Sukanya is a housewife and is living in Mumbai. She asked me, "I have a personal computer and an Internet connection. Last year I invested a small amount of money in an online business and lost it. Now I am ready to invest five or six thousand rupees in some good online business. I would like to work from home. Can you think of any good project that I can handle successfully?"
I gave her my usual stock reply, "You know about your inner and outer circumstances better than I do. Based on that knowledge, you must take a decision. However, I'll tell you about a project that most people like you can start and manage."
"That will really be helpful," said Sukanya.
I told her, "If you do things properly, earning good money from an Internet business is within the reach of all sincere entrepreneurs. Starting a simple website by spending a few hundred rupees on it and actually doing something is better than reading dozens of self-help books and hundreds of money-making articles. Even if you lose a small amount of money, you'll gain knowledge and experience worth several lakhs of rupees. That knowledge will make your next project a great success. How did you lose your money?"
Sukanya said, "Indian women love gold jewelry. So, I thought I could easily sell gold jewels online. I made arrangements with a local jeweler and tried to sell his products online. If I got an order, he would give me the product at whole sale price and I could sell it at any price I like. But I could not get even one customer." I asked her with a smile, "Will you buy a jewel worth thousands of rupees without actually seeing the product?"
She replied, "No."
I said to her, "That's the acid test for starting any business. Well, I'll tell you about affiliate marketing which is much better than the retail marketing model."
"What is Affiliate Marketing?" asked Sukanya.
"Commission Junction is an affiliate network. This is what Commission Junction website tells about Affiliate marketing: It is an online advertising channel in which advertisers (online merchants that sell products or services) pay publishers (independent parties that promote the products or services of an advertiser on their website) only for results, such as a visitor making a purchase or filling out a form, rather than paying simply to reach a particular audience. This pay-for-performance model is in essence the modern version of the finder's-fee model, where individuals who introduce new clients to a business are compensated. The difference in the case of affiliate marketing is that advertisers only pay their publishers when the new client introduction results in a sale or a lead, making it a low-risk, high-reward environment for both parties." I told her.
Sukanya asked. "How does it work?"
I replied. "If you have a website you can join Commission Junction affiliate network for free. Then the advertisers place their ad links on your website. Each link is assigned a commission, such as a fixed amount per lead or a percentage of a resulting sale on the advertiser's website. When a visitor clicks on your link and makes an actual purchase online, that transaction is tracked by Commission Junction. Upon recording the transaction, Commission Junction handles all of the collection and processing required ensuring fair and timely commission payment for the publisher, and all of the administration and verification necessary to ensure quality sales and leads for the advertiser. There are hundreds of advertisers. Decide on a theme that is close to your heart and promote the products that are in harmony with the theme of your website. You don't have to sell anything. You have to attract visitors to your website and make them go to the advertiser's websites."
Sukanya began to be enthusiastic and said, "That sounds attractive. I will start a website on new born babies and give useful content to new mothers. I hope the ever increasing population of India makes me prosperous."
The World Wide Web offers tonnes of information on all subjects. Sukanya collected hundreds of pages of useful information on new born babies, studied it and based on it created a website with her own content. She joined many baby needs affiliate programs through affiliate networks such as Commission Junction. She distributed handbills about her website through maternity hospitals and promoted the website through search engines. She spent her time and energy in an organized and a meaningful way. Now she is earning more than Rs.8,000 a month working an hour a day from home.