What Is Affiliate Marketing?

fiona October 14, 2018 No Comments

Affiliate Marketing is a type of performance based digital marketing in which affiliates are promoting merchant (or companies who offer a service or product) to get commission. In which rewards will added for each visitor or customer brought by the affiliate’s own marketing efforts. Here publishers are getting payment on their performance more visits more money. There are major 4 players are in this affiliate marketing industry.

  • The seller or merchant
  • The mediator (network- who offers for the affiliate and takes care of payment
  • The affiliate (Publishers who market the product)
  • Visitor or customer

Affiliate Marketing
Here, you’re only paid for those results in which could be a lead (in terms of user successfully complete the registration) or a sale.

SEE ALSO:: 6 Tips to Make Money Online

Example of Affiliate Marketing for Ecommerce

There is multiple ways to approach for affiliate marketing. Either you can join to promote others business’s affiliate or you can offer an affiliate program for your own product or service. Your main goal should be to find buyers who will reach to the market. For example, an Affiliate Marketing in ecommerce website, means getting more leads through websites who target specific groups of internet users. For example, Amazon.com which sells toys, books, cloths, electronics, and many other items. It has lots of affiliated. Publishers are diverting visitors to specific websites from where the buyers or visitors get the desire products offered by Amazon. This entire sales transaction takes place at Amazon’s website which is prepared to handle the whole online payment receiving process. After successful transaction Amazon passes desired percentage of commission of that sold item to the affiliate website from where the sale created.

SEE ALSO:: What is Website Monetization?

How Does Affiliate Marketing Works?

Affiliate Marketing

  • First step is to sign up for promoter’s affiliate program, after that you get a special link which contains the username or id of the affiliate.
  • Whenever you mention the product or service to advertiser on your website, blog or any way you have to use the affiliate link.
  • A customer visit your webpage and clicks on that special affiliate link to visit advertiser’s website.
  • The promoterleave a cookie to your buyer’s computer.The customer placed an orders something from the promoter’s website.
  • As the buyer completes the checkout process successfully, the promoter checks the cookie on his/her computer.
  • The promoter finds an affiliate cookie that belongs to you and you get the credits you for the sale.
  • The promoter updates the reports to shows all the traffic, leads and sales generated from your special link.
  • Commissions are paid out – usually on a monthly basis – for all the leads/sales referred in the previous month depending upon advertiser’s payment policy.

Affiliate Marketing Has Its Own Advantages

You can work from anywhere, any time and you do not require any customer support and there is no running behind payments. So I think it’s enough to have a happy corporate life where you get money for just showing a way on internet.

Affiliates – who are they?

Affiliates could be any, but commonly they are bloggers or other content sites related to the seller’s business.

Affiliates work is to introduce their visitors to the merchant’s brand and redirect to that particular product. They might write the information about a new product on the merchant’s website, feature banner advertisements on their site that take people to the merchant’s website, or offer visitors a special coupon code. If people come from that affiliate’s site and make a purchase, that affiliate gets paid.

Usually many affiliate programs were covered of coupon and loyalty sites. As the industry matured, content bloggers came to take a more prominent place in many programs.


Affiliate marketing is because performance-based and that’s why you will get a higher ROI than other networks. Sellers are only pay for sales and leads not only for website visit. This system is different than Pay Per Click (PPC) where you spend on clicks and not generating any money. When there are multiple affiliates comes in picture for one transaction, payment gets much more complicated.


Affiliate programs are controlled and administered through a variety of different networks. Some programs choose to work on multiple networks while others are joined on just one. Most major affiliates work with multiple networks.

The network uses cookies to track a customer’s progress from the affiliate’s website (or multiple affiliates’ websites) through the merchant’s shopping cart. The network then automatically pays out commissions to affiliates based on the rules set by the merchant.


Some merchants manage their affiliate programs in-house, others go for an external agency sometimes referred to as an OPM (outsourced program management).

Whoever is managing the program does the work of employing quality affiliates, getting them engaged, finding ways for them to promote the merchant, and valuing the ones that bring in incremental revenue.

As you can see, affiliate marketing is a mixture of many different partners and moving parts. When all of them are clicking, it can be a great source of new customers and an effective way to put the brand in front of new eyes.

SEE ALSO:: Ways to Make Money Online

Categories : Monetization