Affiliate Marketing explained
Affiliate marketing first started to make an appearance in the early 1990s, and it has grown in popularity ever since. Many people might have heard of it or even know people who use it, but it’s often not fully understood.
Once you get to grips with affiliate marketing, however, it’s quite straightforward, and you’ll be able to appreciate the many benefits it brings to those who engage in it.
Affiliate Marketing Explained
Affiliate marketing is the process by which someone (an affiliate) promotes the goods or services of a company (the merchant). If these promotional efforts result in a sale for the merchant, the affiliate earns a commission.
As an example, if someone has a website or blog, they could promote another company’s products or services on these sites by including information and a clickable link. If a viewer clicks the link and makes a purchase, both the promoter and seller benefit. The promoter earns a commission, and the seller makes a new sale. Affiliate marketing is a win-win situation for both the affiliate and the merchant.
Why Engage in Affiliate Marketing?
For the person selling goods or services, affiliate marketing can help them attract new and wider audiences from the promotional efforts of each affiliate. It can be a lucrative and cost-effective marketing strategy, since the affiliate only gets paid commission if they achieve a sale.
From the affiliate’s point of view, this marketing method can be a good way to earn extra income. No knowledge is needed to take part in affiliate marketing, and the only investment required is owning a computer. There’s no actual physical handling or shipping of goods or engaging in customer service, so it’s the kind of flexible money-making activity that can be done by anyone from anywhere.
Things to Consider
If affiliate marketing sounds like a get-rich-quick scheme, think again. You need to put lots of effort into your promotional activities, as well as regularly update your content to attract audiences to your site or blog, to begin reaping the financial rewards. Choosing the right products to promote is also important.
For the merchant, you need to create the right balance between how much commission you’re willing to pay and who you attract to gain maximum effectiveness from the affiliate marketing activity.
Getting Involved
It’s pretty easy to get involved in affiliate marketing. As a new affiliate, you’ll need to have somewhere to promote another company’s products or services, such as a website or blog. You need to sign up to an affiliate network, which lets you see all the products or services that are available to promote. Once you sign up, you’ll be given a unique ID and affiliate link. Choosing what to promote should be given careful consideration, as it can mean the difference between success and failure. It’s important to pick niche items that interest you and are relevant to the type of content you have on your website or blog. They should also appeal to your target audience.