Many newbies still confused about affiliate marketing, and repeatedly ask and search what is affiliate marketing. Now I have explained in very simple terms what is affiliate marketing and how does it work for you.

Affiliate marketing is one of the oldest terms of marketing wherein you refer someone to any online product and when that person buys the product based on your suggestion or information, you receive a commission as per decide by the seller.

The Commission varies types from $1 To Unlimited depend on the product or seller commission that you are promoting.

What is affiliate marketing How Does It Work:

What is Affiliate marketing Explanation:

• The online shopper decides to buy products
• They Lands on Affiliate Link or site.
• He is now redirected to the merchant site.
• The shopper finally makes the purchase and the merchant reward for his reference.

How companies track the referral Commission?

The company has a unique URL that is used to keep track of all the traffic and sales you are making via your website or other promotional ideas. Many old-fashioned affiliate programs allow a buyer to add the email or referral details in an effort to account for affiliate sales, but this is certainly not the best way to track progress.

Many online companies like Amazon affiliate who sell products such as shoes, clothes, web-hosting spaces, or some other service, usually offer an affiliate program. You can simply sign up for the program and get your unique tracking link. Now, whenever you are writing about their product, you can simply use this special tracking affiliate link to recommend the company’s site.

Learn affiliate marketing

Here are some of the common and used terms associated with affiliate marketing:

• Affiliates: Publishers like you and me who are using affiliate program links to promote and make sales.
• Affiliate marketplace: There are many marketplaces the bigger networks like CJ Affiliate, Clickbank. These work as central databases for affiliate programs in different niches.
• Affiliate software: Software used by companies to create an affiliate program for their product. It enables you to create, track and optimize your own affiliate programs
  • Example: iDevaffiliate, OSI affiliate.
• Affiliate link: Special tracking link offered by your affiliate program to track the progress of your affiliate promotion.
• Affiliate ID: Similar to the affiliate link, but many affiliate programs offer a unique ID that you can add to any page of the product site.
• Payment mode: Different affiliate programs offer different methods of payment.
  • Example: Check, wire transfer, PayPal, and others.
• Affiliate Manager/OPM: Many companies have dedicated affiliate managers to help publishers earn more by giving them optimization tips.
• Commission percentage/amount: The amount or percentage you will be receiving in affiliate income from every sale.
• 2-tier affiliate marketing: This is a great way of making money from an affiliate program. With this method, you recommend that others join affiliate programs, and you receive a commission when a sub-affiliate makes a sale (similar to MLM or multi-level-marketing). This income is also known as a sub-affiliate commission.
• Landing pages: A unique product sales or demo page used for the purpose of increasing sales. Most of the programs that you will be promoting have many landing pages, and you can run A/B testing to see which pages convert best for you.
• Custom affiliate income/account: Unlike a generic affiliate account, many companies offer custom affiliate income to people making the most affiliate sales for them.
• Link clocking: Most of the affiliate tracking links are ugly. Using a link clocking technique like URL shorteners, Thirsty Affiliates, etc., you can turn ugly links into links that can be read and understood by your readers.
• Custom coupons: Many programs allow affiliates to create custom coupons which are also used to track sales. Custom discount coupons help you to increase affiliate sales as well.

For companies offering an affiliate program, this is one of the best ways to receive free promotion and get more business, thus saving substantially on advertising.

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