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| The Red Flags of Affiliate Marketing Scams |
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| A discussion of the common indicators of affiliate marketing scams. Warning signs include no support contact, no web site, no product or service, no free participation, no positive testimonials, and no track record. |
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Thanks to the legitimate business model of online affiliate marketing; many people are earning a good living working from home. Unfortunately there exists a series of affiliate program scams masquerading as genuine Internet marketing opportunities. These scams are designed to make their creators wealthy without providing value to their customers or associates. Email scams and work at home scams don't have any chance of long term success, so any time spent promoting them is largely wasted.
So what are the characteristics that reveal an Internet scam attempting to disguise itself as an honest affiliate opportunity? Since the nature and complexity of these scams change as quickly as technology, it's almost impossible to create a comprehensive list, but here are some strong indicators that a program should be avoided or at the very least examined with a fine-toothed comb.
No affiliate support contact. When an affiliate program includes a toll-free telephone number, it's a good sign that things are on the up and up. However, the lack of a phone number does not necessarily mean the program needs to be avoided. The Internet lends itself to email contact, and most websites structure their contact support system accordingly. If the website for an online income opportunity does not include an email or a contact form, though, you are probably looking at an affiliate program scam. Once you locate the email or contact from, it's a good idea to send a message with a simple question to see how long it takes the company to respond. If you don't receive a response addressing your question within a few days, tread lightly. The company might not be intentionally trying to scam you, but if they can't quickly respond to emails, they are doing something wrong.
No web site. Similarly a contact email without a website shouldn't instill much confidence. A legitimate online income opportunity will have a detailed web site, providing information and showing some time and energy has gone into planning. A simple website is not difficult to create, but leaves a slightly larger trail leading back to the creator than that left by a mass emailing. Again, while the presence of a web site is not a guarantee that a program is trustworthy, the absence of a web site should definitely be viewed with a healthy dose of skepticism.
No product or service. What is the company selling? If the only product is a chance to make money, you've probably stumbled onto a pyramid scheme. In order for any referral marketing organization to make money, someone on the outside must pay money to the organization. If the only people paying are joining the organization, than no income is being generated. The members are just passing money around between themselves with everyone hoping to be holding the bag of money when the music stops. Above and beyond this fundamental flaw in the business model, pyramid schemes are also illegal in the United States.
No free participation. If you have to pay a company for the privilege of trying to sell their product and increase their profits, you aren't looking at an affiliate program. You've found an example of multi-level marketing (MLM). Not all MLM opportunities are scams, and some people are extremely successful at MLM. Unfortunately, if you aren't one of the few who can make it work; you'll usually spend a fair chunk of change discovering this MLM program doesn't fit your needs. True affiliate programs are free to join. If things don't work out the way you expected, you haven't risked any of your money.
No positive testimonials. Even though there is no financial cost for an affiliate program, you will be investing quite a bit of your most precious commodity, time. Before making that sacrifice, it's always a good idea to spend some time scouring the Internet for people who have some experience with your program. Don't rely on the testimonials a company provides on their website to give you a complete and accurate picture. Head to your favorite search engine and see what kind of dirt you can dig up. A search with the program name and the word "review", "scam", or "experience" is a good place to start. Even high caliber programs will likely have some negative reviews from people frustrated the program wasn't a good fit for them, so don't immediately condemn an opportunity for a little bad press. Unless a program is brand new, though, you should be able to find a few positive experiences and success stories.
No track record. A good affiliate program is going to continue to be a good affiliate program for a while. Resist the temptation to be swayed by marketing hype that urges you to "get in on the ground floor" of a brand new opportunity. Of course, there's something to be said for being the first to market with a new idea, so you shouldn't be afraid to immediately embrace an affiliate program that you feel good about and doesn't set off any of the other red flags described here. If you are on the bubble trying to decide if a program is legitimate, though, you're better off waiting. In six months dependable affiliate opportunities with quality, high-demand products will still be around, and they'll still be plenty of money to be made. Meanwhile, most of the affiliate program scams will have collapsed.
