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What Is Affiliate Marketing?
By William R. Nabaza of http://www.Nabaza.com/directory.htm, Mon Jan 2nd

Affiliate marketing has many descriptions, yet all have the samemeaning. Affiliate marketing is a huge business piece on theInternet. It is a cooperative effort between merchants and anaffiliate's website. For many years now, affiliate marketing hasproved to be a cost-efficient, measurable method of deliveringlong-tern results. It has become famous for Internet sites whoare trying to make some extra or additional income for theirsite. Every day, people get interested to affiliate marketingand want to make money out of it. But in many cases, these newaffiliates do not fully understand the affiliate world and makecostly mistakes. In other words, affiliate marketing has oftenbeen misunderstood. One of the common misconceptions that arebeing associated about affiliate marketing is "selling", thoughselling is an important activity of affiliate marketing and thecentral function of a business operation. Another is thataffiliate marketing is commonly linked with "advertising". Whilethe importance of advertising in marketing a certain product isnot to be underestimated, the fact of the matter is, advertisinglike selling, is merely a part of the many functions ofmarketing.

In affiliate marketing, an affiliate is compensated for everyvisitor, subscriber and/or customer provided through hisefforts. The said compensation may be made based on a certainvalue for each visit. The most attractive aspect of affiliatemarketing from the merchant's viewpoint is that no payment isdue to an affiliate until results are appreciated.

Affiliate marketing is typically being run by affiliatenetworks and this affiliate networks are composed of twofunctional bodies, the group affiliates and the group merchants.Each has their special function and role when it comes toaffiliate marketing. The affiliate network acts as a third partybetween the merchant and the associated affiliates. The networkprovides the technology to deliver the merchant's campaigns andoffers. The affiliate network also collects commission fees fromthe merchant and then pays the affiliates which are part of theprogram.


The merchant is any web site owner that wants or desires to takeadvantage of performance based marketing. The benefits to themerchant are many. First, the merchant maintains

and operatesthe affiliate program. If it would be extracted, the merchantneeds to do their part by researching interested affiliatewebsites to ensure that they are a good fit for that particularwebsite. Finding a fit for their merchandise would be the key tomore generated income. The merchant has access to markets andcustomers without him spending valuable time searching out.Banner ads on affiliate sites are not distracting to the siteuser. It might produce interest for that product and drive theconsumer to the merchants' website. It is also the merchant whodecides how much he is willing to pay for each sale that resultsfrom a visitor sent from an affiliate.

The affiliate or the affiliate marketer also sees a lot ofbenefits. The affiliate is a web site owner that promotes one ormore merchants and their affiliate programs. Affiliate marketingcan generate a full-time income for the affiliate. But this isnot an easy task to accomplish. The affiliate needs to have abetter understanding with the merchant what the commission willbe, expected payment method and time involved in the contract.The affiliate has also the responsibility to stand for themerchandise their user based would be most interested in. Forexample, if the site has a user base of mainly stay-at-homemothers, then on-line job openings such as surveys would be agood match for them. This group would also appreciate directlinks to children's products and informational sites.Merchandisers often provide targeted, best-seller items andpersonal support to their affiliate. They often offer salespromotions that will benefit the merchandiser as well as theaffiliate.

Affiliate marketing is a great situation for both the marketerand the affiliate. If they would work together, they can be anadvantage to both. Plus the fact that it seems to make sense, itis easy and inexpensive way to start, and you can be up andrunning within a few days. But there is one thing to consider,it is how to get traffic and make your offer different than allothers.

About the author:William Nabaza of http://www.Nabaza.com specializes in domains,webhosting, webmaster's tools, netpreneur's articles andresources. Stands out as a freebie provider, businessopportunity provider and the like. Visit his site athttp://www.nabaza.com or contact him directly atwilliam@nabaza.com more free articles here:http://www.nabaza.com/resources.htm

 
 
 
 
 
 
 
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