What is Affiliate Marketing and Why Should You Care?
written byDan Legere
Affiliate marketing, like other forms of marketing, can be divided into direct and indirect types. Direct affiliate marketing involves selling someone else’s product or service to your own customers, while indirect affiliate marketing involves promoting other companies’ products and services through your own website or social media channels. While both forms of affiliate marketing are extremely important tools that every business owner should use, direct affiliate marketing can lead to more sales if you use it correctly. In order to understand why direct affiliate marketing can lead to more sales, here are some key facts about direct affiliate marketing that every business owner should know.
How does affiliate marketing work
With affiliate marketing, businesses pay commissions to websites, bloggers, and social media influencers based on sales they generate. Since affiliates are typically paid a commission on each sale (rather than each click) it’s possible to make a lot of money quickly. Of course, you might not be building a legitimate business for your audience or following in order to achieve substantial results. If you’re only in it for quick profits—shame on you! But if you have a real audience that wants to learn from your expertise or follow your recommendations then affiliate marketing could work well as an additional revenue stream. .
Who benefits from affiliate marketing
More than 85% of marketers use affiliate marketing as a way to get their products in front of new customers. Imagine you have created a great product (product A) which is related to another successful product (product B). You might think that there are already enough people promoting product B on social media, for example, and that it’s not worth trying. However, think about all those potential customers who haven’t yet been reached by people promoting product B. These are exactly the sort of potential customers you could target with your affiliate marketing campaign.
How do you get started with affiliate marketing
There are a few ways to go about getting started with affiliate marketing. The first thing you want to do is find a company that offers affiliate programs, which can be done using just about any of your favorite search engines. Some of these include: Google, Bing, and Yahoo or danlegere.com .
How do affiliates get paid
When someone clicks through an affiliate link to a retailer’s site, it’s likely that they will purchase something. The retailer then gives that affiliate a percentage of every sale, usually in terms of cents per sale (e.g., $1 per lead or $5 per sale). The more someone buys on your recommendation, the bigger your commission.
The two types of affiliates
Merchant affiliates (affiliates who are paid by merchants) and publisher affiliates (affiliates who are paid by publishers). Merchant affiliates include Amazon, eBay, Macy’s, REI, etc. Publisher affiliates include Commission Junction, ShareASale and Google AdSense. Many merchant affiliates offer their merchant partners an option to pay for leads that drive traffic to their site or conversion of merchandise. In essence there are two types of affiliate marketing strategies: lead generation strategies where you pay for quality traffic or sales generated; or a flat-rate strategy where you receive a set amount per lead/sale from your partner.Cr
What are the risks involved in affiliate marketing
Running your own affiliate marketing business comes with its own unique set of risks. It’s important to understand these potential pitfalls so you can avoid them as much as possible.
Getting more specific on affiliate programs
A network-marketing affiliate program isn’t a first come, first served system. The best affiliates are working on a strategic level, evaluating how to fit their product into multiple affiliate programs at once. After all, you never know which one will bring in more money for your business—so why limit yourself? That’s why our affiliates work hard to market your products across as many affiliate programs as possible. We do our part by using all available traffic sources to reach people who may not have heard of you before. The rest is up to you!