Affiliate Marketing Basics

Affiliate Program Basics

Anyone who understands the basics of sales and marketing can understand affiliate programs. A company that offers products or services directly to consumers or to other companies always wants to increase their sales. They can either hire more employees for the sales team, tweak and test new marketing avenues, or start an affiliate program. Most do multiple things at once, but courting affiliates to market for them may net them the greatest value.

The company controls the product manufacturing or procurement, warehousing, and shipping. People who sign up to earn from the company’s affiliate program advertise the company’s products. Every time their special link is used to make a sale, the affiliate earns a flat dollar amount or a percentage of the total sale.This makes affiliate programs a win-win solution for both companies and individuals looking to grow an income from home. Increased sales drive business success and allow people to earn real money without shouldering the risk of running their own company or buying inventory.

Affiliate Networks Explained

While many companies offer programs directly to individuals who want to make some extra money online, others combine forces and use an affiliate network to push their program. Commission Junction forged the way in 1998. Since then, other networks have opened, each with their own collection of businesses and offers. The benefits for these companies is considerable. They get more attention from potential affiliates than they would get if they only offered the business option on their own website.

Individuals who want to earn also realize great benefits from affiliate networks. While copious amounts of information exist for those who want to learn the most lucrative details of an affiliate marketing business, it is possible to get started with little more than a blog or social media account. The accessibility of the earning opportunity makes affiliate marketing a top choice for many internet professionals and total beginners alike.

Who Offers the Best Affiliate Programs?

By a considerable margin, Amazon offers the largest number of vendors to represent with affiliate links: 1.5 million on average. They offer a wide range of links and graphics to use, but their earning percentage starts at 4%, lower than most others on the list.

Clickbank focuses on ebooks and other information products rather than services or tangible goods. As long as due diligence is taken when choosing a product to promote, earnings can be quite high with many commissions over 50%.

CJ Affiliates, originally called Commission Junction, has over 3000 merchants from a vast array of industries and niches to choose from. They offer varying percentage payouts. Although CJ offers every possible product to promote, requirements and reports might be complicated for beginners.

For people who own their own website or blog centered on a particular niche, individual companies may offer affiliate opportunities not associated with networks. If a particular product line or service catches the eye, check the company website or contact them to see if an earning program exists.

Why Affiliate Marketing Works

Add up all the positive benefits from both sides of an affiliate marketing relationship, there is no possible mystery as to why it works. For companies who want to push products or services, it gives them the opportunity to recruit a sizable sales force without having to pay employee salaries or train current ones in new marketing techniques.For people who want to earn by encouraging shoppers to buy particular products or sign up for specific offers, affiliate marketing provides the vehicle necessary to create a genuine and potentially substantial income. Since its early days of simple commission payments for referrals, affiliate marketing has become a multi-billion dollar industry.


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