How Does Affiliate Marketing Work?

affiliate-marketing-work

There are many ways of making money on the internet. The sad thing is that many programs promising phenomenal returns ask you to invest heavily in order to start making an income; however, most of these turn out to be spam, so you just lose your hard earned money and never get anything in return. With affiliate marketing, that is never the case. This is because in most cases, companies that ask you to be their affiliate do not ask you to invest some money meaning that you will be making an income out of nothing.

Understanding how affiliate marketing works

As mentioned above, you do not have to invest in order for you to become an affiliate. Before delving too far, it is important to understand who is an affiliate, what affiliate marketing entails and how it works. An affiliate is someone who promotes certain products or services and is then paid a percentage of their sales. In this way, affiliates help to increase the revenues of the companies they work for.

Are there many such companies?

Today almost all companies that sell online have an affiliate program. With this system, they get to have a wide network advertising for them in hope of commissions, and this is at no extra cost to them. They only pay a commission when any of their products is sold.

The affiliation system works as follows: you look for such businesses or portals who are ready to pay you commission every time a referral from you make a purchase on their website. Once you sign up with them, the company provides you with an affiliate link. The affiliate link is a unique link that identifies you as a seller. If a person clicks on that link, and makes a purchase, you are given a commission.

So what you need to do is promote that link through your website, blog or your social networking profiles.

Advantages of being an affiliate

  • You sell the products you choose.
  • Work as long as you want. No bonds to sign
  • No need to have stock or a warehouse. You don’t have to pay any fee and you don’t need any employees either
  • Great opportunity to earn excellent commissions.
  • All you need to start earning commissions through affiliate marketing is a computer with Internet connection and a blog or website

 Affiliate Commissions

The commissions you get vary depending on the company and the product you choose to market. There are products that give you 5% commission on the selling price, and others have up to 75% commission. There are also vendors that provide a fixed amount per sale, The best part about all this is that the even if your customer visits the site, but does not buy the very same moment, rather after say 15 days, you would still be paid commissions. In most cases, vendors would allow you to receive commission if the customer returns within 30 days, and make a purchase. This is automatically achieved through cookies.

Thus, with affiliate marketing you only get to win. All you need to is find a right product and start selling it.

 

Author: Chief Editor

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