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Copyright (c) 2003-2004 Clay Mabbitt. Clay Mabbitt writes articles about online income opportunities. He is the founder of a community of Internet entrepreneurs sharing knowledge and experience at http://www.affiliatescreen.com
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Member Comments
Posted: Tue Mar 30, 2004 03:35:53 PM by CINDY MACNEIL
SCAM ALERT
These guys over at agm-stores.com
have the whole setup to scam anyone willing to put up thousands of $$$$ to become part of their affiliate network, they give you the business setup and hang around just long enough for you to implement their program, after that they stop ansewring your emails, and once you find out that the web masters email address is bogus, and all of the testinonials are also bogus, then you know you have been had just like me, they advertise on all major search engines, visit their web site, it fooled me, be careful. These guys should be in jail for what they are doing !!!!!!
Posted: Mon May 24, 2004 08:07:36 PM by Janis McIntyre
Thank you Cindy
Cindy I just bought into the silver package is there anything we can do? I have put weeks of work into this already.
Janis McIntyre bomc@shaw.ca
Posted: Sat Jun 26, 2004 07:35:03 AM by Rena Klingenberg
Good advice
for proecting yourself against fraud. Thanks for this info!
Posted: Sat Jun 26, 2004 07:55:32 PM by Pat Goltz
Legitimate MLM opportunities???
Folks, even "legitimate" MLM companies aren't. This is because the hourly wage you will earn as the bottom of the downline of someone else is well below minimum wage (about $1.51 an hour for Amway, for instance), and the only way you can make money is to have a downline of people who are making well under minimum wage. So either you get cheated, or you cheat someone else. The business model of MLM is inherently fraudulent. The other problem is that most MLM products are overpriced and poor quality, and if it's an herbal combination, it is not state of the art. This is because they have to pay all those people in between.
Posted: Tue Sep 13, 2005 10:41:51 PM by jane doe
Another scam
web club international
don't get in to this business. its a scam i know because i once worked there.
Posted: Thu May 11, 2006 03:03:43 PM by Shawn Johnson
All of these Affiliate Advertising Scams
I started an affiliate program a while ago. I built my own website around it. No one's looking on it, and I'm stuck with a website that no one even looks at. I'm advertising for a company, I don't know if it's because the competition is so stiff or because the company really can't make any money? Either way, I'm thinking about keeping my website taking all that garbage off my website. Starting my own web business, actually selling my own products. Hand to customer so I know that I'm getting paid. Screw all these advertising programs! Start your own business guys on the web and buy and sell your own products. Don't depend on these companies to make you some money. I'll have my web business up and running in about a year...Guaranteed!
Posted: Tue Nov 28, 2006 09:47:55 PM by Jack Beal
Thanks
Very informative, Thanks.:)
Posted: Sat Dec 09, 2006 09:50:56 PM by JNHPHX
Web Club is a SCAM
Shawn is correct..
Web Club international is nothing but a scam with nothing but convicts living in halfway houses living therE!
Posted: Thu Jan 04, 2007 05:22:59 PM by Joe from affiliateprogramscams.com
regarding affiliate program scams
hello,
my name is Joe, and I was wondering if anyone out there would be interested in sharing their affiliate scam experience with us. please email me at joe@affiliateprogramscams.com, or visit my site to contact me, affiliateprogramscams.com.
i would appreciate this very much.
Posted: Sun Jan 21, 2007 11:59:35 AM by Tug Conner
Wealthy Affiliate
Can anyone offer any negative information or experiences at all on wealthyaffiliate.com. I will view any positive information as an affiliate of this site trying to sell it so don't bother. I'm thinking of joining and want to find out everything I can from those who have been there and done that before I do. Thanks to all.
