Being a reseller or an affiliate marketer is one of the most reliable ways to make additional cash online. The two programs share several similarities, but the mechanics for each are different. To understand the two approaches, it’s better to tackle each independently.
What is a digital marketing reseller program?
If you’re a reseller, you buy products or services and sell them as if they are your own. It works more or less like a traditional business. Generally, you purchase the products or services at a discount and sell at a higher price to make a profit.
In the digital marketing space, you sell the items to your target audience through your website under your brand name. The customer is yours and you’re free to create your profit margin. Importantly, your customers interact directly with your brand.
A digital marketing reseller program has its benefits and downsides. For instance, after purchasing a product or service, you treat it as yours. You own it and decide how much profit you want to make from it. However, you also bear all the risks that may befall your business, especially when you incur losses and damages.
What is an affiliate marketing program?
As an affiliate marketer, you either run a company or operate individually to promote a product or service from another company. You have a target audience and earn a commission whenever you make a sale.
In an affiliate program, you operate as a mouthpiece for another person or company to promote their products or services. You refer customers to the company that you’re promoting.
Each customer you refer opens an account with your assigned code or link so the company can know you referred them. In this case, the customer is not yours. Besides, you don’t do the transaction and you cannot decide your margin for profit. The customers don’t interact with your brand directly. If you have a large following on social media or other online platforms, an affiliate marketing program could work better for you than a reseller program.
In this program, you’re like a salesperson. You only need to join an affiliate network that will allow you to promote a product or service of your choice. Once you join the affiliate network, you’re given a unique link with a built-in tracking code. Whenever you share your link with a person who uses it to buy a product or service, you earn a commission.
Like the digital marketing reseller program, an affiliate program has its share of benefits and downsides. On the positive side, it doesn’t involve a lot of work. You simply promote a product or service, refer interested customers to the company, and earn your commission. However, you cannot decide your markup profit and you don’t own the product or service.
Whether you choose to do a reseller program or affiliate marketing depends on your objectives. If you’re after creating your own business or add-on service for your existing business, then a reseller program could work for you. On the other hand, if you would like to promote products and services and earn a commission in exchange, then affiliate marketing would be the best approach.
At DIGITTO Media, we get you started with all your digital marketing approaches. Visit the website to learn more.