What is Affiliate Marketing?

What is Affiliate Marketing?

What is Affiliate Marketing

Affiliate Definition

An affiliate is an individual attached to a subsidiary group or an organization to promote their products or services. The affiliate simply shows a link on his/her website to the organization’s online store which redirects customers to that particular store.

The affiliate network records each purchase made by a customer and is confirmed by the subsidiary body (an organization with an online store) and pays a piece of the profit to the individual or affiliate.

Is Affiliate Marketing Legit?

The myth behind the authenticity of affiliate marketing is true and realistic. Not to take care of the information from forged sources that the program is a scam or offers a low-value source of traffic, an affiliate can make as much amount of money as those running the program can make.

Is Affiliate Marketing Worth It?

Studies show that the total investment in affiliate marketing was $1.6 and $5.4 respectively in 2010 and 2017. According to the latest studies, the total investment amount is growing steadily in the United States which is predicted to reach $8 billion by 2022. However, affiliates must struggle hard to deal with the fierce competition from marketers promoting the same products.

Affiliate Networks

Below are the top affiliate networks that manage affiliate programs. While there are many smaller ones out there, these are the ones we recommend to start with:

Amazon

Avant Link

Awin

Commission Junction (CJ)

Impact Radius

ShareASale

Skimlinks

Affiliate Marketing Terms

There are several terms used in affiliate marketing that you may not be familiar with. 

Click here to learn about Affiliate Marketing Terms.

What is Affiliate Marketing

How to Become an Affiliate Marketer

Affiliate marketing is a hassle-free, quick and inexpensive way of making money online. Affiliates can increase their income online without physically selling products using this method. But wait! How they are paid?

The answer can be a bit tricky because the contribution of affiliates in increasing the overall sales is measured differently depending on the program. Affiliates may get paid using either of the following ways:

Pay per Sale

A pay-per-sale is the standard affiliate marketing structure where affiliates must get the buyer to invest in that particular product. Once the buyer will actually purchase the product, the merchant pays a percentage of the sale amount of that particular product to the affiliate.

Affiliate marketing is a hassle-free, quick and inexpensive way of making money online. Affiliates can increase their income online without physically selling products using this method. But wait! How they are paid?

The answer can be a bit tricky because the contribution of affiliates in increasing the overall sales is measured differently depending on the program. Affiliates may get paid using either of the following ways:

Pay per Sale

A pay-per-sale is the standard affiliate marketing structure where affiliates must get the buyer to invest in that particular product. Once the buyer will actually purchase the product, the merchant pays a percentage of the sale amount of that particular product to the affiliate.

Pay per Lead

This is a bit complicated structure of affiliate marketing where affiliates are compensated for leads conversion. Depending on the merchant’s website type, leads might be of different types including filling out a contact form, trial period signup, or downloading files. Affiliates are supposed to encourage customers for completing that desired action on the merchant’s website and are paid for that action.

Pay per Click

In a pay-per-click affiliate marketing structure, affiliates are paid for the number of redirections to the merchant’s website. In other words, affiliates are supposed to involve customers in clicking on the redirect link on his/her website. Each redirection increases the web traffic on the merchant’s website and affiliates are paid for the number of clicks on his/her website.

This is a bit complicated structure of affiliate marketing where affiliates are compensated for leads conversion. Depending on the merchant’s website type, leads might be of different types including filling out a contact form, trial period signup, or downloading files. Affiliates are supposed to encourage customers for completing that desired action on the merchant’s website and are paid for that action.

Common Affiliate Marketing Mistakes

Even experienced affiliate marketers make mistakes (we get a little lazy and forget the core process sometimes).

Click here to read our article on Common Affiliate Marketing Mistakes.

How Much Can You Make With Affiliate Marketing

What is Affiliate Marketing?

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