Posted: Tue Jun 05, 2007 01:23:53 PM by Brian cisz
Wealthy Affiliate "Good or Bad"
To Tug and others that are looking at Affiliate Marketing: Wealthy Affiliate, Beating Adwords, Who Loves Money, Inside the List, and some others are NOT SCAMS. Here's why... they are not a job themselves, they are products that can help you with a Job such as promoting Clickbank (#1 promoting products). Clickbank doesn't cost anything to Join and it is a Job that gives you products to promote and thats where you make money. The Problem is that without the right tools it is very hard to make $100+/day online. Now don't get me wrong not everyone who signs up for these programs will make money but it will make your chances a lot easier!!! My CTR rate on Google was struggling to make their .05% cutoff until I starting using Wealthy Affiliate and Beating Adwords from there it went up to my lowest keyword being @ 1.17% and my highest @ over 24%. And has been going up ever since! Hope this helps!!!
Brian Cisz brian@internetmarketingscams.net
Posted: Fri Jul 20, 2007 03:41:44 PM by Rob Gordon
Web hosting
Are there suggestions for avoiding companies that do not specify unfront (annual) web site costs, and if so can you provide your own web hosting?
Posted: Mon Jul 30, 2007 08:19:06 AM by Derek
Wealthy Affiliate
One thing I like what Brian didn't do, is put an affiliate link itself to the Wealthyaffiliate website. Makes it hard for you to trust any review on something when they have an affiliate link going right to the website that they are talking about that makes them money on the click.
Posted: Mon Jul 30, 2007 10:45:43 AM by Cindy
Buildanichestore and eBay
I am looking into the idea of becoming an eBay affiliate and happened upon Buildanichestore and their software for store setup. Has anyone had experience with this company and is everything legitimate?
Posted: Wed Aug 15, 2007 01:00:14 PM by afeemomo of Imallplaza.net
Free online marketing tips
I have just started an on-line marketing business. Scam and Rip-off review sites provide one source of information. Of course some of those sites will in the next breath try to sell you their own "scam free" products and services.
After reviewing the comments of two contributors here, I have picked up a neat FREE marketing idea!
Notice the postings by Joe and Brian. Both included their email/website address in the name/comment fields (just as I did, thanks guys). The addresses of their domains appear to be relevant to the subject matter at hand. Since we are looking for information that may help us avoid out and out fraudulent schemes. We may, out of curiosity, or convenience, visit their sites using the links provided. Voila, there is traffic/potential customers for you.
I prefer Brian's. The moment I saw Joe's I could tell that a sale was coming, and that the offer of FREE would turn out have a price tag. The old B & S.
That is my two cents worth (penny, what ever)
Posted: Sat Aug 18, 2007 11:21:40 PM by pokcikkayo
Thanks
This infomations very usefull for the new comer like me. Thanks a lot!
Posted: Thu Sep 06, 2007 12:21:51 PM by Sue
Passport To wealth... is it a scam?
I was thinking of joining but have heard this is a scam? Anyone out there have any experience with this?
Posted: Tue Nov 13, 2007 11:33:43 AM by Rick Thompson
Rateing
Thanks for guy's like you. This is going to
be my first venture and this info is really
helpful. Sincerely Rick T
Posted: Sat Nov 24, 2007 03:27:03 PM by Earl J
Affiliate Programs Evaluation
Having experience with MLM's over the years. I believe you make excellent points.
Keep up the good work.
Posted: Mon Dec 10, 2007 06:00:54 PM by k Gee
joining affiliate junktion programme
am hoping of joining affiliate junktion programme.can you there advice if it is a scam or not. my e-mail is chigeek2@yahoo.com
Posted: Thu Dec 27, 2007 06:10:31 PM by johnnie jones
who is really making money on the internet?
can anyone tell me of a real internet buisness
Posted: Thu Dec 27, 2007 06:13:08 PM by frankjjj@aol.com
a real money making buisness
can someone tell me of a real money making buisness without spending my hard earn cash.
Posted: Tue Mar 04, 2008 12:34:06 AM by Hello
Is X-factor affiliate a scam?
Is x factor affiliate a scam? Any1 join it before?
