How can you make money with affiliate marketing and drop-shipping? Let’s first get up to speed on defining what affiliate marketing and drop-shipping are.
For those of you who have a good grasp of these concepts, skip this section.
What is affiliate marketing?
Affiliate marketing is when an affiliate (you) sends a buyer to a merchant’s sales page, they buy the product, and you earn a commission, a percentage of the sales price.
What is Drop-shipping?
The dropshipping system is similar to affiliate marketing except for the buyer purchases the product from you, yet you don’t have the product in your possession.
Once the buyer has purchased the product, they get buy the product from the supplier for significantly less and earn a profit from the sale of that product.
How do you put these two concepts together and earn even more?
You’ve probably guessed it. The main business is the dropshipping business.
As a drop shipper the customer buys the product from you but instead of directly purchasing the product from your supplier, you purchase it through your affiliate link giving you the opportunity to earn a commission from the supplier as well.
Many drop shippers do this on eBay, with Shopify and their own eCommerce stores.
Many eBayers search Amazon for significantly discounted items at Amazon and Walmart then resell it at the retail price on eBay and pocket the difference after purchasing the discounted item at Amazon or Walmart.
But many of the products are from marketplaces like AliExpress and are marked up.
You can avoid the problem of paying a premium for these products by buying products from AliExpress through your affiliate link without having to pay the middleman (Amazon).
The best ways to make money with affiliate marketing and dropshipping are often the most simple.
The next problem you need to solve is getting buyers to your website and still keeping your profit margins high.