In the previous posts, I showed you how to make money with Google AdSense and in this post, I’m going to share another most popular way to make money; Affiliate Marketing. Affiliate marketing is common and productive way which is used by many top bloggers like Darren Rowse, Harsh Agrawal, and John chow as their main income. They earn most of their revenue by affiliate marketing.
What is Affiliate marketing?
Affiliate marketing is one of the oldest forms of marketing, where you refer someone to any online product and when a person buys the product based on your recommendation, you will get a commission out of it.
The meaning of Affiliate marketing according to Wikipedia is 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”.
How it works?
Once you join an affiliate program you then are able to choose the products or banners you want to include on your blog, and then receive the code (or link) you will need to insert on specific post or throughout your blog. In joining the affiliate program, you will agree to their terms of service, called an affiliate agreement, which will tell you what requirements you must meet and how the click-through, lead generation or sales are tracked. In the flowchart giver below, clearly explain it.
Types of Affiliate Programs
Different advertisers offer different types of affiliate programs.
Pay-Per-Click: If you join a search engine affiliate program you most likely will be placing text links or banners to their advertisers and you’ll work on a pay-per-click fee. Usually these programs pay the least amount, as affiliates are often paid per thousand clicks (CPC).
Pay-Per-Lead: These programs are when you provide the links to downloads, trial offers, e-mail opt-in lists and so on. Depending on the advertiser you may be paid per lead generation or you may not be paid unless the user subscribes and pays for a full service from the advertiser.
Pay-Per-Sale: These affiliate programs (also called revenue sharing) usually offer the highest commissions, and you’ll typically receive a set dollar amount per sale or a straight percentage of the total sale. Because a user has to purchase something, you may find this program best-suited to high-traffic affiliate sites.
Here are some of the common terms associated with Affiliate marketing:
Affiliates: Publisher like me and you who are using affiliate program links to promote and make sale.
Affiliate link: Special tracking link offered by your affiliate program to track the progress of your affiliate promotion.
Payment mode: Different affiliate program offers different mode of payment. For ex: Check, Wire transfer, PayPal and many more.
2 Tier affiliate marketing: This is a great way of making money from affiliate program. In this, you recommend others to join affiliate programs and you will get a commission out of it, when sub-affiliate makes sales. More like MLM (Multi-level) marketing. Also popularly known as Sub-affiliate commission.
Affiliate Marketing – Easy Money?
While affiliate marketing can be incredibly lucrative it is important to know that affiliate marketing is not easy money. Most people who try it make very little as it relies upon numerous factors including:
- Traffic (high traffic helps a lot)
- Finding relevant products
- Finding quality products
- Building trust with your readers
- Having a readership who is in a ‘buying mood’
- You being able to write good sales copy (and more)
There’s also some risk associated with affiliate marketing in that if you push too hard or promote products of a low quality you can actually burn readers and hurt your reputation and brand. Having a good copywriting skills and marketing skills will be an added advantage.
FAQ about affiliate marketing:
So, I believe by now you have knowledge about affiliate marketing, actually how it works and how to get payments. If you have any question regarding the same, you can always ask it via comments. Here are the most common questions asked by webmasters and marketers related to affiliate marketing.
Is affiliate marketing bad or illegal?
No, it’s not as you will be just using the special link instead of direct link to link to any site.
Affiliate marketing and AdSense: Can we use both?
Yes, you can as affiliate marketing doesn’t violate any AdSense TOS.
How to find Affiliate link for any product?
Not all companies offer affiliate program, but for the companies who offer Affiliate program, you can always check on their site or FAQ page. Another way is simple Google search. Search with following term “Product name + Affiliate program” on Google.
Is it important to have a Blog for Affiliate promotion?
Not necessary. Though, Blog is the best way to promote but you can always use many things like PPC or advertising to promote a product. But, this is more like hit and run affiliate marketing and best way to make most out of it is, have a blog and use it for hard and soft promotion.
How much is cost to join an affiliate program?
These are no charge for joining an affiliate program. Though cost depends on what promotion technique you are using. Whereas PPC marketing, Email marketing or advertising comes with a price tag.
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