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Many people today are examining affiliate marketing versus drop shipping and curious about which one is the best. The truth is, both of them have their advantages and disadvantages. Here is a look at each to enable you to determine which one is best suited for you:

Affiliate Marketing

Overview

This is where you promote other people's products and get a commission for every one purchased. Most often you generate targeted traffic to the affiliate offer by including a link on your site, although in many cases you can direct link to it from an article or a pay per click ad.

Benefits

The main advantage of this strategy is that you don't really need to worry regarding customer management. After all, if the company doesn't get the merchandise to the purchaser on time, that is their problem, not yours. Also, you do not need to go to the trouble of creating a good converting web site to offer the product. That's the vendor's issue. Your only job will be to get the targeted visitor from your own site to your affiliate offer.

Additionally, you do not have to stock any kind of products yourself. For this reason, most people prefer it due to the minimum labor requirements.

Drawbacks

One of the primary disadvantages of this is that you really can't generate an income on any kind of backend items. In the end, when they leave your site and click through to the affiliate web site, they are in most cases lost to you for good. Therefore, even if they do buy the initial item being sold, they'll not benefit you anymore later on. For this reason, when comparing affiliate marketing versus drop shipping, this is a big thing to consider.

Drop Shipping

This is when you market a wholesalers merchandise by means of your own website. You do not have to worry about stocking or shipping the product, however, since the wholesaler handles this for you.

Advantages

Just like affiliate marketing, there is nothing to stock, which means you don't have to be concerned about delivery. However, the primary benefit of this method is that you get to continue marketing to them once they purchase. This is because every time someone buys a product, they routinely leave their contact details when paying. For this reason, you can keep advertising to them and selling them more items later on.

This might not look like a big deal, but it really is huge. Your current customers are always going to be your most profitable ones as they are confirmed purchasers. Developing a customer list will be the single most beneficial thing you can do regardless of what you are selling, and because of this it has a large advantage over affiliate marketing in this respect.

Drawbacks

The chief negative about drop shipping is the fact that it requires a great deal more effort than affiliate marketing. Not surprisingly, you need to create the web site to sell the wholesaler's products. Additionally, you are the one held responsible if your wholesaler does not send the merchandise on time. With affiliate marketing, you are not held responsible for this.

The Bottom Line

When comparing affiliate marketing versus drop shipping, both methods have their pros and cons. Drop shipping provides a great deal more continued income potential, but affiliate marketing is best for beginners because it helps them master advertising and marketing skills. For this reason, exactly which one you choose really is dependent upon where you are at in your marketing career.

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