Reselling Products And Services Of Others Through Licensing

Jeff Paul says according to Shortcut to Internet Millions, even though marketing your own products and services has a lot of benefits, there are a lot of good reasons to license and promote other people’s too. Earlier we talked about diversifying and expanding your offerings so you’ll have a variety of things to offer your customers and, in one of the other books, we talk about how to build an affiliate program and how to utilize other people’s affiliate programs. So, you still need to identify the wants and the needs within your market and try to develop your own products, but from time to time, if you’re doing that well and creating a good relationship from time to time you can license and promote the products and services of other people that are attracted to your subscriber list or your customer list. When you license and promote the goods of others and you have a good relationship, they really take your advice and you’re in a position where you can suggest ideas and things to them, rather than seem like you’re cramming them down their throat.

Now, there are various ways you can resell products of other people. You can purchase and stock inventory. You can buy things from them and actually stock it if you have that kind of space, but then you’re investing in inventory and you’re hoping you can still sell them. You can also arrange drop shipping by suppliers. And with drop shipping, you’re just the middleman, you promote, place and get orders on the Internet and then you have somebody ship it. Jeff Paul says in Shortcut to Internet Millions, one associate of ours was actually selling diamonds on the Internet. Now he did not have his own jewelry store or his own vault of diamonds. He simply had the Internet, sold the diamonds, and then the wholesalers took care of supplying the diamonds.

Jeff Paul says in Shortcut to Internet Millions, your customers pay you for products upfront when you are selling them something on the Internet. You then actually forward the orders onto whoever, the discount warehouse or the dealer that you’re getting information from, you forward the information to them and they ship it out. They also can have preprinted mailing labels with your information on them so that they can put those on there and it still looks like it’s being shipped from you. And then the difference between what you have to pay them for the item and the item you charged is your profit. And the drop ship method is very convenient for a lot of people and it’s a lot less risky than having a whole bunch of inventory, because if you don’t make any sales, then you just don’t make any profit, but you haven’t laid out any money to stock inventory.

According to Shortcut to Internet Millions Jeff Paul says, another way is to simply refer people to the prime source who has the product and they take over from there. They use their sales methods and everything. Jeff Paul thinks that this sometimes is like an affiliate program.

In Shortcut to Internet Millions Jeff Paul says,  you set up a site and you drive traffic to the main site and let them do the selling, and you collect the checks. This is really the most popular type of joint venture on the Internet today, and it’s the easiest to implement. The cost to join is almost always free and you can make upward of anywhere between 20 and 75% of the sales price. Now the methods vary somewhat, but generally each partner is given their own unique website URL or Unique Resource Locator and it links to the original website and they have software that tracks your unique code so that it knows to pay you commissions. What happens is the partners just promote the products and services, they direct the traffic to the appropriate website with their special code and when that visitor goes there and it results in a sale, then you earn a commission. Once you refer the prospect to that website, through your unique ID, then that company takes over. They might send out emails to follow-up, but they process the order, they collect payments, ship products, they do all the services and support, they track the sales and then they credit you and mail out your commission check.

Now depending on the type, sometimes there is what’s called the “two-tier” program where you can make money on two levels, but  according to Shortcut to Internet Millions Jeff Paul says that you can learn all about that in the Website Sales Force book.