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Affiliate marketers earns through shared income with online business owners. What is affiliate marketing then? Affiliate marketing is a revenue-sharing partnership between an online merchant and a website owner. The owner of a website agrees with an online seller to place advertisements on the site and help in selling the merchant’s products or sending possible customer to the website.
In affiliate marketing, the business rewards the affiliates on every customer or visitor brought in through the marketing efforts of the affiliate. Such type of industry involves four key elements namely the merchant (brand or retailer), the network (contains the offer and handles payment arrangements), the publisher (the affiliate) and lastly the customer.
The way to earn on this business online is through Clicks, Leads and Sales:
• Pay Per Click (PPC) – This program gets an affiliate paid for all the valid clicks made on the website owner’s site.
• Pay Per Lead (PPL) – This program pays a commission for all qualified action such as survey, install, free trial, online submission, sign-up and others.
• Pay per Sale (PPS) – This program pays a certain percentage of all the qualified sales made. An example of PPS program is an Amazon Associates, which provides earning up to 15-percent depending on the product category.
What is Affiliate Marketing in terms of how it works?
1. An affiliate signs up for a program as advertiser’s affiliate. The affiliate will be provided with a link in a form of a URL that contains the affiliate’s username.
2. Whenever the affiliate states the advertiser on the website, the affiliate uses the link provided.
3. When the customer visits the website and clicks the affiliate link, the customer will be lead to the advertiser’s website, and the advertiser in turn will drop a cookie to the customer’s computer.
4. If the customer orders product or services from the advertiser’s site and completes the action through the checkout process, the advertiser will check the cookie placed on the customer’s computer.
5. When the advertiser found the cookie that belongs to a particular affiliate, the advertiser will credit a sale for the affiliate concerned.
6. The advertiser will update the reports showing all the generated clicks and the generated sales from the affiliate link.
7. The commission will be paid out for the total leads and sales that were referred within a given period according to the payment policy of the advertiser. Commission payment is usually made on a monthly basis.
This what is affiliate marketing is all about and the way it is done, processed and make earnings out of it. If done correctly you can take advantage of business through the internet without having to own your own product or service.
Ride the Storm: Navigating Through Unstable Periods / Katerina Rudko (Belka G...
What is Affiliate Marketing and How It Works?
1. What is Affiliate Marketing and The
Way it Works?
By Matthew J Trujillo
2. Affiliate marketers earns through shared income
with online business owners. What is affiliate
marketing then? Affiliate marketing is a
revenue-sharing partnership between an online
merchant and a website owner. The owner of a
website agrees with an online seller to place
advertisements on the site and help in selling
the merchant’s products or sending possible
customer to the website.
3. In affiliate marketing, the business rewards the
affiliates on every customer or visitor brought in
through the marketing efforts of the affiliate.
Such type of industry involves four key elements
namely the merchant (brand or retailer), the
network (contains the offer and handles
payment arrangements), the publisher (the
affiliate) and lastly the customer.
4. The way to earn on this business online is through Clicks, Leads and Sales:
• Pay Per Click (PPC) – This program gets an affiliate paid for
all the valid clicks made on the website owner’s site.
• Pay Per Lead (PPL) – This program pays a commission for all
qualified action such as survey, install, free trial, online
submission, sign-up and others.
• Pay per Sale (PPS) – This program pays a certain percentage
of all the qualified sales made. An example of PPS program
is an Amazon Associates, which provides earning up to 15-
percent depending on the product category.
5. What is Affiliate Marketing in terms of how it works?
• An affiliate signs up for a program as advertiser’s affiliate.
The affiliate will be provided with a link in a form of a URL
that contains the affiliate’s username.
• Whenever the affiliate states the advertiser on the website,
the affiliate uses the link provided.
• When the customer visits the website and clicks the
affiliate link, the customer will be lead to the advertiser’s
website, and the advertiser in turn will drop a cookie to the
customer’s computer.
6. • If the customer orders product or services from the advertiser’s site
and completes the action through the checkout process, the
advertiser will reward the affiliate who made the sale.
• When the advertiser found the cookie that belongs to a particular
affiliate, the advertiser will credit a sale for the affiliate concerned.
• The advertiser will update the reports showing all the generated
clicks and the generated sales from the affiliate link.
• The commission will be paid out for the total leads and sales that
were referred within a given period according to the payment policy
of the advertiser. Usually payment is made on a monthly basis.
7. This is what affiliate marketing is all about and
the way it is done, processed and you are able
to make earnings out of it. If done correctly you
can take advantage of business through the
internet without having to own your own
product, service or deal with customer service.
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