What is affiliate marketing and how it works
Affiliate marketing is a process of promoting someone else’s product or service online in exchange for a commission.
Suppose someone has a new product or service that he wants to promote for the obvious reason of creating awareness among masses, so depending on the budget of promotion he has few options like
- TV ads for television audience
- Physical banner display for public on roads
- Online promotion
- Affiliate marketing
- Online ads
- Email and social media marketing
Out of these three online promotion, Affiliate marketing is the cheap and best strategy, because it gives the desired result to the merchant (owner of product) and if it does not provide the desired result then merchant do not need to pay for it, so it’s a win-win situation for a merchant. Almost all the big brands do all these three kind of promotion.
In coming days affiliate marketing only going to increase its share and presence in online promotions, thus giving a better chance for earning to affiliates.
How Affiliate Marketing works
Affiliate marketing on the very ground level is a relationship between three parties.
- Merchant -- The owner of the products or services.
- An Affiliate or Publisher -- The one who promotes, that’s you.
- Customer -- The one who buys the product or perform the desired action.
This is done through a series of steps.
- Register for an affiliate program according to your convenience.
- Get approve, some takes time while some can instantly approve even without any prior knowledge and website.
- After approval you get an easy to use control panel where you can track all your link/URL details.
- You get unique link along with ready to publish banner of all sizes. No matter whether you use banners or just link you get the same commission.
- Publish your link anywhere on the web.
- If someone clicks on your link and perform the required action, you get rewarded with your bit of commission.
Unique link given to the affiliate member is used for tracking information like number of clicks, number of conversions (those which actually got converted into sale or anything that was desired by the merchant). All these information can be viewed by affiliates as well as by merchant in their affiliate accounts.
The job of an affiliate is as easy as putting that unique link in such a platform and in such a manner that people perform those desired actions which are required for you to earn a commission.
Those desired actions that users need to perform which can lead you to earn commission could be:
- Fill a short form.
- Downloading a file or an application.
- Buying a product.
- Signing up for free trial.
- Doing a small survey.
- Voting in a poll.
- Filling out some crucial information like bank or credit card info.
Though there are some more actions as well but mainly people earn through these means only, generally higher the value of the products or services higher will be the commissions.
Mainly people use website and social media platforms to promote their affiliate link.
Don’t worry we will dig into these in the upcoming lessons.
Beginners guide to affiliate marketing
It is recommended to finish one lesson a day.
Lesson-1: What is affiliate marketing and how it works ⇒HERE
Lesson-4: Create your own affiliate website
Lesson-5: Find an affiliate product and promote it
Lesson-6: Optimize your website – SEO