Why is there such a high turnover in the Internet marketing space and beyond that, what’s the main reason people quit this industry?

Simple answer: It’s expensive.  Many people can’t afford to keep things running after they run out of their initial capitol investment.

Now before you get all “No it’s not, I started with nothing and…” with your arguments, let me say (and I hope you’ll agree with me) that this business is about volume, not much else.  The people who make their livelihood slinging berries to Shamwow users are the guys who spend, what most people consider, obscene amounts of money on a daily basis.  Some 9-5 working people make $16,000 in a quarter, some internet marketers spend $20,000 in a day.  Bridging that gap, hell, even conceptualizing that dollar amount, is beyond some people and they just can’t comprehend how it’s done.

So back to the reason for high turnover and how you can avoid becoming one of the losers this industry chews up and leaves on the sidewalk. Simply put, a lot of folks run out of money before they should and have a hard time scaling campaigns.  The simple truth is that there is a massive amount of fraud in this business, and as a result, when it comes to new affiliates, networks don’t like paying out commissions on leads that may be invalidated later on by the advertiser.

Almost every network is going to scrutinize any new affiliate to prevent fraud, but ultimately, they want to see some history from an affiliate before they start sending you frequent wires.  Most networks don’t want to send a wire payment that’s under $1000, and many use NET15 or NET30 terms, which means you get paid 15 days AFTER the end of the month, not 15 days after the date you make the commission.  For example: You earn $300 in commissions on January 1st, the network won’t likely send a check until FEBRUARY 15th.   Let’s assume you started out financing your affiliate marketing campaign with a credit card with a $1000 credit limit and your daily traffic expenses are $150.  (You’re spending $150 to earn $300 in commissions, or rather, you’re making $150 profit (100% ROI) each day)

You start this on Jan 1, and by January 7th, you are out of funds, but have $2000 in commissions earned.  The campaign is still converting at whatever rate and the network and merchant are happy with the lead quality.  Depending on the network, you might have to just sit on a paused campaign until Feb 15th when you get your check.

So what can you do to stretch your resources?  First of all find a network that’s willing to pay you when you’re out of cash.  You need to consider 2 things in this situation: 1) network owners carry the cost of the commissions they pay you for a few weeks or even months after they have sent you a check.  If the merchant doesn’t pay the network for whatever reason, they’re the ones who eat the loss, or they charge it against your current/future commissions.  Second, remember that your lead quality counts.  Send consistent quality leads from quality traffic sources, you’ll be in good shape.

So the million dollar question: How do you ask the network to put your commissions in the mail?

Ask.  Simple as that.   Give them the real picture. Tell them what you’re spending, what your margins are, and where the traffic is coming from. They’ve been there themselves and if you justify it, and plan to keep the traffic flowing to the offer, there is a good chance they’ll help you out.

The KEY is to keep the campaign alive, so if you’re 3 days away from broke, THAT’s the time to request the payment, not when your campaigns are paused and you’re not making any money.

Now go getmoneygetpaid!

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