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What is affiliate marketing?
An affiliate is someone who promotes a product or service from someone else. The affiliate gets paid, if, by his intercession, a sale takes place. It is almost always through advertisement over the internet (eg via a website or Social Media channels). Next to Adsense, affiliating is the most common way to make money with your website.
In addition, there are always three parties, but often 4 parties:
- The company that wants to sell its product or service
- The affiliate, the person who is willing to promote the product of that company
- The visitor / consumer, the buyer, the shopper.
- There is also often a fourth party: the affiliate network, a middleman between the advertiser and affiliate.
The advantage of affiliate marketing
The great advantage of working as an affiliate is that you do not waste time, effort and money into designing and making a product. You can make money by promoting a product that already exists.
How To Make Money From Home With Affiliate Marketing?
If you want to make money as an affiliate you have to sign up as an affiliate, partner or publisher by an affiliate program or affiliate network. After your registration, you choose a product or website page to promote and place the accompanying text link or banner on your website. Each time a visitor then buys the advertised product through your link, you earn a certain amount.
The difference between affiliate programs and affiliate networks
An affiliate program, also called partner program, is a business system. Affiliates can promote the products of that company. Some companies have their own affiliate program, but most companies outsource the management of their affiliate program in a network.
An affiliate network is nothing more than a collection of affiliate programs. You can find affiliate programs for hundreds of different companies. When you type in the search bar of Google:
Scooter + affiliate program ~you get about 417.000 results.
The advantage of affiliate networks is that they offer you the opportunity to advertise in a convenient way for a lot of different products, websites, and services. There is always something that you can promote that matches the topic of your website and which is of interests to your visitors. The affiliate network provides the promotional materials, contact with all advertisers and pay all your earnings, from different companies, at once.
For which will you get paid?
The reward varies per affiliate program, but usually, you get as an affiliate a commission per lead or sale, but also paid per click (PPC) or paid per view (PPV).
Leads are actions of visitors, where the visitor isn’t buying anything, but which are of value to the advertiser. Eg. newsletter signups, contest entries or requested quotations.
Sales are, when the visitor, that you have sent to the advertiser’s website, buys something.
PPC You can, as an affiliate, add advertisements to your website, and be paid per click on an advertisement. That’s the way how AdSense works.
PPV Each time you display the ad to a visitor you get paid a very tiny bit. Some ads on Youtube work that way. So when you have a Youtube that goes viral, you can earn some pocket money.
Affiliate marketing without a website on Social Media.
In order to make money with affiliate marketing, having a website is not necessary, however, it makes it a lot easier. You can use other online media, such as emails, facebook pages, twitter accounts with many followers. The point is that you have a way to promote a product from other people. Although, most companies, which are working with affiliate programs, do require that you have a website.
The difference between affiliate marketing and multi-level marketing (MLM)
Affiliate marketing requires no investment, besides time. Earnings are from sales as mediator. There are NO upsells. Although, affiliate marketing is much easier to accomplish with a website, you can even become succesful without a website, as Social Media Marketer.
MLM is a marketing strategy in which the sales force is compensated not only for sales they generate but also for the sales of the other salespeople that they recruit. This recruited sales force is referred to as the participant’s “downline”, and can provide multiple levels of compensation. MLM often works with starters packages and up-sells. The strategy is to recruit as many members as you can by networking.
Why should you go into affiliate marketing?
In the first place, it’s an honest profession. Second, internet sales will increase highly. Third, in about 5 years from now, you will regret you didn’t start today!
Read more about the statistic for online sales.
How to start your own website?
That is the easy part because this is my job. I help people to create a website, and if you have any questions, I will be there to brainstorm with you for the answer. We are a team of affiliate marketers, helping each other towards a successful online business. If you want to become a team member, just click the button below. It’s free! No credit card required.