I am thinking this idea for Hosting Affiliates...

Ok as all of us know, hosting programs pays very high for sales and some pays as high as $95 for a sale. But the downside of it is, you will only get paid after 2/3 months to allow them to don't pay for any cancellations before the 2/3 month period.

Now my idea is..simple and will benefit everyone.

There is a hosting company providing hosting for $4.95 a month and pays $95 sale commission. Here is what I am going to do. Buy the hosting and offer any DP members that wants free hosting for at least 3 months. I pay for the hosting charges for the 3 months ($4.95 x 3 = $14.85). Additionally I will also buy a domain name ($5.99) and give it to the member.

So my expenses are $14.85 + $5.99 = $20.84
The member will get - 1 year domain for free
- 3 months hosting for free

And after the 3 months, the commission will be confirmed, my earnings will be $95.00 - $20.84 = $74.16

I get a good commission + rep and the member will get free service (saving him/her $20 bucks).

What you think about this?
Will it work?

 

Those hosting companies make you pay up front for 12 months I believe.

 

Since you have to provided them with a credit card number, you won't be able to have multiple accounts, create a problem after the three months - and what you are proposing is probably against the TOS. The hosting companies aren't going to go for this if every account they pay you commission for winds up losing them money. DP members could just sign up as an affiliate themselves and keep the full $95.

Why just not work on getting legitimate accounts and not trying to take money from the hosting companies using some scheme.

 

Not really..one of them is hostgator, paying $100 for sale in CJ. They only need 60days to verify and the payments are done monthly basis (that is the reason they asking for 60days checking I guess)..

There are a lot hosting companies that accepts paypal.
I did the signup myself already and now this is just an idea I would like to share..

The members that joined can still continue their hosting after the 3 months if they like it, so it is a win-win situation for everyone.

Another idea is to pay for the people who really want to have a hosting but don't have money to start it. It can also be a discount to attract people to join the hostings under my referral..something like

" Get a free domain + 3 months free hosting"

rather than

"Get your hosting today"

Which one sounds better?

See where I am going?

Hosting is a tough niche to compete with as all of us know but with such offers, selling will be 200% easier.

 

So you're going to open up a new paypal account with a phony name? You can't use the same account for multiple accounts - and again, it's against the TOS for every hosting affiliate agreement I've ever seen.

How about you start a hosting company and offer to pay me $100 for every sign up and I do what you are planning to do? If you wouldn't accept such a deal (and you wouldn't) it should tell you how much of a "good deal" it is for the hosting company.

The owner of hostgator is a DP member. I've seen him post to people who complain about not getting paid because they found out about fake signups and other fraudulent schemes. This sounds like one of them - and it certainly isn't anything new.

If you're so sure the hosts will think this deal is a "win, win" then write to them and explain it in detail before you start. I guarantee you that not a single host will say it's ok with them. It's a scheme to defraud them.

 

You are getting it all wrong, is it a problem offering people a sort of discount from your side to boost the signups? I don't think so.

And about paypal, you can always add a new email address, make it primary and use it to buy the hosting.

The first way I explained is surely a blackhat method that I won't use ( I was just asking if it is possible, came into my mind and just asked ) but the discount part is a no harm at all. The customers are genuine, they get discounts from me (free 3 months on hosting companies) and the hosting company gets a happy customer which will only need to pay themselves the 4th month.

Something like this will surely be a big OK for the hosting companies.
What is wrong in it you tell me.

 

I am pretty sure that would be against hostgator toss since you are incentevizing it. Also how are you going to change billing over to other people when their free hosting period is up? Good idea, in theory I do not think it will work though...sorry

 

That is the tricky part that I am thinking of now..maybe can tell the customers to pay first from their account and then I fund them back. Or I can keep paying for them as long as they pay me back..either way.

Guys I am just thinking about it, not going to do it until I get the clearance from the hosting sites I have.

 

You're wrong. It's against the affiliate TOS, and you are risking not being paid or being sued.

"offering any form of incentive to obtain a sale is forbidden, unless prior approval is given and cleared by HostGator Staff."

"Commissions can be earned per each new client referred through the unique affiliate link."

"Provide inaccurate or incomplete information to HostGator concerning your identity, address or other required information;"
"Attempt to cheat, defraud or mislead us in any way;"

Your scheme fails the test. Again, it's fraud unless you specifically get permission from the host to do exactly what you are planning. Having multiple paypal addresses is an attempt to defraud them. Also, the person who has the account would have access to your paypal account and could decide to keep having the charges taken out of the account. The minute you object, they are going to explain to the host how your paypal account wound up on their hosting account and they will cease affiliate payments, and could even come after you for fraud.

 

Read my previous post

How if I know the people that I am going to refer..and give them discounts without anyone knowing about it? There are a lot of ways mate

 

Yeah, ok. An un-orignal small-time scam that might work a few times. It you aren't smart enough (obviously) to make money without trying to scam someone, then go for it.

 

Why are you getting too excited about this thread and jumping around for no reason? This might be a scam for you but I don't see anything wrong with it if the hosting companies I am working with approves it. As I said I will refer to them before doing it, so next time read all posts before you act smart (not so obvious) like this.

 

I once asked the live support about offering incentives to people to signup under me and they said it was ok. But I made them aware of fact that I am offering them an ebook which I have exclusive rights to.

 

See mjewel, this is what I meant, there are a few hosting companies that allows it. I am going to ask all of them that I know.

Thanks for clearing this out HKS.