Many Internet users browsing different websites see advertisements encouraging them
to join an 'affiliate program' and wonder what an 'affiliate program' is and why they should be interested. The purpose of this article is to give a clear explanation of what exactly an 'affiliate program' is and its possible benefits.
While surfing the Web in the past there is a good chance that you have come across an advertisement on website that links you to a second website which is selling a product upon clicking. This is one form of an affiliate program that uses an affiliate website to promote a special deal, product, or service. Many sites also use affiliate programs in email, but this is a different type of marketing.
Affiliate marketing works this way: Companies have a product they would like to market in a way that is cost efficient and website ads are a great option. It is such an attractive way to market that they automate the entire process of approaching a company; the user visits their website and signs up through banners and hotlinks on one site that directs the user to another site. For each click that redirects a user to the second site and who also signs-up the company receives a commission. This is referred to as affiliate marketing.
By way of illustration: You have decided to create a website about a particular industry. Over time you have built up a solid user base so you have decided to check-out some manufacturer's sites in your market and see if they have an affiliate program. After you've signed up you place links on your website that will redirect the user to the manufacturer's website, citing you as a referrer. If they make a purchase you will receive a commission! The more affiliate products you are linked to, the greater your earning potential.
The ways you earn commissions vary from company to company. Typical types of commissions include for every click, for every sale or for a lead that you give to them. The rates companies pay can differ quite a bit so do your research to make sure you're getting the best commission possible. Sales are the bread and butter of affiliate programs and the more sales that are referred by you the greater your earnings will be.
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