Big CPA Networks = Not So Big Anymore?

As a CPA network owner myself, I am a member of a lot of CPA networks.  We do business with a lot of them, others we used to business with, and some we mean to but just haven’t gotten around to it yet.  So many offers, so little time…

Anyways, when you are a member of a lot of CPA networks you get a lot of newsletters from said networks.  One thing that they always like to do is put the names and contact info (and sometimes a picture) of all the Affiliate Managers at the bottom of the email.  Over the last year, I’ve noticed an interesting trend: the number of Affiliate Managers per network is shrinking!

This trend is especially evident in large CPA networks such as Affiliate.com and MediaTrust (formerly AdValiant).  So why is this happening? I think it’s simple: the industry is evolving in favor of smaller boutique networks instead of the giants that thrived before.  With margins on offers getting cut razor-thin, it’s the companies with low overhead and lower expenses that are winning the favor of affiliates today.

The new CPA network business model isn’t going anywhere anytime soon, since new affiliates are joining the industry by the day and these boutique networks are better at training and growing the revenue of these newbies.  It’s almost getting to the point where affiliates (especially super affiliates) are becoming like superstar athletes, and CPA networks are like agents.  Can you run an agency with just a couple of key clients?  Absolutely.  That’s why this trend is not going to stop any time soon.

At some point there might be too many networks for the affiliates out there, but I think that day is a long ways away.  As long as new people keep flowing into the industry, and as long as network owners keep innovating new ways to educate and involve the affiliates in their business model, there will be a place for them in the performance economy.

Just Do Something!

I’ve been reading blogs all day about what you should do to start making money online. There is a lot of info out there. Some of it is legit, and most of it is complete crap. The one piece of advice that sticks in my mind is this: stop reading about it and get out there and do it!

It doesn’t matter what your niche is if you never create your site.  It doesn’t matter what your keywords are if you never create an AdWords campaign.  It doesn’t matter which banner you use if you never place it on your website.  There are a million and one different ways to market things on the internet.  What separates the men from the boys is action.

As you know, I am an Affiliate Manager for CPA Empire, one of the largest Affiliate Networks in the world.  We have hundreds of new affiliates apply for our network every single day, and a lot of them get approved and assigned an AM (like myself).  The thing that never ceases to amaze me is how quickly today’s excited new affiliate turns into tomorrow’s $0.00 affiliate.  I would say that, on average, 80% of my new affiliates never respond to the first email that I send them.

Don’t worry, this is not a post dedicated to ranting and raving about the ins and outs of being an AM.  It is meant to be an encouragement.  When people get into this industry, they are so full of hope and wonderment.  The idea of making money from their computer at home is so foreign to them that it’s almost hypnotizing.  Just like with anything new, they dive into forums, subsribe to newsletters, maybe even spring for a conference or two.  But, again, it all adds up to hollow effort if you aren’t practicing what you learn.

I’m sure that most of us know how to ride a bike, so you can relate to this.  When my dad tried to teach me how to ride a bike, he explained everything that he could about the mechanics of the bike and what kept it upright.  All that knowledge could not prepare me for what it felt like to get on the seat and try to pedal away from him that first time.  What did help was him running beside me and holding the bike up while I got a feel for the balancing act of riding.

You can use resources like forums, newsletters and conferences to keep you on track, but you have to start pedaling before you’re going to go anywhere.  Even if you suck at it, you will be ahead of 90% of the people that populate those forums.  In case you haven’t noticed, even the experts are still learning.  We are in one of the fastest growing and fastest changing industries in the history of mankind, and it’s not slowing down anytime soon.

So strap in, sit down, get an energy drink or some coffee, and do some actual internet marketing.  It might do you some good!