Editorial Board

A Refereed Monthly International Journal of Management

Determinants of Profitable Niche of Affiliate Marketing in Amazon.Com

Author

Abstract

Amazon.com is biggest online shopping site around the world. Now a days e-business brought new promoting strategies required in the present competitive market. In 1996 amazon launched an affiliate program named “AMAZON ASSOCIATES’’ and the concept of the program was website owners and bloggers create a link and if customers click or visit that link and buy products from amazon the affiliates earn referral money. This technique has made easy for the marketer’s brand and services to gain popularity on the internet as affiliates are using creative product description in order to introduce it in the market. This approach helps to reach or draw attention of the customers to buy online. This study basically helps to find out the profitable niche in affiliate marketing or to advertise online. While selecting the product it should be clear that the product satisfies the need or passion of target audience, narrower niche leads to less competition, but the most important thing is to find the profitable. This exploratory study analyses the secondary data and various literatures available in academia and focuses on various aspects of affiliate marketing and most profitable niche in online shopping site amazon.com. Amazon sellers use keywords and phrases to measure the search volume and market capacity of a product. The factors that get identified after discussion with the affiliates of amazon are profitable niche products are those that is passion or products that can solve problem present as people can spend money.Amazon is still growing at a pretty tremendous pace, hence there is still money to be made for those new in the game. The issue is that it’s just slightly harder to shine through the crowd, so those that are new have to be a bit more on the ball in their approach.

Keywords: Affiliate marketing, Profitable niche, Affiliate site, Amazon.com, Online customers.

Introduction

Affiliate marketing is an ultimate jack of all trades. Affiliate marketing generally improves deals to the retailer with the help of third parties. Partner showcasing is as often as possible neglected by promoters. Most of the web abound website association attract most of the online retailers, subsidiary promoting conveys inferior profile. All things considered, partners keep pretentious a remarkable job on e-retailers' advertising techniques. Affiliate marketing depends absolutely on monetary inspiration and is a type of advertising to sell an item. Advertising and deals go connected at the hip. Promoting connects with customers, directs people to particular site, and provokes their enthusiasm for brand and item. Deals is transforming that traffic and enthusiasm vigorously. For the most part, that activity originates from having the option to persuade the potential customers that the item or administration will increase an incredible value. Marketing done through affiliate is a way of execution in which a company rewards at least one partners for each and every visitors or client brought by the affiliate's through own marketing efforts. Affiliate marketers give high loaded traffic, a space for promoting on the web to a scope of associations. It has ascended in notoriety alongside advances in Web innovations, as advertisers can pull in bigger crowds to sites supplied with an assortment of promotions. Ambitious affiliate marketers, often self-employed people, normally define objectives and goals to enable them to succeed. Surveying a few affiliate marketing goals can provide a way to understand the techniques and identify the factors that are required for succeeding in the booming industry. Deals can be significant in the beginning periods of affiliate marketing, and defining day by day profitability objectives can enable business visionaries to prevail with regards to getting their first customers. Acquiring guests in the beginning times of an affiliate site can be trying, also, requiring a touch of industriousness with respect to the advertisers. The business has four centre players, trader or retailer, the system that contains offers for the partner to browse and furthermore deals with the instalment, distributer and client. Amazon.com is biggest web based shopping sites on the planet. Amazon has likewise begun affiliate program in India to advance deals. Amazon partners are the world biggest affiliate program that is led by the amazon. It brings lots of chances and most trusted business for online advertiser. The incredible thing about associate sites is that in the event that it manufactures accurately, they'll develop over the long run and begins remunerating month after month, year after year in a passive income. Notwithstanding, on the off chance that it constructs inaccurately, it only an exercise without any prizes. Amazon Associates is an offshoot showcasing program that permits site proprietors and bloggers to make connects and procure referral expenses when clients navigate and purchase items from Amazon. Now a day there are hundreds of advertiser affiliate networks that facilitates pay-outs, customer support service affiliate networks because they manage everything from recruitment to pay-outs on their behalf, while marketers prefer them because of their reliability, range of products and ease of use.According to a report published by the Internet and Mobile Association of India (IAMAI) there are about 416 million smartphone users in India and this is going to increase approx. 445 million in 2020. In India there are 525 million internet users. Niche is the subset of a larger market in which a specific product is focused, or a defined group of potential customer with a specific need and requirements. This study basically helps to find out the profitable niche in affiliate marketing or to advertise online. While selecting the product it should be clear that the product satisfies the need or passion of target audience, narrower niche leads to less competition, but the most important thing is to find the profitable.

Literature Review

Affiliate marketing can be understood as a business partnership in which an affiliate attract potential customers through its website/blog who later directly purchase the products, or just browse the website and leave the product in the cart. Affiliates are mainly aggregated in networks and acts as the middle men between a customer and a firm. Managing affiliate programme and measuring its effectiveness is a challenge. Affiliate programme can be useful to businesses as it saves on Cost Per Action (CPA). For a powerful associate program organization ought to acquire straightforwardness in the action and estimation, keep minds ROI's of the movement, and find out evident estimation of every member in the program. Back to back, some may state that the connection among traders and associates is commonly a key operator relationship, on the grounds that the dealer can't watch each activity of the affiliates.

Sharma (2015) explained that the merchant depends heavily on the agent’s (affiliate’s) selling skills. Advantages of Internet advertising have been explained while explaining the various e-commerce revenue models like CPA, CPL, CPM and CPI. The research examined various e-commerce website like Flipkart, Snap-deal, Club factory, Shop clues, Homeshop18, Fashion and you and Deals and you. He concludes that Internet Marketing is an essential tool for any company that wants to improve their revenue.

