Based on our previous article on performance marketing, you should have an idea of what it is. Now, affiliate marketing is simply a kind of performance-based marketing strategy where affiliates are paid based on each successful sale.

The process of affiliate marketing is simple: find something you like, sell it to people and a cut of the profits gained from each sale is yours, like commission.

In affiliate marketing, advertisers, or merchants, sell their product(s). They can be independent entrepreneurs, small or big well-known companies. They don’t need to be actively involved in their product sales – all they need is something to sell.

Affiliates, or publishers, can also vary from individuals to huge businesses. They can choose to sell either one or many products, and convince others to buy. There are many ways to do this, like building a website, through an affiliate network, social media, or even with reviews.

There are also various benefits associated with affiliate marketing, namely being:

100% Performance-Based

Affiliates get paid only when the expected action is completed, which means that results are churned out faster. There is greater motivation to get things right and it also acts as a bonus to advertisers since they don’t need to pay for efforts that don’t drive traffic.

Cost-Effective

In the perspective of the advertiser, you’re only paying commissions for conversions and efforts with real value. Unlike traditional marketing, you don’t take the risk of spending all your money on marketing methods that don’t work.

Greater Traffic

For advertisers, the more affiliates you have, the more traffic you get. That’s because more sites link back to your page, resulting in a greater likelihood of sales conversions. Since backlinks are one key feature of Google’s search engine ranking signals, you’ll enjoy the benefits of ranking high.

Less Hassle

As an affiliate, all you need to do is sell successfully. Once you’ve brought a sale, that’s it. You don’t need to worry about stock regulation, orders, payments, or handling difficult customers. From the point of sale till the product or service is delivered, the advertisers handle it all. That’s how easy it is!

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