What is affiliate marketing? How does it work?

What is Affiliate Marketing?

Affiliate marketing is the process of earning a commission by promoting other people’s (or company’s) post. You find a product you like, promote it to others, and earn a piece of the profit for each sale that you make.

In simple words, Affiliate marketing is when you promote other companies’ products. When someone buys through your affiliate link, you get a commission.

Every big company like Google, Amazon, Apple have an affiliate program, which is free to join by anyone.

How does affiliate marketing work?

The merchant gives each affiliate a unique link so they can track who was responsible for a sale.

Commission rates vary dramatically, depending on the company and the offer. On the low end, you’ll earn about 5% of the sale but, with some arrangements, you can earn as much as 50%, usually when promoting a class or event.

what is affiliate marketing

There must be three parties involved in this program.

1. Seller or product creator

The seller, whether a solo entrepreneur or enterprise, is a vendor, merchant, or a retailer with a product. The product can physical object like instruments or machines or accessories etc. The seller does not need to involve in marketing.

2. The affiliate or publisher

Also known as a publisher, The affiliate can be either an individual or a company that markets sellers’ products. In other words, the publisher promotes sellers products to the consumers and convince them to purchase the product. If the consumer buys the product, the affiliate receives a portion from revenue.

3. The consumer

The consumer is the person or customer who purchases the product of the seller promoted by the publisher. Affiliates share their products with them on social media, blogs, and websites, or emails.

When the consumers buys the product, the affiliate and the seller share the profit. The affiliates share of profit is included in retail price.

How do affiliate marketers paid?

A quick and inexpensive method of making money without the hassle of actually selling a product, affiliate marketing has an undeniable draw for those looking to increase their income online. But how does an affiliate get paid after linking the seller to the consumer?

The affiliate can be paid in various ways :

1. Pay per sale

This is the standard affiliate network structure. In this program, the merchant pays the affiliate a percentage of the sale price of the product after the consumer purchases the product as a result of the affiliate’s marketing strategies.

2. Pay per load

A more complex system, pay per load affiliate programs compensates the affiliate based on the conversion of leads. The affiliate must persuade the consumer to visit the merchant’s website and complete the desired action. for example, it’s filling out a contact form, signing up for a trial of a product, subscribing to a newsletter, or downloading software or files.

3. Pay per click

This program focuses on the affiliate to redirect consumers from their marketing platform to the merchant’s website. In conclusion to the affiliate gets payment based on increase in web traffic.

Why be an affiliate marketer?

While any regular job requires you to be at work to make money. However, affiliate marketing offers you to make money while you sleep. In other words, by investing an initial amount of time, you will see continuous results as consumers purchase products. Even if you are not in front of the computer, your earnings will be in a steady flow.

Moreover, If you’re someone who hates going to the office, affiliate marketing is the perfect solution. you can do without getting out of your pajamas.

On the other hand, it has a very low risk. Most businesses requires start up fees as well as cash flow to finance the products. However, affiliate marketing can be done at a low cost without hustling.

Afiiliate marketing is purely based on your perfomance. You’ll get from it what you put into it.

How to find an Affiliate program?

Not every companies offers affiliate program – some businesses manage their own affiliate program while some use an affiliate network.

Big companies like Apple, Amazon, Google, Flip kart, etc have Affiliate programs. An easy way to find an affiliate program is to visit an affiliate platform. Here are some of the most popular :

Another option is to visit the websites of products and services you like to see if they have an affiliate program. Large companies often have programs like this as :

Common types of Affiliate marketing channels

Most affiliates have same way to promote the product but, there are several marketing channels they may provide.

1. Influencers

An influencer is someone in your industry with sway over your audience. Influencers have specialized knowledge, authority, or insight into a specific subject. Therefore, it is easy for them to connect consumers with affiliates. The influencers then receive a share of the profits they helped to create.

2. Bloggers

Bloggers provide online platforms for affiliates to promote their products very easily. They recommend their products into their blogs and helps them increase their sale.

3. Email lists

Email marketing is still a very useful source of affiliate marketing. Some affiliates have an email list that they can use to promote the seller’s product.

4. Social media

The social media platform is the best platform for affiliate marketing. Affiliates use different platforms like Facebook, Twitter, Quora, etc. you can earn commission by this ay easily.

5. YouTube

similarly, YouTubers promotes the products in their videos or by advertising it. They provide a link in their description so that consumers can buy it easily.

How to start your amazon affiliate marketing

Above all, Amazon has the world’s largest affiliate program and once you sign up, you can get a link for any product on site and earn a commission on it

Sign up from here : Amazon affiliate program

After sign up let’s understand via one example of golf bag.

search for product in search box like this in hich you are interested. then, click on “text” button shown upside on page. You’ll see store and tracking ID and link below like this.

affiliate marketing

Then you can copy and share that link at any channel you want like youtube, Facebook, Twitter, emails, blogs, etc. and once they buy the product you will earn commission.

There is same process to join other affiliate program.

Is Affiliate marketing harmful or illegal?

No, it is neither harmful nor illegal, as you will simply be using the affiliate link provided to you rather than a direct link to link to any site. and there are no qualifications required to become an affiliate marketer.

Affiliate marketing and AdSense : Can we use both?

Yes, you can us both as affiliate marketing does not violate any Adsense TOS. In fact, affiliate marketing works better than AdSense.

For example:

If you get 1000 visitors a gay, you divide that by 10 and you see that you can charge $100 for each ad on your site. But, it takes too long time to get 1k visitors per day.

If someone clicks on it and buys my product I make $500 – 5 times more than I’d make for that sponsored ad. All I need is one every 5 months to make this a better option. Not only that, but it’s helping build my brand identity and reputation, rather than some random company.

Thank you for your support and reading this article !

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Here is our article on Online business with amazon. For your guidance of business with Amazon.

6 thoughts on “What is affiliate marketing? How does it work?”

  1. 👉Thank you for share this information.
    👉This information helps to us to Increase
    our business.
    👉could you helps us how to mesho and
    udaan work in affiliate market?


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