Hello I am a business entrepreneur and I have been doing Affiliate marketing for more than 3 years now. I want to introduce you to Affiliate marketing strategies and how is being conducted.Affiliate marketing is a type of performance-based marketing in which a business rewards one or more affiliates for each visitor or customer brought by the affiliate's own marketing efforts. The industry has four core players: the merchant (also known as 'retailer' or 'brand'), the network, the publisher (also known as 'the affiliate') and the customer. The market has grown in complexity to warrant a secondary tier of players, including affiliate management agencies, super-affiliates, and specialized third-party vendors.
Affiliate marketing overlaps with other internet marketing methods to some degree because affiliates often use regular advertising methods. Those methods include organic search engine optimization, paid search engine marketing, email marketing, and in some sense display advertising. On the other hand, affiliates sometimes use less orthodox techniques, such as publishing reviews of products or services offered by a partner. In most cases, the affiliate receives payment only when a sale is made, likening it to a commission.
1.1 What is affiliate marketing?
This is just one example of what affiliate marketing is. There are many forms of affiliate marketing, whether you are an advertiser or a publisher, there is a form of affiliate marketing that will suit you.
Let me give you an example of what affiliate marketing is. Merchant X is selling a product for $50, he needs to promote this product and is looking for the best cost effective way of doing so. He then decides that he will pay people to promote his product, but will only pay them for the amount of sales they bring to him. If an affiliate sells a product for Merchant X he will make $20 commission and the merchant will make $30. This means that it is a cost effective way of marketing, because the merchant only paid $20 for a sale of $50, the affiliate has easy money making potential, as he will make $20 for a $50 sale and the customer is happy with the product. This is often the best form of marketing as the affiliate has more money making potential compared to say a pay per click affiliate who will only be paid a few cents for a click.
Affiliate marketing is a great way to make money online. You might wonder what is affiliate marketing. It is a type of performance-based marketing in which a business rewards one or more affiliates for each visitor or customer brought by the affiliate's own marketing efforts. This is a more cost effective way of marketing in comparison to the traditional forms of marketing. Merchants only pay for the desired action that was brought to them, this could be in the form of sales, leads and clicks.
1.2 Benefits of affiliate marketing
Increased value for the consumer: When a consumer is on your website, there are many items they can click on and buy, but it may not be what they are looking for. By having a selection of items with good reviews for the consumer, this may increase their overall shopping experience and also increase the likelihood of them buying an item to suit their specific needs.
Brand building: Many new businesses struggle to build brand awareness. By having affiliates promote your items, you are essentially using their own highly targeted traffic to increase your sales. Many consumers may see the item when being referred to it by the affiliate. If they see it several times, there is a good chance they will buy the item. Some consumers will bypass the affiliate link and go straight to the merchant's site. This action is still brand building because the consumer has now been directly exposed to your item.
High ROI: The affiliate is motivated to do a good job promoting the merchant's items because they receive a portion of the profit on each sale or action. Due to this, the affiliate is usually very motivated to generate a conversion, and it has been proven that this can result in a higher conversion rate for the merchant.
Low risk: The main benefit to the merchant is that using the affiliate marketing model, the merchant does not pay anything unless and until a desired action takes place. This desired action may be a visit to the website, a membership, or a sale. The merchant pays only when the outcome is favorable to them.
There are several benefits to the merchant and the affiliate marketer involved in affiliate marketing. Each of the involved parties can partake of the benefits and see a certain amount of success. Here are some appealing benefits to the merchant side.
1.3 Types of affiliate marketing programs
So far we have talked about what is affiliate marketing and some benefits of it. We haven't really looked at what kinds of programs are out there and what the differences between them are. There are various ways to measure sales at which your commission is paid to you. This can be paid on the basis of a pay per click system, a pay per lead or sale. Pay per click is the simplest way of earning money as an affiliate; you simply make money each time a visitor to your site clicks on your link through to the affiliate site. This can be anywhere from 1 cent to 20 dollars, the more clicks you generate, the more money you make. A pay per lead or sale program is the more traditional method of affiliate marketing. The affiliate is paid a commission for sales or leads that are generated through to the affiliate site. This is normally the best way for a consumer brand with a low ticket item to get started with affiliate marketing. It is best to negotiate the amount you will be paid per sale so it is a win-win for both the brand and the affiliate. Now, the actual program types on top of these can be quite complex.
A two-tier program is to your benefit but it is only available for the pay per sale program. You are able to recruit other affiliates to the program and receive a commission on the sales that they generate, and a discount for personal sales even though it is a cost to the company. This is beneficial because if you get good at recruiting a solid team of motivated affiliates, you can earn a solid income through their sales efforts with no further effort on your part. This is the beginning of your move from low-level affiliate who makes money by the hour and moves to the high-level income earner. Now, there is something called a residual income program. This is a program where you can continue to make money from a customer on that one time the customer has purchased. This type of income is much more automation and low commitment. An example of this could be a membership site for an affiliate SEO tool product. You will make the commission on the sale and then continue to get regular commission payments as long as that customer remains a member of the site.for more information you can contact me via +254702703767