Dec
14
Simply Affiliate Marketing
December 14, 2007 | Leave a Comment
Many people ask how Affiliate Marketing works, so I decided to write a quick explanation on this.
In the past few years, the Internet has grown to become an efficient way for companies to market and sell their products. The main reason to this is through the use of Affiliate Marketing.
Affiliate Marketing either pays the affiliates through a pay per click program (the affiliate receives money every time an advert is clicked) or a pay per sale program (the affiliate receives commission every time a posted advert on their site generates an actual sale or subscription.) Generally, the pay per sale program (also called cost per sale, or CPS) is the tried and trusted form of affiliate marketing used.
Affiliate marketing originally started and became popular by the well known Amazon.com or CDNOW. Google’s Adsense is also a very well known type of affiliated marketing, but is not really considered as true affiliate marketing as the adverts usually centers around the theme of the website they are displayed (known more as contextual advertising.) Google does not also directly sell a specific product, but generates money in other ways.
Affiliate marketing is highly cost-effective, and in effect costs both the advertiser and the affiliate nothing, while having the potential of bringing in a very large form of income for both parties. While pay per click (or cost-per-click) mentioned above can present a risk to the advertiser, the cost-per-sale (CPS) system has very little or no risk at all for both parties, and is therefore preferred.
We’ll talk again another time.
Loradove
