We all know this kind of advertising on the Internet: blinking banners you are afraid of to close because you may open it in case you miss the right button or links that lead you to online shops although you do not want to buy anything but want to look for information. All this belongs to the category affiliate marketing.
Cooperation on the internet
You may wonder how these advertisements are integrated into the websites and why companies do that. These days it is important to be present on the Internet because the number of Internet users is increasing every day so companies cooperate with site operators to bring the link or advertisement onto the web page. These banners or links shall lead the user to the advertiser’s web page. The site operator also earns money for integrating the advertisement.
Money, money, money…
Another question concerning affiliate marketing: How much money does the site operator gain and what is the advertiser’s profit? The latter is the easier one: the advertiser gets money when people buy something from the online shop. The site operator’s commission, paid from the advertiser, can be based on various conditions: he can be paid per click, per lead, per order or per sale. To find out whether the costumer visits the web page because of the affiliate or because he directly searches for is another critical point while talking about affiliate marketing.
Tracking for commission
Social networks are not the only Internet based networks
The so called affiliate networks are intermediaries between advertisers and publishers. They find the right advertising partners for both sides but of course they do not work for free. They mostly earn 30 percent of the commission paid to the affiliates. If the affiliate gets 10 percent of each sale the network will get 3 percent of each sale. Generally, it is a good and easy way to make money – for every party.
What do you think – is affiliate marketing an option for you?