I was on CJ today evaluating new advertisers, and I was thinking about how to choose the perfect product niche.  When does it make sense to go after a big brand name and when should you choose the lesser known, but perhaps better money making advertiser. Lets say you want to sell books.  Should you sell through Amazon, who is trusted but has a 1 day cookie and pays 1% (and requires a huge amount of commission to get paid), or do you try to sell the same product through someone less known but with better terms, maybe an Alibris, Borders or Barnes and Nobles.  

The answer is not always as clear cut as it may seem. In the world of stocks the advice is “go with the best of breed”. That is to say that the company that performs best will continue to offer the best performance. Logically, this seems to hold true with affiliate marketing. The companies that offer perceived best value and perceived best brand will tend to out perform a no name brand almost all of the time, even if the no-name store pays 2-3 times the commission.

However, when playing with products that can be purchased at many stores, one always has to be aware that people will price compare and look for the best deal. The bottom line is test / restest and don’t hold on to a single advertiser because it’s your favorite place to shop.

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