Affiliate marketing is an online marketing practice in which a merchant (vendor/retailer/brand) rewards affiliates (publisher’s) for each visitor or customer brought about by the affiliate’s own marketing efforts.
It works through a network of websites, known as affiliates, being sourced by an online business wishing to increase its traffic and sales, known as the merchant. These affiliates work to generate traffic and refer it to the merchant’s website.
The merchant then rewards these affiliates with a commission for a desired action taken by each referral, which is in general one or more of the following:
- Pay Per Lead – payment made for each registration.
- Pay Per Sale – payment for each confirmed sale.
- Pay Per Click – payment for each visitor referred to the merchant’s site.
Affiliate marketing is a form of online marketing, which is frequently overlooked by advertisers. While search engines, email, and website syndication capture much of the attention of online retailers, affiliate marketing carries a much lower profile. Still, affiliates continue to play a significant role in e-retailers’ marketing strategies.
why use affiliate marketing programmes?
- Affiliate Marketing is Virtually Risk Free.
- Merchants only pay for results, such as confirmed registrations or sales. Therefore affiliate marketing is an ideal way to generate new business.
- Affiliate Marketing is Excellent for Brand Awareness
- If you only pay affiliates for sales generated, the awareness levels of your site can improve hugely for very little cost, as affiliates promote your site to their readers and membership base.
- Reach More People via Affiliate Niche Websites
- Many affiliates own niche websites, containing people that would be interested in your product or business but would otherwise be extremely hard to reach. Affiliate marketing is an excellent way of reaching them.
- Affiliate Marketing Drives Quality Traffic
- Your product adverts are shown only on sites where the affiliates feel that your products are of interest to their members and visitors. This can lead to higher conversion rates.
affiliate marketing implementation options
Merchants can choose from two different types of affiliate management solutions: standalone software or hosted services, typically called affiliate networks. Pay-outs to affiliates or publishers are either made by the networks on behalf of the merchant, by the network, consolidated across all merchants where the publisher has a relationship with and earned commissions or directly by the merchant itself.
affiliate marketing solutions
Contact us to find out more about our range of Affiliate Marketing solutions to businesses and website owners.
more information about affiliate marketing