Posted: Fri May 30, 2008 01:06:55 AM by midwest
NO Free Lunch-
Ok folks I have read all the above and I don't know why, but I am going to make a few suggestions here for those interested, and for those that post here that ARE NOT trying to make a buck off the unsuspecting.
First, I have been involved with ecommerce for over 4 years now, not including my time on Feebay. So while not an expert, I have learned a FEW things here and there.
Posted: Fri May 30, 2008 01:08:05 AM by midwest
NO Free Lunch #2
Advice #1 -Here is the deal - There is NO FREE LUNCH. If it is, and it is not coming from a fund raising activity at your church or school, or from a relative ( and sometimes even those are suspect), the food is probably bad, OK. The food here being money. Or making it.
There is no secret to making money folks. All it takes is work.
Now having said that, lets move on the the affiliate subject.
Posted: Fri May 30, 2008 01:10:53 AM by midwest
NO Free Lunch #2
If your serious, FIRST, get a website and sign up with Paypal( no I am not an affiliate). There are plenty of good host out there that won't fleece you. I have used ADVANCED NETWORK HOST, for some time, ( no I am not an affiliate). You can also try Brave Net, Yahoo, Siteground, etc.
Next you need to pick your market,9lets say you are into books,) then develope the site around that market. Please note, depending on the type of affilite arrangement, you may or may not need a shopping cart. But make sure the webhost has one avaiable, or the site is compatible with one, just in case.)
Now that you have a website, and a product/market, here is how to put together the site.
Posted: Fri May 30, 2008 01:15:48 AM by midwest
NO Free Lunch #3
First, you need to have a home base, or HOME PAGE for your company. lets say its MYBOOKSDOTCOM. On this home page is where you will put most of your content relating to books. you can do news feeds, book of the month review, newsletter sign up, whatever. You will also include in your website the ABOUT US , CONTACT US, pages, etc.
Include as much information regarding your market as possible, but DON"T make it crowded or make it look like a link farm. Remember that most folks only "skim" webpage’s, so don't make your text, etc to lengthy. Use a separate page for that kind of information.
Posted: Fri May 30, 2008 01:17:04 AM by midwest
NO Free Lunch #4
Now for affiliate sign up- Remember this, MANY reputable companies have an affiliate sign up. You just have to go to each and sign up. It will take some time, but in the end it is best. That way you know what info is being given about you. You also need to READ, let me say that again- READ- ALL Terms And Condition statements. You are signing a contract !
Now lets ay you sign up for one a week- that means by the end of the year, you will have signed up for 52 affiliate programs, just for ONE Website. And this is where it gets interesting, and how folks TRULY make money at this.
Posted: Fri May 30, 2008 01:18:40 AM by midwest
NO Free Lunch #5
Affiliate programs pay 4%-10% commission on average. Some do WAY Better than that.
Lets say you average $20 a day, (and you should do better than that if you have 52 affiliate links from REPUTABLE companies on your site) that’s $600 a month ! And it should not have cost you more that $100-$120 a YEAR for the website. ( that’s $8 -$10 a month!). " But what about my Time ?" you whimper. Well, What? The few days it took you to set up the site, or the 5 minutes a week it took you to sign up for each one? Well, ok, I will admit, you will have to keep your site fresh with up to date content, and make sure it is SEO'd for the search engines and you might have to advertise a bit.
But what did I say earlier about free lunch’s ? How ever ,I said nothing about using coupons :)
Posted: Fri May 30, 2008 01:21:06 AM by midwest
NO Free Lunch #6 - Final Chapter
Now, one of the keys to wealth is repetition. Just start a new website for a different market ! Imagine if you had TEN websites averaging a measly $20 a day ? HMMM....
I hope this helps everyone. And PLEASE stay away from the easy money. Because it will be YOURS that is easy. WORK ! Good Luck !
Posted: Thu Jun 19, 2008 05:29:53 PM by Evonne Duberry
World Market Systems
I am form the UK and recently joined World Market System I have purchased the silver package and paid for advertising. Is this a scam or not?
