Affiliate Marketing has been around for more then ten years now. Maybe you've read about it in the newspapers or on the internet but you've never really understood the concept. In this article I'll describe exactly what affiliate marketing is and give you some tips on how you can profit from it.
While there's no real definition of Affiliate Marketing it can best be described as a form of online marketing whereby merchants pay commission to their affiliates for sending customers to their websites.
The parties involved in affiliate marketing are merchants, affiliates and affiliate networks. Merchants are the parties that produce or deliver goods and services and affiliates are webmasters making websites promoting these goods and services. In this way the affiliate websites can be seen as branches for the merchants.
Affiliate networks can be seen as intermediaries between the merchants and affiliates. These networks take care of affiliate tracking and paying the commisions.
How does affiliate marketing actually work ?
When a customer arrives on an affiliate website and they click on the affiliate link they get connected to the merchants' website. When they purchase goods or services, the software behind it tracks the affiliate and handles the payment of the customer. After that the affiliate software updates the affiliate commission fee data and the affiliate will be paid later. The payment dates differ with every merchant. Usually they pay one of two times a month.
Affiliate Marketing is benificial for both merchant and affiliate. As a merchant you will have the benefit of 'an army' of promotors who will advertise your products and you will only have to pay them when they deliver customers. As an affiliate the biggest benefit is that you don't have to produce your own goods or deliver services. You just promote company products and get paid a nice commission for it.
When you want to start with affiliate marketing as a merchant you need a bit of preparation. Affiliates can almost start right away since there are little investments to be made.
For merchants the best way to start is finding information on affiliate networks and compare them to best suit your needs. Affiliate networks are also a good starting point for affiliates as there are a lot of merchants to be found with a lot of different products to promote. Of course there are many other alternatives which you can investigate. Do your research and you're on your way !
While there's no real definition of Affiliate Marketing it can best be described as a form of online marketing whereby merchants pay commission to their affiliates for sending customers to their websites.
The parties involved in affiliate marketing are merchants, affiliates and affiliate networks. Merchants are the parties that produce or deliver goods and services and affiliates are webmasters making websites promoting these goods and services. In this way the affiliate websites can be seen as branches for the merchants.
Affiliate networks can be seen as intermediaries between the merchants and affiliates. These networks take care of affiliate tracking and paying the commisions.
How does affiliate marketing actually work ?
When a customer arrives on an affiliate website and they click on the affiliate link they get connected to the merchants' website. When they purchase goods or services, the software behind it tracks the affiliate and handles the payment of the customer. After that the affiliate software updates the affiliate commission fee data and the affiliate will be paid later. The payment dates differ with every merchant. Usually they pay one of two times a month.
Affiliate Marketing is benificial for both merchant and affiliate. As a merchant you will have the benefit of 'an army' of promotors who will advertise your products and you will only have to pay them when they deliver customers. As an affiliate the biggest benefit is that you don't have to produce your own goods or deliver services. You just promote company products and get paid a nice commission for it.
When you want to start with affiliate marketing as a merchant you need a bit of preparation. Affiliates can almost start right away since there are little investments to be made.
For merchants the best way to start is finding information on affiliate networks and compare them to best suit your needs. Affiliate networks are also a good starting point for affiliates as there are a lot of merchants to be found with a lot of different products to promote. Of course there are many other alternatives which you can investigate. Do your research and you're on your way !
