Affiliate marketing is a process in which a merchant gives a commission to an affiliate for promoting and generating a sale on behalf of the merchant. It works in such a way that the buyer is giving an agreed percentage for each sale an affiliate help make.
An affiliate is someone who promotes a product or service to potential customers, in exchange for a commission on the sale when one occurs.
Let me put it in a lay man’s language. You know the Ibo guys that sell electronics right? Yes if you have ever gone to buy electronics yourself at any places where you have Ibo boys, you will notice some guys who beckon on potential buyers.
Those guys are called affiliates. They don’t own a store there or even have anything of their own to sell. Their job is to find buyers and refer them to any seller and if the buyer buys, the seller will give them a commission for bringing in a buyer. Its that simple.
So this guys make money without having a store or owning their own wares. They just refer buyers to sellers and get paid. The more buyers they refer in a day, the more they make.
Now you know how affiliate marketing works. You sign up as an affiliate of a particular product with the merchant and you will be given a unique code to paste on your website or social media sites and if someone were to click and buy via your link, you get credit for that sale and then you are eligible for the commission.
Commission range from 4% to about 75% depending on the merchant or network. Amazon for example pays 4%-8.5% commission while with Clickbank, you can earn up to 75% commission on any digital product.
The amount you make per sale depends on the cost price of the item more than the percentage. A $500 product on amazon can fetch you up to $40 at 8% commission while a $50 product on Clickbank will earn you $37.5 at 75% commission.
Affiliate Marketing Terms
The affiliate networks and merchant track affiliate traffic and sales by using Tracking IDs (TID), which are unique ID numbers given to affiliates for use in links they place on their website or other pages.
Links that include a TID number will track the affiliate’s traffic and sales. A link that includes a TID may look something like this:
A cookie is a technology that works with web browsers to store information like user preferences, login or registration information, and shopping cart contents. Have you ever opted-in to have a website “remember” your password and username for one of your online accounts? That’s a cookie.
Ever notice while searching the web for “Fiverr marketing” and you suddenly start seeing fiverr marketing display banners on other websites? Those ads are appearing for you because you’ve been cookied.
In affiliate marketing, one task that cookies manage is to remember the link or ad the visitor to a website clicks on. Cookies can also store the date and time of the click, they can even be used to remember what kind of websites or content you like most.
There are many different types of web cookies and uses, but the kind of cookie affiliate marketing relies on is called a first-party cookie. This means that if a visitor referred through your afiliate link does not purchase the product on their first visit, but they come back within cookie validity period and purchase at that time, you get paid.
Some sites have only 24 hour cookie validity period, some 30 days while some sites give lifetime cookie validity period. Amazon cookie last only for 24 while Clickbank cookie last up to 60 days.
How and Where to Post Your Affiliate Link
Once you get your affiliate links, there are many places to post this so that people can click on it, buy your recommended product and then you get paid. Below are some places to add or post your affiliate links:
This is a really simple way of getting a your affiliate links out there. All you have to do is find a product you’d like to promote, then start posting on forums with your affiliate link in your signature.
You only need to create an account on any forum and attach add your affiliate link to your signature. But be careful how to post your affiliate links. Do not post your links in comments or posts or else you get banned. Add it only to your signature.
Create a personal website or blog of your own to promote your affiliate link. You can use a self hosted blog or you can use any free web 2.0 sites like blogger. You can promote your affiliate links on your blog using banners on the sidebar, your content area via links, via images etc.
Write and Give Out a Free eBook
You can write a free eBook and insert affiliate links in it. If your eBook is well written and promoted, it will go viral. A “viral” product is one that is designed to spread (often quickly) to a great many people. This can be a great way of getting your affiliate links out there without ever having to create a website of your own.
For example, you can produce a short 20-page eBook or a special report on a particular subject, insert your affiliate products into it, then distribute your book through whatever means you like.
Build a Squidoo Lens
Building a Squidoo lens is a great way of getting started as an affiliate without needing to build your own website from scratch. A squidoo lens is like a 1-page mini website where you can talk about a subject you’re passionate about (e.g, golf and associated products!).
It’s hosted on the Squidoo site, and you don’t need to know anything about web design to make it look fairly professional. You can talk about golf products and then add your affiliate links.
Pay Per Click Ads
You can also Promote affiliate products directly through pay-per-click advertisements. You can buy Google adwords and get traffic via Google partners. If you have a good landing page and a good product, you can indeed make a profit at the end of your campaign.
Lets say you buy 100 clicks at the rate of $1 and you are promoting a product worth $30 commission. If you get like only 5 sales out of the 100 clicks, you would have made a profit of $50.
There are other ad networks like Bing ad networks etc.
Email marketing is one of the best way to make recurring commission from people on your email list or subscribers. If you have a list, then you can continue to market products to them ad get recurring affiliate commissions.
The more subscribers you have, the more commissions you are likely to make from time to time.
How to Improve Affiliate Commission Sales
You can increase your affiliate commissions if you take note of the points below.
Promote Products You Know a Lot About
Make sure you are promoting products you know a lot about. That way you can write a good review based on the benefits of the product. People want to buy stuffs because of how it benefits them. The more you know about a product, the better you will be able to promote it.
Even if you have not used a product before, it will do you a lot of good to do further research about the product. Apart from what you have on the merchants sales letter, you also need to look for the experience of other users of the products. Read other review sites.
Write a Good Review
This is the result of the two points above. In other to write a good review about a product, you need to know enough and do more research about the product. You need to be a sales man yourself.
Write a good review of the product or service and encourage your readers to click on your link to see what is on the other side and how it will benefit them.
Don’t Sell But Recommend a Product
The best approach to making affiliate commissions is to recommend products. Don’t just ask them to buy but tell them how the product will help them and how you think it they are better off buying it.
People don’t like when you tell them to bring out their money. They want you to tell them about a product that will solve their problems and all they need is recommendation.
Top Affiliate Networks
As online businesses increases, there are heaps of affiliate programs to choose from. Below are the top ones i have gathered that are easy to get into. When it comes to commissions, brands and other favorable conditions these programs are unbeatable.
You get paid via PayPal, Payoneer or straight into your bank account.Become an affiliate and start making money today!
- Commission Junction
- Amazon Associate Program etc.
So go ahead and start spreading your affiliate links. Sign up on any of those sites and start earning affiliate commissions. You can get started with affiliate marketing by downloading my free eBook called Easy Cash Model Formula.
Hope you like this post. Cheers