There are a lot of different ways in which you can make money online.
In fact, various revenue models exist especially in the world of affiliate marketing. This is what makes this industry so great. The diversity of the sector and the numerous methods to generate income means that the market is expected to hit almost $7 billion over the next few years.
Thousands of people enter the affiliate marketing business every year and for many, it can be massively confusing. It can feel like you are a drop in the ocean among all the other affiliate marketers out there but how can you make money?
We are going to have a look at affiliate online revenue streams to show you what methods you can choose to begin making money online.
What is an affiliate revenue model?
The definition of an affiliate revenue model is actually pretty straightforward – it is simply a way in which you can generate income.
There are lots of different models that affiliates use every day and we are going to have a look at some affiliate business model examples and how these work in practice.
Subscription affiliate marketing model
Think of all the different things that you pay a monthly fee for. This could be your Netflix subscription or even your account on Dropbox because you need those extra gigabytes to store all your files.
These are great examples of a subscription business model and it is something that has worked really well for affiliates and people who create their own products. As long as top quality content or a superior service is offered, then people will pay for this.
Using a subscription-based model within affiliate marketing means that you can create an ongoing and possible long-term income. While most ecommerce models (which we will look at below) are one-off or perhaps only offer a few ways to generate income through the sales funnel, subscription-based models can make consistent money months and even years into the future.
It also means that you can create lasting relationships with customers instead of dealing with them on a one-off basis.
Ecommerce affiliate model
This is perhaps the most common method of online revenue streams and ecommerce is how most people establish an affiliate online business.
Essentially what you are doing is selling other products and services on behalf of companies and getting a commission when you do. It is very straightforward but it can be very easy to get started with this particular model. It isn’t easy to make a lot of money right away and many people take months and even years before they create a sustainable income or even just a second income from this method but the opportunity is there.
For a lot of companies, relying on affiliates to market and sell their products is the cornerstone of their business. In fact, 81% of brands have an affiliate program and for a large number of these companies, it is the way in which they make most of their money.
While it may take a lot of time to set up an affiliate business and start making any real income from it, this model does present perhaps the easiest and most straightforward way to become an affiliate.
CPC advertising revenue
You need to be able to promote the stuff that is on sale online, right? Of course, you do and this is why advertising is such a big business.
You probably don’t even register half the advertisements you see on websites because you view them so often. There is definitely a fine line between advertising effectively and annoying people. 91% of internet users thought that online ads are becoming more intrusive however if used correctly they can generate a lot of income particularly as an affiliate marketing advertising model.
CPC or cost-per-click is the most common form of making money particularly if you own a website. If you run a site you can sell advertising space which can result in making an income although this is generally used to supplement other models of online revenue streams. With CPC publishers (those who display the ads on their digital space) make money every time that ad is clicked on and this can range from just a few cents each time to a lot of dollars depending on how high value the ad is.
There are other advertising models that affiliates, website owners and publishers can avail of however CPC is generally the most common.
Generating affiliate marketing revenue
These are just a few online revenue models for affiliate marketers that you can get involved in.
The thing with any online venture that is focused on making money is that you don’t (or very rarely!) see any success overnight. It is a long-term plan and for the first few weeks and months, you might have barely anything coming in at all.
Most affiliates simply give up when they realize that they aren’t going to make money to quit their job and live their life as an affiliate marketer. That being said, these online revenue streams have proven to generate either a primary or secondary income for a lot of people.
E-commerce is the most straightforward way in which affiliate marketers make their money online. The vast majority of companies and brands offer affiliate programs and it the case of finding a niche that interests you and offers the chance to make sales and receive commissions. A subscription-based model can be very lucrative over a long period of time and is a good idea for people who create top quality content or have a superior service while advertising can help to supplement these two models for affiliate marketing revenue.
You need to carve out your own path to make money online, however, these 3 affiliate marketing models are the main ways in which most people not only generate income in the short term but over a sustained period of time too.