“Affiliate Marketing” The term is gaining its popularity in the digital marketing world a lot these days. The basis of popularity adjoining Affiliate Marketing is the term “earn while you sleep” mantra associated with this field of marketing. Now, who does not like easy money? Before we discover how to earn money with this genre of marketing let’s begin to understand what exactly is Affiliate Marketing.
Affiliate marketing is the process by which an affiliate earns a commission for marketing another person’s or company’s products. The affiliate simply searches for a product they enjoy, then promotes that product and earns a piece of the profit from each sale they make. The sales are tracked via affiliate links from one website to another.
The affiliate marketing framework works by adjoining or partnering an individual or a company often referred to as “affiliate or, partner or, publisher to promote the company’s product or service. The agenda of the manufacturer or the company is to sell its’ product to a maximum number of customers. The affiliate helps the company by promoting and marketing its product on different platforms so that it is visible to a maximum number of customers.
Who is involved in the Affiliate Marketing Model?
Affiliate marketing confides itself within five players. None can survive without either and hence; they play a key role in the effective movement of a marketing plan.
The Brand: Any business is confined within the brackets of selling a product or a service to another business or customers. The brand or business is the most important factor to commence marketing about a product.
Affiliate (Publisher/Partner): Affiliates can be various forms. A brand can employ or partner with single or multiple affiliates for the marketing of its product. The affiliates can be bloggers, personal website owners, mobile applications, application to application marketing, social media platforms, mass media websites, product review websites, coupons and rewards’ websites, content websites or even on other brands.
A brand can use any number of platforms to promote its products and services to reach out to paramount customers. Affiliation can be used to drive not just customers to purchase the products but to also generate traffic on the website, generate leads, drive sales and reach out to new customers.
Network: In affiliate marketing, the network tends to handle the tracking of how many leads have been generated from the promotion, how many of the customers have purchased the product and if the publisher is paid for the same. At certain levels, the brand likes to have full access of their affiliate program to check if their desired result is being achieved or not and statistically evaluate which sort of marketing is profiting them more.
Agencies: They take charge of the day-to-day operations of the marketing held under the affiliate marketing along with discussing and implementation of new strategies for the next month or quarter. They also take care of the recruitment, activation and optimization of the partners. They take care of all the platforms where a brand’s product is being marketed.
Customer: The final and most important player of this quest is the customer. Customer is the audience that the affiliate works for by driving them to act in the manner to meet the brand’s goal like purchase, subscription, traffic, number of clicks on the website.
How do Affiliate Marketing works?
Affiliate marketing is spread among three parties, whose efficient working will lead to achievement of the everyone’s desired goal. These three parties are:
1. Seller and Product Creator (Brand)
2. The Affiliate (Publisher/Partner)
3. The Consumer
The Seller will create a product and for the sale of its product it will reach out to an affiliate to promote its product so that it can reach out to a maximum number of customers. The affiliate based on the medium of affiliation will reach out to its genre of customers who are active within his marketing platform. This majorly depends on the style of marketing opted by the brand. Finally, when the product is purchased by the customer the affiliate will be paid his share which is included in the products’ retail price.
How do the Affiliate Marketers Get Paid?
Digital Marketing has opened new doors of marketing and earning from the comfort of one’s home. Though this sounds very tempting and often is associated with the term “earn while you sleep”. The process behind this is a bit complicated.
Depending on the terms between the seller and the affiliate and also on the program, the affiliate’s contribution to the seller’s sales can be measured differently. The affiliate can be paid based on:
1. Pay per Scale: This implies that the affiliate will be paid a certain share of the retail price if the customer purchases a product following his marketing pattern.
2. Pay per Lead: If a customer follows the affiliate’s marketing pattern and fills up a form or opt for a trial package or subscribe to a newsletter or download software or a file. This sort of marketing is complex and much difficult from the pay per scale.
3. Pay per Click: This marketing pattern invites the customer to switch from his current website to the affiliate’s marketed website. This style of marketing is based on increasing the traffic on the brand’s website.
The Affiliate marketing program is very easy to pursue as income earned from it is a passive income. This sort of work can be done without any massive investment, from the comfort of your home and within your convenient working hours. You can work as a freelancer in this field and you do not require to have a separate setup or working space to commence this job. Anyone can become an affiliate marketer.