Master Resell Rights vs Affiliate Marketing: EXPLAINED

Chances are, you’re here because you have heard about two renowned methods of earning money online: Master Resell Rights (MRR) and Affiliate Marketing.

These business models can be a goldmine if you know how to use them, but they’re very different from each other.

In simple terms, MRR allows you to buy products and then resell them to others, even granting them the right to resell.

On the other hand, Affiliate Marketing lets you earn commissions by promoting other people’s products.

So, one model is about owning and selling, while the other is about promoting and earning commissions.

Throughout this article, you’ll learn the ins and outs of both MRR and Affiliate Marketing. We’ll cover the benefits and drawbacks of each model to help you decide which one could be a better fit for you.

We’ll also explore another similar licensing type – Private Label Rights, to give you a fuller picture of your options.

So here we go:

What Are Master Resell Rights (MRR)?

What Are Master Resell Rights

Master Resell Rights, or MRR, are a type of license you can buy along with a digital product. This license lets you sell the product to other people unlimited times and keep 100% of the profits.

But here’s the cool part: the people who buy the product from you can also resell it. This makes it different from just buying a digital item for your own use.

It’s like a chain reaction where one sale can potentially lead to many more, however, this is not a Multi-level Marketing scheme (MLM).

And the types of products you can find with MRR are pretty versatile.

Here are a few examples of MRR products:

  • eBooks
  • Video Courses
  • Software
  • Videos
  • Templates
  • Plugins
  • Themes
  • Planners
  • & more…

No matter what type of product it is, most of the time it will be digital products that come with Master Resell Rights.

Pros of Master Resell Rights:

pros

Let’s quickly go over the main advantages of acquiring and selling Master Resell Rights products:

  • One-Time Purchase: You buy the product once, and then you can sell it as many times as you want.
  • You Set the Price: It’s up to you how much you sell it for, so you control how much money you make.
  • No Stock Issues: Because these are digital products, you don’t have to worry about running out of stock.
  • No Shipping: You don’t have to deal with shipping or handling; it’s all done online.
  • Resale Chain: The people who buy from you can also resell the product, adding an extra layer of sales potential.

Cons of Master Resell Rights:

cons

Of course, it’s not all easygoing. There are some downsides to think about too:

  • No modifications allowed: You are not allowed to modify the product in any way, so you have to sell it as it is.
  • Market Saturation: If a lot of people are selling the same thing, it gets harder for you to stand out.
  • Marketing Work: You have to put in the effort to make sure people see and want to buy your product.
  • Quality Control: The quality of MRR products can vary, so you have to be careful what you choose to sell.
  • Customer Service: You’ll be responsible for handling any customer issues or complaints.

The good news is, that there is another popular licensing type, which eliminates the first and most important drawback of MRR.

This licensing type is called Private Label Rights.

What Are Private Label Rights (PLR)?

Private Label Rights, also known as PLR, take things a step further than Master Resell Rights. With PLR, not only can you sell the product, but you can also change it however you like.

You can add your name or logo, modify the content, and then sell it as if you created it yourself. This gives you a big advantage because you can offer something unique to your customers.

People usually prefer to buy unique items, so with PLR, you have a better shot at standing out and being successful.

Apart from rebranding and reselling, there are plenty of other things that you can do with PLR content, and that include:

  • Break It Down: Convert a comprehensive eBook into a series of blog posts or articles.
  • Bundle: Combine several PLR products into a package deal for a higher perceived value.
  • Add to a Course: Incorporate the PLR material into your existing online courses for extra content.
  • Create a Webinar: Use the PLR content as the basis for a webinar or workshop.
  • Email Marketing: Divide the content into a series of emails for a drip campaign.
  • Social Media Posts: Use snippets or chapters as individual social media posts to engage your audience.
  • Membership Sites: Add the PLR content to a membership site to provide value to your subscribers.
  • Video Content: Turn the written material into video formats, like tutorials or vlogs.

With PLR, the sky’s the limit on how you can repurpose and benefit from the done-for-you content.

Interested in PLR? Check out the best websites to download high-quality PLR products.

What Is Affiliate Marketing?

What Is Affiliate Marketing?

Now that we know what Master Resell and Private Label Rights are, it’s time to dive into the affiliate marketing world.

Affiliate marketing is a way to make money by promoting other people’s products or services. Basically, you find a product you like, talk about it to others, and earn a piece of the sales for each purchase made through your unique referral link.

Unlike with Master Resell Rights (MRR) where you can only promote digital goods, affiliate marketing allows you to promote both digital and physical items.