Posted: Tue Jul 01, 2008 04:19:48 AM by Barbara
Affiliate Programs
Hoping I could address question to"No Free Lunch"guy/girl,but if anyone else can help-welcome any guidance-I'm an absolute novice!With all"at home"researching I've been forced to do since brain surgery,this seems safe.Making it work-different story-I realize w/out good amount of traffic,it's worthless-am trying to figure out how/where to post sites-signed up for click bank-spent days signing up as affiliate on several sites in"market place"-never earned $-Don't know what I did wrong-began seeking elsewhere for site to promote-begun trying to learn AdSense-another called "Free Viral"another way for traffic,but haven't been successful at getting sites out there to enable traffic"Free Lunch" person seems to be very knowledgable in this regard-while I realize the chances of him/her reading this is slim,much less willing to help complete stranger,didn't think it could hurt to ask.Thank You very much! Barbara-email:splendideyesolation@hotmail.com
Posted: Sat Jul 19, 2008 10:23:51 PM by Paul
World Market System
Not my own words though.
Posts: 9
employeewms is an unknown quantity at this point
Re: World Market Systems? - Info. Needed.
Hello I Use to work with world market system's and It is a scam ... Our floor manager's Jimmy Justin And Doug encourged us to try and get as much money as possible from Poor unsuspecting HOPEFUL people.. And I told hundreds of people everyday YOUR COACH'S PRIMARY JOB IS TO WORK WITH YOU ON A ONE ON ONE BASIS ... Well in all honesty if you are not willing to spend any more money your "COACH" will tell you to call cust service :rolleyes: ... And about the money back gaurente well they say IF YOU DON'T MAKE ANY[u] Money in 90 day's or less you get your money back well... They WILL MAKE YOU MONEY so you will spend any where from 99-6000$$ and you will recieve a check for 9.90 or maybe a little more and that VOID'S the gaurentee because you just made money...
Posted: Tue Jul 22, 2008 11:14:31 PM by Tracey
Wealthy Affiliate
I've been looking at Wealthy Affiliate and I thought it might be a scam. I ended up asking on Yahoo answers and got some really good answers.
Posted: Fri Sep 05, 2008 10:00:24 AM by josie
six figure program
I was looking for internet buz oppertunities and came across this one called six figure program which happens to be in Florida where i am and checked the address out on google earth, well not to my suprise it happens to be in the middle of an orange grove. Cant seem to find a building there at all, guess it is yet another scam, yellow pages couldnt find it either.
Posted: Wed Sep 24, 2008 06:22:50 AM by Leeb
Affiliate scams
Good, solid advice... should be obvious but sometimes it just needs pointing out
Posted: Wed Dec 03, 2008 05:21:12 PM by Afshan
Wealthy Affiliates
Has anyone purchased this system? If you have used this online business, could you kindly tell me if you would recommend it and does deliver income as it says in the website. If you don't mind, how much income have you generated since you started?
I would appreciate it someone could share their experience..I can be reached at:
afshanfmirza@yahoo.com
Posted: Wed Dec 10, 2008 06:32:22 PM by Steve
Affiliate Conspiracy
Anyone have any comments about the affiliate conspiracy
Posted: Thu Dec 25, 2008 03:16:23 PM by Jimmy Mullins
Wealthy Affiliates
I purchased the system, and for some people it may seem like a scam, but it is what you make of it, if you expect to buy it and learn the hidden secret to get rich quick, it wont' happen and you'll feel scammed. To be honest the forums at Wealthy Affiliate are worth the price. You could spend weeks in there reading posts and learning something new each post. Wealthy Affiliate is a community of people who share their knowledge and success...but it will not get you rich quick. Its hard work and lots or research.
Posted: Fri Jan 02, 2009 04:45:39 AM by Samar Jit
Open Source Affiliate Marketing - Scam-proof.
Just thought you might find this of interest: http://producticityblog.wordpress.com/
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