Every once in a while you might come across the term Affiliate Marketing. What is it and how does it work? Can you really make money with it?
What is affiliate marketing?
Affiliate Marketing is a marketing strategy used by businesses to promote their services or product. Whereby they use the middleman to do promotion and in return they pay them a commission for their marketing efforts.
This marketing strategy includes four major players to complete a sale:
The merchant is could be the business or the individual who wants their product to be sold. This are people who create the product and assign it to the affiliate network for a fee.
The Affiliate Network
This is like the third party in this type of business. This is a network that acts as the middleman. The affiliate network handle the technologies, the system used to run the business. It makes the calculations and insures that the payments are made to all members. The merchant will assign the affiliate network their product and pay a certain fee for placing their product on the network.
In some cases a company that produce the product which is the merchant can also handle its own affiliate network. In that instance the merchant is also the affiliate network meaning it handles the payments.
The affiliate is the person who does the marketing on behalf merchant and get a commission for every sale made by the customer. For the affiliate to get the product, they have to be members of the affiliate network, that’s how they receive the product placed by the merchant.
All players make money since they are part of a network, the affiliate can earn as much commission as they want depending on their marketing efforts and skills.
In the make money online industry, affiliate marketing is one of the best ways to make money, even newbies can earn good amounts in their first attempts.
The customer is the last player in this network, the customer is brought in by the affiliate usually through a website. That’s where they might see the product being promoted by the affiliate if they decide to buy the product. They are taken to the affiliate network and the transaction will happen there. Then the affiliate(the one who was marketing the product) would gets their commission from the affiliate network.
One would ask the following questions:
How would the affiliate earn commission if the sale or the transaction happens over the network? How will they know I brought the customer to make the same?
When you register with the affiliate network you will be given a unique ID. That ID is the one that a user can be tracked with, that ID is placed with in the referral link, like so
In this case the affiliateID could be a number, letters or a combination of the two.
When the potential customer clicks on your referral link your referral ID is transferred to another page. Where the customer will make the sale and payments, which will be happening on the affiliate network dashboard.
As an affiliate marketer though, you don’t have to worry about the tracking part. Because that is being handled by the system designed by the affiliate network on the backend programming. All you have to do is focus on is your job as affiliate marketer and leave the programming to the experts.
Affiliate marketing is considered the number type of online business to produce internet millionaires. So if you do your job you could be one of thee best internet marketers or affiliate marketers and earn millions through your efforts.
Your responsibly as an affiliate:
Your job as an affiliate is to do the marketing and sell the product and get a your cut when a sale is made.
But first you have to know the types of affiliate programs that you can choose from. And select the products or service placed by the merchant.
Affiliate Marketing has three types of affiliate networks. Knowing such information will allow you to make a decision based on your requirements.
CPA(Cost Per Acquisition), CPS (Cost Per Sale) and CPL(Cost Per Lead)
Cost Per Acquisition(CPA) — also know as CPS(Cost Per Sale), In CPA networks you get paid only if you refer a customer who makes a sale.
Cost Per Lead(CPL) — In CPL you could get paid if the customer leaves their name and email or telephone number, basically their contact details. A CPL might not pay as much as the CPA since there are no direct sales made.
Revenue Sharing — This is another type of affiliate network. They are also called rev shares. Usually used by subscription websites, payments could be recurring.
Make a decision on which type of program you would like to promote but but you should know. Within some programs there are one or more of the above types of affiliate marketing programs.
Another thing that you should consider doing is to contact the affiliate network manager and the merchant. If you do get their contacts just get a more understanding on their offers and expectations and what you as the affiliate can offer.
See if you can meet their expectations. You can contact them via email or phone if is provided. Build a relationship with them since you will be doing business with them by promoting their products. Not everyone likes doing that though if you believe you can do it without contacting them then just sign up and pick the product you want to promote.
Here are some of the major online affiliate networks
If you are in South Africa you might also consider looking at this affilite networks:
How do you make money online with affiliate marketing?
The best way to make money online with affiliate marketing is to combine all the internet marketing strategies in one. You find a affiliate network online , do your research about it, sign up when you are happy with it and get a referral link. You then choose the type of a product or services you want to promote then send traffic to your referral link which will also be linked to that product.
How to Get Traffic to your affiliate marketing product or how to promote affiliate product.
This a common question but if you master this step of getting traffic you are good to go and stand a very good chance of making money online through affiliate marketing.
Start a blog
The number one recommended marketing strategy is to start a blog or website. Even though you can still promote products on the internet without a blog but a blog makes it easy for you to promote almost anything online. I have already covered the topic on how to start a blog if you don’t know how.
Build a List
Building a list involves email marketing, you can use either the free versions of email tools or the paid versions. Depending on your budget you should go for what you can afford. An email list will allow you to have lots of subscribers you can turn into customers in the future. Even after you have changed a product, someone who has bought from you can still buy again.
Design a landing page/funnel/capture page/Squeeze Page
When building an email list you should do so with a capture page. A capture page makes your marketing style look professional and well organize. Have a brief description and an image about the product. If you are promoting an ebook, have a front cover image on your landing page and explain a little about it.
Next to that you can place your email textbox and a submit button, this will let your visitors to enter their email address and submit by clicking on the submit button. That will turn them into your subscribers for life and you can send them emails whenever you have another product.
Building an email list is part of the email marketing strategy, so you have to learn more about it. With email marketing you stand a good chance in affiliate marketing.
For a free email tool try MailChimp and for a paid tool you can use GetResponse. Those tools will also help you build capture page.
Move it to social media
This is a part where you have to apply your social media marketing. Social media is the way to go if you want to make money through affiliate marketing. Build a following on Facebook, Tweeter, Instagram, Google+ and other major social media sites while sharing your post content from your blog which lead to your capture page as well.
Use YouTube videos
Use video marketing as one of the online marketing strategies. Take videos and upload them on YouTube while doing a review about the product you are marketing. You Build a huge subscriber list on youtube, learn how to rank your youtube video and dominate your niche.
Don’t place your referral link direct on your YouTube description place your blog and your landing page. Doing affiliate marketing needs you to be strategic in your advertising. The video marketing strategy always plays in most internet marketing including a affiliate marketing.
There’s a forum for almost any topic online, find a list of forums that are related to your niche and participate in them and be a regular member. Share some of your links when ever possible, learn how to market using forums.
Comment on Other Blogs
Commenting on other people’s blogs can give you a good name in a long run. Find a few blogs that are related to your niche and be a regular visitor.
Word will eventually go around on the internet about your name and you will start receiving traffic to your blog. This might take time but is worth doing.
Use Paid Traffic
I’m not a big fan of paid traffic since it cost money and is also not for long term. But is good for affiliate marketing since it makes it easy to get targeted traffic. You can buy ads on Google and other sites to promote your affiliate marketing stuff there. This could work if you have a reasonable budget.
Use search engine optimization
Get organic traffic to your blog through search engine optimization. This is the best free natural traffic method. Learn how to optimize your content and let search engines find you and build a powerful business online while making money through your affiliate marketing.
Should one implement their internet marketing strategy by following this post they might succeed. I hope you liked this blog post and learned something from it. If you feel there’s something that is not included in this article please share. I know we might be doing things differently. And also if you have questions regarding this post, you are welcome to ask. I would be happy to assist you.