How Does Affiliate Marketing Work?


Affiliate marketing isn’t new.

In fact, it predates the internet however online affiliated marketing has been around since the 1990s. Marketers have been making money from using this to generate sales for over 2 decades now.

How Does Affiliate Marketing Work

If you are just getting started with affiliate marketing or simply want to know more information about it then you have come to the right place. What we want to look at is the basics of affiliate marketing, how the programs and links work and also how you can make money from it. Starting your career in affiliate marketing isn’t that difficult however being successful at affiliate marketing is. Not everyone can be a successful affiliate.

That being said, we are going to show you how it works so you can build on this knowledge and begin your own affiliated marketing adventure.

How Affiliate Marketing Works

The basics of affiliate marketing are actually very straightforward.

You essentially market someone else’s product and when you make a sale you earn commission from the cost of that product. We are going to look at affiliate marketing links later on but the structure of an affiliate sale looks like this.

You market a product for example through an affiliate marketing banner, a blog post, product review. When someone clicks on that link they are taken to the seller’s site where they make a purchase. When they buy the product, you get a cut of the price (your commission). So, the more people you get to click on the link and buy the product in question then the more money you will make from affiliate sales. Literally any product can be sold by an affiliate. You can sign up to market eBooks, computers, golf equipment or even power tools. The list really is endless and if a store or a product creator wants to use affiliates to boost their sales then they are free to do so.

Now that you know the basics of how affiliate marketing works the question turns to how much money you can actually make doing this.

How Much Money Can Affiliate Marketers Make

This isn’t the proper question. The real question should be ‘how much money do you want to make as an affiliate marketer?’

The more you sell through being an affiliate then the more money you will make. Obviously, every product has a finite number that can be sold however the possibilities are almost endless. One mistake that many new affiliate marketers make is that they think that sales will always be consistent. You will go through bad patches where you don’t sell as much as before. Let’s say that you make $150 in your first day as an affiliate. Fantastic! The problem is thinking that you will make that every day and end up with $54,750 at the end of the year.

You have the potential to make a lot of money as an affiliate but it takes hard work. One sale doesn’t mean that you will reap that amount of cash in on a daily basis and it does depend on the products you sell. That being said, many people do make a ton of money as affiliates.

How Do Affiliate Marketing Programs Work?

An affiliate program is basically the means in which you get in contact and choose the products that you want to promote. Amazon, TopOffers, Clickbank and CJ Affiliate (which used to be known as Commission Junction) are all well know affiliate programs that allow you to browse through their products and apply to become an affiliate of that item.

You need to select products that are related to your niche. For example, if you run a golf blog then maybe you choose to promote specific golf clubs on your site. If you have started a series of videos on your website around keeping fit then supplements and weight loss products would be best suited. Marketing affiliate programs usually have 2 main methods of paying you. The first is Pay-Per-Click which means that you earn money just for a user clicking on the affiliate link. This is the lowest paid option as there is no guarantee that the user will actually buy the product. Pay-Per-Action is much more profitable and it means that you get commission when a user actually buys the product. If you want to know how to make affiliate marketing work then you need to learn about affiliate links.

How Do Affiliate Links Work

So, now we got onto what you need to know – affiliate marketing and how it works.

You can post a link to any product on the internet and someone could buy that product. Will you earn money with this method? No. You need to use marketing affiliate programs. When you sign up to an affiliate marketing program, choose a product that you want to promote you are then given a special link that is individual to you. This is associated with your account and this is the link that you post on your website. When a user clicks on this link they are taken to the merchant site and when they make a sale it is recorded as coming from your website. The unique code is associated with your account so the affiliate program knows that you not only referred the user to the site but it was your referral that made the sale.

This is how you make money however there are other things that you need to do to earn from affiliate marketing.

How to Earn From Affiliate Marketing

When you search for the definition of affiliate marketing then you start to find out ways in which you can actually earn from this.

Simply posting an affiliate link from your Twitter account isn’t going to get you many sales. You need to first find a niche that you are interested in, start writing blogs and product reviews and place the affiliate link naturally in both your blog content and advertisement space on your website.

Earning money from affiliate marketing isn’t easy and there are many guides out there that will give you different techniques to use. You can go days or even weeks without making a sale however if you are passionate about the product and committed to becoming an authority figure on the subject then you will see the sales start to come in.

Affiliate marketing can be difficult to make a success of however putting the hard work in at the beginning will see you reap the rewards later on.

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