Jun 1, 2008

Basics of Affiliate Marketing


Business and making money online are what really keeps people interested. One’s creativity will apply in businesses, such as affiliate marketing. From what I heard from friends and colleagues and in the online group which I recently joined, affiliate marketing is such an interesting subject. But are we really familiar with it? Let us concentrate on the basics and go direct to the point about this affiliate marketing topic.

The word “affiliate marketing” means so many things to different people. In fact, there are various ways to “market” in the general sense of the word and there are also many ways to market online.

Tens of thousands of companies are selling products online. To reach more clients and customers and to get a bigger market share, these companies need other people to market or sell their products for them. In return, the companies will give commissions, usually from 30% to 75% to affiliates or the affiliate marketers.

These companies will benefit greatly as they will be able to reach more customers that they wouldn’t have reached, and advertising costs are also minimized. It is the commissions for the sales made are what they only pay usually.

As affiliates, it will allow us to make money online even without a product or at times, even without a website. This signifies that you can start earning big money immediately without any previous experience of marketing.


A true win-win relationship


Did you know that millions and billions of dollars are being transacted in the internet? Most of these transactions are done through affiliate marketers, according to statistics.

As affiliate marketers, it is our job to learn all about affiliate marketing, make use of it and we should be able to know by heart the driving traffic and sales for the companies. There are two broad methods in affiliate marketing: free and paid.

Free Methods. It will not cost you anything for the free methods. But it is time-consuming and will really involve a certain level of skill. Here are some examples on how to go about it—SEO (search engine optimization), article marketing, web2.0 traffic, among many others.

Paid Methods. The PPC (Pay-Per-Click) advertising is the most popular way. You may have noticed the “sponsored ads” or “ads by Google” as headers of a box with several websites inside the box when you use Google as your search engine—these ads are the PPCs. Google’s PPC is Adwords and Yahoo has Yahoo Search Marketing. There are still many other PPCs. The procedure is that advertisers pay Google or yahoo for every person that clicks on the ads that was advertised. The person who clicks on the ads is directed to a website that is designated. The website is often the landing page that was created or the partner company’s sales page. And when these person purchases a product, we earn a commission from the transaction.

Companies track which affiliate drives traffic to their websites and makes a sale through their affiliate programs. So if you are interested to be an affiliate for a company, you have to join their program or their affiliate network. It is better to join a good affiliate marketing resource, and the important thing is you learn how it is supposed to be done the proper way.

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