I have got you covered with this short post where explain what affiliate marketing is.
What is Affiliate Marketing?
Affiliate marketing is a strategy that enables individuals to make money by referring consumers to an online store. Affiliates receive a commission when their marketing efforts result in a transaction. Advertisers on the other hand, receive high quality traffic and pay only for results. Affiliate networks offer a platform to connect advertisers and affiliates, handle support, tracking and payments. Affiliate marketing is often referred to as performance based marketing, with CPO (cost per order) being the payment model. This means if you generate a sale for the company, you get paid. If you don’t generate a sale, you do not get paid.
How does Affiliate Marketing work?
1. In order for affiliate marketing to function, the affiliate network, the affiliate and the advertiser with its affiliate program need to join forces.
2. The affiliate network offers a managed service and a platform for tracking, allowing the advertiser to set up an affiliate program which affiliates can connect to.
3. The affiliate receives commission and the network receives payment only when the advertiser receives a sale. Put differently, the advertiser benefits from the fact that the other parties only see money when a sale has occurred.
- Affiliate marketing is a digital marketing strategy that facilitates the connection of advertisers and relevant affiliates. The payment model is often referred to as CPO, meaning the affiliate gets paid when he or she contributes with a sale to the advertiser. The advertiser, on the other hand, pays only when a transaction or an agreed upon event has occurred.The above post provided you with basic knowledge of what affiliate marketing is and how it works. Interested in learning more? Get in touch by comment below.