The Case Against Making Money Online (part 2)

In one of my last posts I went over the pros and cons of affiliate marketing (if you haven’t seen it yet go and check it out )

But in this post I want to focus on product creation. Now don’t get me wrong, I highly recommend you go into affiliate marketing and creating your own products, but there are some drawbacks to both strategies. Having said that there are massive upsides as well.



When your trying to build your list, especially if you’re using paid traffic, the key is to turn that traffic into a profit as soon as possible. If you don’t have your own products you rely on affiliate recommendations to monetise that traffic. A couple of drawbacks to this are-

1) You will (in most cases) only get a percentage of the sale therefore recouping paid traffic investment is harder and getting into decent profit will take longer. It is also unlikely you can promote mid-high ticket products straight away, before anyone knows you, likes you and trusts you they are unlikely to part with significant sums of cash. Some will, but most won’t. You have to ‘warm them up’ first. If you had your own products you keep ALL the money as opposed to just a percentage so the initial front end sales can cover you traffic investment easier and make decent profits quicker.

2) With your own products you can create funnels. If someone purchases your front end offer you can present them with an upsell, if they decline your upsell you can downsell them. If you send them to an affiliate offer you’ve essentially lost them. Yes, they should be on your list so you can re-market to them but initially you have sent them to be someone elses customer. You can promote products that pay you a commission on every step of their funnel (which I talked about in the previous post) but again you could only be receiving a percentage. With your own products you control where your prospects land and how much you make per sale.


After creating your own products,  you then have the ultimate choice. Do you still work on trying to generate your own traffic or do you just recruit affiliates to send traffic for you. One of my very first mentors Lee Mcintyre said to me ‘Who would you rather be, the guy writing all the articles for the directories, recording and uploading all the videos to Youtube and fighting to get traffic to an offer. Or would you like to be the guy who just recruits affiliates to do all that for him.

There’s logic to that statement. After creating your products, you could spend all your time building relationships with other marketers and getting them to mail your offers to their lists. One promotion from a well established marketer could be potentially life-changing for your business. You will have to pay a good-sized commission to the affiliate so initially you will make less money but you then have the customers contact information and as we all know the big money is in the follow up.

Another big bonus for using affiliate traffic is it’s ‘risk free’. You only pay them IF they make sales for you. With paid traffic you have to take the hit if the product doesn’t convert.


In the eyes of a customer, who is more credible? The creator of a good product or the affiliate who recommended it? Of course, it’s the creator. Anybody could potentially sign up to an affiliate program, grab a link and start sending traffic. But someone who has actually created the product is going to be seen as more credible.



You can do all the market research you want, lurk in all the Facebook groups and forums, visit all the blogs in your niche and listen to people’s complaints to get an idea of what your market wants. But ultimately you won’t know if your product will work until you actually try to SELL it.

So you could go through weeks, maybe even months, researching the content, writing the sales material, organising all your payment processors and the product could literally bomb. Imagine all that wasted time and effort.

One quick work-around to this is setting up a ‘fly-catcher’ page.

Before you create the actual product, just write the sales page (same as you would if the product was up and running) and send targeted traffic to it. However, when someone clicks the ‘BUY NOW’ button it doesn’t take them to an order form, they get redirected to another page which briefly explains ‘This product is currently being updated so is not available for purchase at this time, please leave your name and email address so we can notify you when it’s ready’. Then put an opt-in box underneath.

You then track how many people clicked the ‘BUY NOW’ button if a sufficient amount did, you know you’ve got a potential winner on your hands. A double bonus being you are building a list of subscribers waiting for the product.


As much as I would love to sell you the dream of instant overnight, product-creation riches…….I can’t. Creating products takes time and effort. Especially if you are just getting started online. My first product took me 14 MONTHS to get finished, because I was so inexperienced I wanted to get it perfect, nothing could be left out. I kept finding new material to add and kept re-doing parts I wasn’t happy with (I know now that striving for perfection is a sure-fire way to kill any business) but you can get quite ‘precious’ about your first product.

The longer it takes, the less likely you are to even finish it. Luckily I happen to be very tenacious so there was NO WAY I wasn’t finishing that product, most people unfortunately aren’t. I dread to think how many half-baked products are sitting on people’s hard drives.


The internet moves at lightening speed, things are constantly changing, sometimes daily. A product you create today could be obsolete in a matter of months or even weeks. On my first product I was teaching how to drive traffic from Linkedin. Just before my product was due to launch Linkedin changed all their interface so my product would’ve seemed out-of-date pretty much straight away so I had to re-do ALL of the videos in that section.

Even if the strategy is EXACTLY the same but some of the interface has changed this can make your product seem out-of-date and your customers DON’T like it.

Facebook is a classic example. Their business manager where you control all your paid ads is forever changing, if you don’t log in daily you can find yourself lost. You could create a product one week about FB ads and the next week their whole interface has changed.

So…..I hope I haven’t pissed on your fire-works toooooo much with regards to making money on the internet with my last couple of posts.

What do I recommend you do?

Start with affiliate marketing. Start building a list, recommending other people’s products and services. Once your confidence levels are up, you’re starting to see some results, then move on to creating your own stuff.

Ultimately you should be doing BOTH.

The perfect palace to start is here- 60 Minute Affiliate Case Study

In this 100% FREE ‘over-the-shoulder’ training I show you how I set up a PROFITABLE affiliate marketing campaign in less than 60 minutes.

and how you can do the same with NO website, NO list and NO clue what you’re doing.

Even if you have NEVER made a single penny online (in fact that’s probably a bonus) you can set this campaign up yourself TODAY.

60 Minute Affiliate Case Study

and the cherry on the cake is it’s 100% FREE.

60 Minute Affiliate Case Study

Look for for my next updates on this blog, I’ve got some exciting stuff coming……..



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