How Affiliate Marketing Works – A Basic Explanation

You’ve probably heard of affiliate marketing, and some of you may have even taken a stab at it. A few of you may even be very successful at it. But if you have no clue what affiliate marketing is, this short explanation can help you decide if it is something you want to try. Many people find affiliate marketing and easy way to make money since most of the income is passive. But you need to know the basics so you can choose a reputable affiliate program to be involved in.

Affiliate marketing involves making money online by helping another business promote their products or services. You sign up to become an affiliate, place a link on your site, and make money for each visitor who clicks on the link and takes advantage of what the business is offering. Visitors may be tracked by cookies on their computer, or the affiliate may issue you a specific coupon code to track conversions sent to them by your website. Normally you are issued a check each month based on the conversions.

Affiliate marketing is a smart way for marketers to get their products and services into the hands of consumers. Since they only pay for conversions, if the visitor doesn’t purchase anything, then they owe the affiliate nothing. It is also a way to target a niche audience. The affiliate marketer only places links on selected websites making it easier to reach their target audience. Most marketers find affiliate marketing much cheaper than pay-per-click campaigns in which they have to pay just for the visitor clicking through to their website. If nothing is sold, no money is owed.

Now you know the basics of affiliate marketing. There are many different types of affiliate opportunities available. Be sure you understand exactly how the one you are interest in works so that you will know exactly what you will get out of it.

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