Examples of Products You Can Promote:

  • Books and eBooks
  • Online Courses
  • Beauty Products
  • Electronics
  • Software
  • Clothing and Apparel
  • Travel Bookings
  • Furniture
  • and much more…

How To Do Affiliate Marketing?

Your first step is finding a product you believe in. After that, you sign up for its affiliate program to get your unique tracking link. Whenever someone purchases something through your referral link, you will get a commission.

The hard work lies in promoting the affiliate product, and it’s down to you on how you want to do it.

Some ways are harder and take more time to see results, while other ways require financial investment and results can come up quicker.

Let’s explore the main ways of doing affiliate marketing:

  • Blogging: Write articles that include your affiliate links. You could do product reviews, tutorials, or informative articles related to the product’s industry.
  • YouTube: Create video content where you discuss or review the product. Place your affiliate link in the video description.
  • Social Media: Use platforms like Twitter, Instagram, Pinterest, TikTok, and Facebook to share short posts that include your affiliate link. You can also include the link in your bio description.
  • Paid Ads: Run PPC (pay-per-click) campaigns that direct to your affiliate link. Google Ads and Facebook Ads are popular choices for this.
  • Email Marketing: If you have an email list, send out newsletters featuring products with your affiliate links.
  • Forums and Online Communities: Participate in online forums relevant to the product you are promoting, and share your affiliate link where appropriate.
  • Podcasts: If you host a podcast, you can recommend the product during your episodes and share your affiliate link in the episode’s show notes.
  • Webinars: Host a live webinar to talk about the product and offer your affiliate link to attendees at the end.
  • Influencer Partnerships: Collaborate with other influencers to mutually promote each other’s affiliate products.

There are lots of methods, so pick one or a combination that fits your skills and comfort zone. Each method has its own set of best practices, so it pays to do a little research beforehand.

Pros of Affiliate Marketing:

pros

Now let’s cover the main advantages of affiliate marketing:

  • No Need To Create the Product: All you have to do is pick someone else’s product and start promoting it. There are many products that are already well-established and that makes it easier to promote them.
  • Low Barriers to Entry: You don’t need a lot of money to start. If you cannot afford a website, you can start affiliate marketing on free social media platforms.
  • Scalability: As you can grow your audience to no end, you can also grow your affiliate income as big as you want.
  • Diverse Product Choices: You can pick from tons of products to promote from physical to digital goods.
  • Support in Marketing: Depending on the product creator, many of them provide you with guides and various promotional materials to ease your marketing efforts.
  • No Customer Support Involved: With affiliate marketing, you don’t have to deal with customer support. The product creator takes care of it all.

Cons of Affiliate Marketing:

cons

While this business model has a lot of pros, it certainly involves some downsides too. Here are some of them:

  • Fluctuating Commission Rates: You don’t have much control over your commission rates, and your earnings can change without warning.
  • Third-Party Dependencies: You rely on someone else’s product and sales process, meaning you have no control over the product quality or delivery process. This can negatively affect your online reputation.
  • Competition: Affiliate marketing is quite over-saturated nowadays, so it can be tough to stand out. However, you can still be successful if you find clever ways to promote the products.
  • No Customer Data: Since you’re only recommending products in affiliate marketing, you don’t get access to your referrals’ data. This means you miss out on the chance to market additional products to them in the future.

Master Resell Rights vs Affiliate Marketing: Key Differences

Let’s summarize this article by highlighting the key differences between Master Resell Rights and Affiliate Marketing.

Let’s look into various aspects from ownership and control to startup costs and marketing responsibility.

Ownership and Control

Ownership and Control

First off, let’s dig into who actually owns the product. With Master Resell Rights, you own a copy of the product, which you can then resell to others. Even better, your buyers can also resell it.

In contrast, Affiliate Marketing doesn’t give you ownership. Instead, you’re promoting a product owned by someone else and earning a commission for your effort.

The common thing is that both Master Resell Rights and Affiliate Marketing do not require you to create the product from scratch.

Product Modification

Product Modification

Now, what about altering the product? In the world of Master Resell Rights, you generally can’t tweak the product you’ve purchased for resale. However, if you decide to go for Private Label Rights, you have unlimited options to modify the product and make it truly unique.

On the flip side, when you’re in Affiliate Marketing, there is no question about modification at all. You don’t own the product, so you can’t change it.

Types of Products

Types of Products

Next, consider the range of products you can work with. Master Resell Rights limits you to digital goods, such as eBooks, software, templates, or online courses.