According to Edelman and Brandi (2014) various affiliate management structures i.e. in-house affiliates, specialist affiliate and the affiliate network, which provides required technical infrastructure. The research shows that affiliate marketing allows sellers to advertise more efficiently via internet.Amazon.com changed its plan of action to a commercial centre by enhancing its sellers and item portfolio by making a system impact which urges the clients to utilize a stage and administrations which additionally makes limits for the rivals. Halaburda & Oberholzer Gee,2014)

Objectives Of The Study

•	To study about affiliate marketing and it’s working with respect to amazon.com.
•	To study about the determinants of profitable niche in affiliate marketing.

Research Methodology

The paper explores the subject with an aim to understand the concept of affiliate marketing and its applicability. This exploratory study analyses the secondary data and various literatures available in academia and focuses on various aspects of affiliate marketing and most profitable niche in online shopping site amazon.com. With the help of secondary data, literatures and focus group interview an information about affiliate marketers were found and the working of affiliate marketing in amazon were studied. The validity of the build and applications under thought were also taken care. As indicated by (Jary and Jary, 1995: 714), for the examination like this, the validity is the degree to which a measure or technique for information accumulation has the nature of being sound or valid to the extent can be judged. As such, the validity of data is its importance and fittingness to the exploration question and the quality of its relationship with the ideas under investigation. Validity of the investigation for understanding about affiliate marketing program for cordiality related exercises were guaranteed by talking about the idea with academicians, establishment proprietors, specialists, experts, media organizers, and other partners. Reliability is, truly, the degree to which we can depend on the wellspring of the information and, along these lines, the information itself. Reliable information is taken into consideration and true, dependable, unfailing, beyond any doubt, bona fide, honest to goodness, respectable. Consistency is the main measure of reliability. So, in literary accounts, the notoriety of the source is basic. Reliability of the information will incorporate vicinity to event, likely the information collected for this study is unbiasedness, and shows its reliability and accuracy for the study. The specific inquiries investigated with regards to the current information were made specifically investigating and analysing on the data and its potential and genuine difficulties to marking in their establishments. Underscore that the anonymity required by respondents makes arrange attribution of statements troublesome. In any case, various associated cites were attributed by work part attempting to address this issue in any event not entirely.

Discussion

For affiliates amazon creates a huge number of opportunities, affiliates who take an interest in the Amazon Associates program can advance any page or item they find on Amazon and can acquire member income for it. Amazon partners are simple, basic and requires no contribution from merchant. This is good affiliate program because lots of internet users purchase from it and also it is trusted e-Commerce website. To participate here, a good website or blog is required to generate huge extra income. For earning extra cash from the Special Offers and Promotion put on the site. Affiliates will get notified of such promotions so that can bring them on their site as incentives for the customers. The advertising fee rates will be changed according to, but not limited to

•	The categories of products or individual products should not be those excluded from earning advertising fees.
•	Increasing or reducing the advertising fees for certain categories of products or individual products.

However, there are times when Amazon Affiliate India allows to earn money from limited time or special promotions and offers on products that were excluded from earning advertising fees in the past. The program only will “work” when affiliate put in the effort to make it work. It takes proper training and guidance to get started no matter what affiliate program individual is using. With the help of niche marketing making money is quiet easy. Affiliate marketing is a great way to get started with low risk. It is very important to figure out the best-selling niches then check out other online businesses in that niche to see what they are doing to promote their products like social media marketing, email marketing, marketing funnel etc. Generally, associates need to work in a couple of sub-specialties, in any case, since it is difficult to make significant ideas in such monstrous general classes. In the precedent above, "group fitness for ladies" is significantly more focused than "how to get more fit". It's anything but difficult to handle a sub-specialty inside an expansive specialty at that point develop from that point. Associates need to work in a couple of sub-specialties, in any case, since it is difficult to make significant ideas in such monstrous general classes. There are few factors that an affiliates consider while finding a good profitable niche. The factors that get identified after discussion with the affiliates of amazon are profitable niche products are those that is passion or products that can solve problem present as people can spend money. Amazon is still growing at a pretty tremendous pace, hence there is still money to be made for those new in the game. The issue is that it’s just slightly harder to shine through the crowd, so those that are new have to be a bit more on the ball in their approach. There are phases where specific items just boom. This could be due to the season, festivals, religious holidays or simply at random. A point where people were making hundreds of thousands off ‘fidget spinners’ was a great time to capitalise and pre-stock on such an item, there is a period of time that sellers have to be established for before they can access certain categories. Many social media sites feature new and exciting products which are being talked about. Similarly, Pinterest and Instagram are awash with photographs of the latest trending products if individual have the patience to browse.

Conclusion

Amazon's is the world most client driven organization where individual can come to find out the things they need and purchase on the web. In India Amazon has tried to live up to this vision. Amazon is aiming to be a one stop place for customers for everything in grocery to everything in AI space. Amazon sellers use keywords and phrases to measure the search volume and market capacity of a product. Also, using the right keywords and phrases can help to drive more shoppers to the product page. Before committing to selling a product, one should need to know who’s already selling it and, how they’re doing. This means conducting through competitor research before starting affiliate program out in order to find out the price, ranking, positioning and value about the product. Review of the products indicates that the product is very popular – it may also indicate that the market is probably saturated. (Thakur, S. K., Patra, S., & Panwar, D., 2017) the customer’s collective satisfaction level can derived from all of his/her e-commerce experiences and that reviews help to chose the products to others. If there are a huge amount of people selling the same thing, then it may be best to look elsewhere. Similarly, if the product is being sold by Amazon itself, it’s time to move on as it’s unlikely that you’ll be able to compete with the huge discounts that Amazon can afford to offer. To summarize, it’s vital to research about the competitors before committing to a product.

References

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