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A_New_System_Of_E Commerce
| A New System Of E-Commerce?
(Please feel free to to freely reproduce and distribute this
article, so long as it is reproduced in full, including the
hyperlinks, and no modification is made)
A MLAP, short for a multi level affiliate program, is a
relatively new type of affiliate program offered by some
innovative web merchants.
In addition to referral commissions for their direct sales,
affiliates of MLAPs also get paid commissions when their
sub-affiliates at multiple levels sell affiliate products.
Unlike MLM programs, which charge "recruitment" fees, "starter
kit" fees, "product testing" fees etc, there is never any money
needed to join a MLAP...Which means that there is never any
money to be made by simply recruiting sub-affiliates.
The power of MLAPs lies in their ability to unlock the huge
potential for increased earnings that lie in the "wasted
traffic" that websites receive.
For example, out of 1000 visitors to a website, perhaps a
maximum of only 5 might eventually buy any affiliate products
that the webmaster would recommend. The other 995 become
"wasted" as they do not contribute in any way to the affiliate's
earnings.
However, many of these "wasted" visitors, would see enough value
in these products to sign up as affiliates themselves and sell
the products to their own contacts and web visitors.
When this happens in a single level affiliate program, the
original affiliate earns nothing. In a MLAP, the original
affiliate would also be paid a referral commission on the sales
made by these sub-affiliates.
Depending on the number of levels the MLAP uses, commissions
from sub-affiliate sales get multiplied at each level, resulting
in greatly increased affiliate earnings.
For the affiliate, MLAPs provide a way to maximize the value of
their "wasted traffic" using the viral power of "word of mouth"
marketing, without the risks associated with MLM programs.
For the MLAP merchant, an MLAP allows his affiliate program to
sign up affiliates more effectively by standing out from the
crowd of single level affiliate programs.
Because they are relatively new, certain issues, (such as the
ideal number of levels a MLAP should have, and the percentage of
referral commissions that should be paid at each level), are
still open to debate.
What has become clear though, is that MLAPs have become an
important option for both merchants and affiliates, to increase
their share of the ever-growing size of E-Commerce.
About the author:
Terence Tan is the project manager of HugeAffiliates.com, a
website dedicated towards the development of Multi Level
Affiliate Programs as an alternative system of business.
Visit http://hugeaffiliates.com
to learn more about how MLAPs can multiply your affiliate
referral commissions.
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