On the other hand, Affiliate Marketing offers a broader canvas – you can promote both digital and physical items.

Revenue Share

revenue share

Money talks, so let’s discuss revenue. With Master Resell Rights, you pocket all the earnings from your sales. Every single penny.

In Affiliate Marketing, you’re not so lucky. You earn a commission, which is a percentage of sales, and the size of that can vary. The commissions can vary anywhere from 2% to 90% depending on the product you are promoting.

To get higher commissions, consider promoting digital products. Such products do not encounter manufacturing, storing, and shipping costs, therefore product creators can share bigger portions of their sales with the affiliates.

Pricing Control

business coaching price

Pricing is another vital factor. If you’re dealing with Master Resell Rights, you’re in complete control, and you set the price.

In the Affiliate Marketing lane, the product owner dictates the price, and you have very minimal control, unless you have an established audience and you can negotiate higher commissions.

Customer Relationship

customer service

Here’s a crucial point: customer relationships. When you sell something via Master Resell Rights, you collect the customer’s information. That’s a goldmine for future marketing opportunities.

On the downside, you have to be committed to delivering the best customer service, and that can require a lot of time and energy.

With Affiliate Marketing, the product owner gets the customer info, however, you get the luxury to bypass all the complaints and issues from the customers.

Startup Costs

Startup Costs

In terms of startup costs, Master Resell Rights usually require an upfront investment to buy the product you’ll resell. You may also face additional marketing costs.

Affiliate Marketing, on the other hand, generally requires less financial outlay. Since you’re not purchasing any products, your initial costs are often minimal, perhaps extending only to promotional expenses.

Marketing Responsibility

Marketing Responsibility

Digging deeper into your role in marketing, there’s also the matter of support or the lack of it.

When you opt for Master Resell Rights, remember, you’re pretty much on your own. You need to figure out how to market the product effectively, and no one will hand you a how-to guide. It’s a blank slate, and every move is yours to make.

In contrast, Affiliate Marketing often comes with a helping hand. Many product creators supply affiliates with a range of marketing materials, such as banners, email templates, and even social media posts.

Plus, if the product you’re promoting is already well-known, your job gets easier. People are more likely to buy something they’ve heard of rather than take a chance on an MRR product that they’ve never seen before.

Who Should Opt for Master Resell Rights?

So, you’ve learned quite a bit about Master Resell Rights and Affiliate Marketing. Now, let’s think about which option is best for you.

If you’re someone who enjoys full control over your business – from setting prices to choosing marketing strategies – MRR might be up your alley.

It’s also a good fit if you’re willing to invest some money upfront and are confident in your ability to sell a product multiple times over.

Just remember, you’ll also be in charge of customer service and any potential issues that arise with the product itself.

Who is Affiliate Marketing Best For?

On the other hand, if you’re new to online selling or you’re not keen on the idea of managing everything from A to Z, Affiliate Marketing could be your game.

Here, you’re primarily focused on promoting a product. The company behind the product takes care of the rest, from customer service to product quality.

You won’t have as much control, but you’ll also have less to worry about. And since you’re not buying any inventory, there’s less financial risk involved.

Final Recommendations:

So, what’s the takeaway? Both MRR and Affiliate Marketing have their perks and drawbacks.

Your choice ultimately boils down to your personal preferences, skill set, and risk tolerance. If you’re a go-getter who thrives on control and is willing to make an upfront investment, MRR could be the right move.

But if you prefer a more hands-off approach where you can dip your toes in the water without much financial risk, Affiliate Marketing could be a better fit.

Take the time to weigh these factors carefully, and remember, there’s no one-size-fits-all answer. The path you choose should align with your goals and comfort level.

Frequently Asked Questions (FAQs):

Here are the most common questions and answers about Master Resell Rights and Affiliate Marketing:

Master Resell Rights (MRR) allows you to buy a product and then resell it to others. The unique part is, your buyers can also resell that product, creating a potential chain of sales.

No, an affiliate is not a reseller. Affiliates promote products but don’t own or sell them. They earn commissions on sales made through their referral links.

Some argue that network marketing offers better long-term income potential because you build a team. Your income can grow exponentially as your team sells more products.

No, MLM and affiliate marketing are different. MLM involves building a team and earning from their sales. In affiliate marketing, you earn solely from your own sales referrals.

No, Master Resell Rights is not MLM. While you can resell the product, and your buyers can too, there’s no team structure or multi-level earning involved.