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Lower value products

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Does anyone have any experience of running affiliate websites for lower value products?

Idling away an hour or two today I've found a very easily rankable niche with an exact match domain available. It has probably in the region of 5,000 UK 'buying' searches a month including the main longer tail keywords.

But the product value is only £10-20 in the most part. On an affiliate deal at 5%, it'd take an awful lot of sales to do much with it.

A drop-ship setup would be better, but I can't see a supplier.
 
If you can get away with a doing a 4 or 5 page site and nothing else it will be worth the effort. And, yes you can if there is little competition.

If it's going to require you to be doing constant content and updates then probably not worth doing.
 
If you took the 5000 'audience' and converted to clicks at your affiliate at 30% (I.e. 1500) and then converted 5% to purchase - you're looking at 75 monthly purchases and revenue of between £37.50 to £75 per month

Obviously converting higher clicks or conversions will increase - plus if your affiliate was Amazon you'd make commission on other purchases.

At £450 to £900 a year revenue it's got to be a throw up site, perhaps an hour a month to keep fresh
 
You'd never get all 5,000 though would you. Even if you ranked top for every phrase, you'd probably only be looking at 2,000 max I'd guess.

I don't know what sort of conversions are realistic at this kind of price point, but I'd imagine 1 sale in 20 would be pretty ambitious too?
 
I have a few sites like this, around 7-10 pages of content, I tend to stick to <50 products per site which allows me to rewrite the product descriptions as I add them.

My sites on average earn high £xx, as in £75+ per month most products are £15-100 often max £50, they require around 2-3 hours a month, depends how many products are no longer available, new feeds, prices needing changes.

I keep saying I'll convert to using the api's but oh well.
 
You'd never get all 5,000 though would you. Even if you ranked top for every phrase, you'd probably only be looking at 2,000 max I'd guess.

I don't know what sort of conversions are realistic at this kind of price point, but I'd imagine 1 sale in 20 would be pretty ambitious too?

Not really - I convert around 5% on a few sites (click to purchase) and on smaller value products, where people impulse buy, it's even more achievable.

You're right about the traffic and taking all 5,000 - the values were maximum, but also allowed for not so much of the main keyword but extra for longer tail that you may not have considered. Either way these are probably close to maximum revenue so you can see if worthwhile
 
Yeah, I'd factored in most of the long tail already. Have decided not to go for it, but if anyone wants my analysis to take it on, let me know.

Domain was hat-boxes.co.uk
 
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