Affiliate Marketing Offer Testing – (Strategy Video)
Hey, it’s Peter Day here with Optimize to Convert.
Today I want to talk about two common mistakes that I see regarding affiliate marketing offer testing:
- Testing an offer with too little money or
- Testing a bad offer for too long
Basic principles for Affiliate Marketing Offer testing:
When you are testing an offer on any traffic source (Facebook, Bing, AdWords, native, push traffic, etc), you have to set a threshold to immediately identify if the offer is good or terrible, or at least promising.
Our process within our internal team is this:
For any lead gen offer, we test it for at least the first $300-$400 spent and see how it performs early on.
- anything over 50% loss, we regard it as terrible and look for better offers.
- anything better than 50% loss, we regard it as promising.
Some people think a 40% loss is terrible, but there are so many things you can do to improve it and take it from -40% ROI to a 10%-30% profit margin.
You can fix your ads, improve your ads, and you can improve your audiences.
For promising offers to make the ‘good’ category, we need to see them improve and improve over time from the start. Ultimately, a good offer is not considered a good offer until it is actually profitable.
Initial spending varies depending on the affiliate marketing offer testing process
Now, let’s apply the above method for lead gen offers that pay under $50.
If you are doing something higher ticket, you are going to need to spend a lot more money on testing. The higher the price point is, the more you probably need to test it, the more capital is needed, the more risk it would take.
For example, we were about to promote a solar-powered generator that was going to pay a $2,000 commission.
The reason why we didn’t run the offer was that we would have had to spend so much money on testing it.
Thousands in testing would have been needed to promote such a high ticket offer as this.
It doesn’t mean we are only looking for affiliate marketing offers under $50.
There are lead gen offers that pay 80-120 bucks or more, and you can still use the strategy above in the video to test.
I hope these tips help you when you’re testing your affiliate marketing offers.
Are you an experienced affiliate? We are looking to add 5 more seats to our media buying team. If you have experience running campaigns but would like to leverage our insight, infrastructure, mentorship then we would like to invite you to apply to work with us.