

Networker & Social Media Expert at SuccessHowTo
Onine marketer, social media expert, and all around great guy. Hezi coachs people on internet marketing and on how to make money from home.

20 Responses to Why Network Marketing is Better Than Affiliate Marketing (For Newbies)

  1. David

    This seems very helpful. And while it makes sense, I am into both, & will
    succeed in both.

    • Hezi says:

      With that spirit I believe that you will :) I might didn’t stressed it enough on the post, but it is not that I am against affiliate marketing. I do them both myself. Actually, if you are in internet network marketing, you must join some affiliate programs to increase your cash flow. Thanks for your comment

  2. Hi Hezi,
    Very in-depth post. I don’t think most people understand the commitment and learning curve that is associated with both affiliate and internet network marketing. This is the sad truth that causes many to stumble. I am working on an idea right now that is sort of like a “rest stop” on the information highway full of maps, more on that later!

    Anyone reading this post should get a clue that there is more to it than meets the eye!

    JosephJYoung recently posted..Bad Debt Will Remove Your LandmarkMy Profile

  3. Dan

    Wow Chris had a serious setup going there!

    The CPC rates there days are out of control. Even $5 for a click is very hard to make money on in most industries. $50 is crazy!
    Dan recently posted..The 5 day Microsoft detoxMy Profile

  4. Bob Warren

    Have a Super Friday!

  5. Hezi,
    Affiliate marketing and MLM are truly a match made for each other! Not only does the method bring the humanity back to the cold business of selling, but everything is made better with company. Thanks for being willing to teach newbies the roaps. 
    Rebecca Reddy recently posted..Healthy Skin NaturallyMy Profile

    • Hezi says:

      I couldn’t have said it better. I agree that every internet network marketer should do affiliate in addition to his primary company as a mean to add additional source of income. Thanks for the comment.

  6. Stacy

    Hi Hezi,

    This is a good explanation of the differences between the two. One thing that is great about network marketing is the teamwork and the camaraderie. It’s more fun and more inspiring to work with a team. Everyone can help each other and that is much better than going at it alone!

    Stacy recently posted..4 Quick & Easy Ways to Land Your Comment in My Spam FolderMy Profile

  7. Barnett

    This post is very insightful, and network marketing is cool. But I would have to respectfully disagree. I would prefer affiliate marketing over network marketing, but then again they are very similar especially if you build a list.

    I guess the moral of this post is that if you build great relationships while doing business online you increase your ‘net worth’ therefore increasing growth of your income.

    • Hezi says:

      Building relationship with people that can guide you in your business is always beneficial. You can succeed as an affiliate marketer but it means that you will need to find good mentors to help you along the way. In network marketing being a part of a group is built within the business model, which sometimes, if pick your group wisely, can be very helpful if you get the support that you need.
      Again, there are a lot of parameters that every person should check for himself. It doesn’t matter if you and I don’t agree. What matter is what the newbie that reads this post is going to do :)

  8. Jamella Biegel

    Hi Hezi,

    I enjoy the team atmosphere in my network marketing company. I suspect that affiliate marketers tend to work alone. However, I am thinking about getting into affiliate marketing too. A fellow blogger wrote about a course that taught affiliate marketing step by step, and this blogger has had success since taking the course. I like having multiple streams of income and affiliate marketing could be one of the streams.

    Thanks for sharing.
    Jamella Biegel recently posted..Why Did You Start Blogging?My Profile

    • Hezi says:

      Hi Jamella
      I know that you do internet network marketing. It is my opinion that you MUST do affiliate programs as well that serves as an additional income streams. This cash flow can help you getting some more money into your business and push you into profits (or even more profits than you already getting). Maybe we should compare our affiliate offers to help each other :)

  9. Tosin

    Hi Hezi,

    Love this! Love this!!

    It is so true that both have their merits and that they are not mutually exclusive. Most online marketers I know do both and you gotta love the multiple streams of income.

    But like you said, the difference lies in the support. Affilate marketing is for quick sales, while Network marketing is kinda residual, or is supposed to be residual.

    It is important for the networker to know the difference so that he can place more emphasis and focus on one than the other.

    Thanks for sharing
    Tosin recently posted..MLSP Success Stories: Tucker KeelingMy Profile

  10. Claire says:

    I am not experienced with network marketing. Glad that I found out about it through your article, though. I am willing to go for a test and try both of them, in comparison. From my experience, affiliate marketing can get you nice money if you work hard. I hope network marketing is indeed better than this one, as you said.
    Claire recently posted..What Is Mold Abatement?My Profile

  11. A very well said post you’ve shared. Internet network marketing certainly obtains greater advantage over affiliate marketing. Network marketing takes higher level of interaction and learning process, level of professionalism, also brighter path through success.

  12. Nick Broutin

    Great post Hezi. I like to do both, Networking is so much fun!
    Nick Broutin recently posted..Michael Jordan’s Trademark Law Suit in China – Chinese Law Office AcceptsMy Profile

  13. debbie

    Very good comment..I would agree it is so very important to have a mentor to become successful with affiliate marketing and network marketing.
    The one difference I enjoy is with affiliate marketing I am responsible for the outcome , in network marketing you have a team willing and eager to work with help you with your outcome.

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