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How does Affiliate Marketing work?

Many agents and investors have asked us this question. Over the next few weeks, you will start to notice a shift on the Real Estate Strategy Lab Podcast and on this blog.  Not a complete overhaul, but more of a tweak.  Jeff and I have studied Internet Marketing for years and decided that we want to bridge the gap between Real Estate and Internet/Affiliate Marketing.  This is in effort to help you create some passive streams of income while still doing what you love to do (buy and sell real estate or help people buy and sell real estate).

The truth is that the average retail buyer is only going to buy a house from you every few years (if that).  You need to develop the skills necessary to not only help those people on the purchase or sale of their home, but with other products and services that they will use in between.  I know what you might be thinking.  “AHHHHH” I don’t want to do any kind of pyramid scheme.  Trust me, I’m right there with you.  I have gotten involved with my share of things that only require you to get 2 people to sign up, and then those 2 people get 2 more people…..and…and…and.  You have my word that we will not be discussing anything that requires you to sign up under you or anything like that.

So, hopefully I have your interest peaked and we can get into it.  What is Affiliate Marketing?  In it’s simplest form, Affiliate Marketing is where you are an affiliate for a business/service, and you get paid for referring people to use that business or service. A great example of this is the web hosting company that we use BLUEHOST.  We use this company to host this blog.  It is one of the easiest to use, and we wouldn’t recommend it if we didn’t use it or know anything about it.  When you click on the Bluehost link and decide to use their hosting for your website, we get a commission.  We don’t have to nor do we want to do any hard selling or sneaky sales lines.  It is purely just a recommendation.  Hey, you need hosting for your website? I think you should check out Bluehost as one of your options……That’s it!

Many of the links on the resources page of this website are affiliate links.  We always have full disclosure, and you obviously aren’t obligated to use our links to purchase those items, but it does help support our blog and the podcast, so we greatly appreciate it when you do.

So, how can you use this for your business?  We will get into a lot more detail in future podcasts and posts, but some of the top ideas that come to mind are.

“Have a follow up sequence for your email list that offers items that they may need”

Example 1 – Become an affiliate for Home Depot, Lowes, etc and send offers with your affiliate link to new homeowners a week or so after they move in because you know they will be doing little things to fix up their place.  They may buy a new grill, stuff for the garden, paint, carpet, tile, etc.  All of the things they buy through your link will pay you a small commission.  These are things that they would have purchased anyway, you just made it a little easier for them.

Example 2 – The holidays are coming up.  You could create an affiliate account with Amazon and write a short email talking about the 10 most popular holiday gifts of the season. This not only gives them good information that is relevant to the time of year, but you can make a small commission on what they buy.

Example 3 – As a real estate investor, you know other investors.  You may even have created a “Buyer List” of Investors that are looking for hot deals.  If a week comes that you don’t have any deals to email out, you could instead tell your list about a great tool that you are using in your business.  We often tell people about OptinSkin because it has drastically increased the number of people that sign up for our email list.

Example 4 – Guys usually have no clue what to get their significant other on Valentines Day.  You could help them out by becoming an affiliate for 1800-Flowers or a similar site.  All you have to do is send a couple emails the week leading up to Valentines Day reminding them that it is coming and telling them how quick and easy buying flowers online can be.

Think of how many times in your life people have said “Hey, where did you get that __________.” Well, now you can just send them a link instead of just telling them the company name. Hopefully these ideas are getting your wheels turning, and hopefully you get that you don’t have to do any annoying hard selling.  All you have to do is provide timely information in a cool way and people will respond positively.  Don’t be annoying and don’t spam people.

This was just an introduction to affiliate marketing for real estate agents and investors, but we will cover a lot more in the months to come.  If this is something you are interested in, we would greatly appreciate if you leave a comment below. Also, please help us spread the message by sharing this article with someone you know.  It would mean a lot to us, and it helps us continue to deliver good content for you.

Talk soon!

Jason Jerzewski

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