You may have come across the term “affiliate marketing” before, but what is it? And more importantly, how can it benefit your business? Affiliate marketing is a type of performance-based marketing in which a business rewards one or more affiliates for each visitor or customer brought about by the affiliate’s own marketing efforts. In other words, you as a business pay your affiliates commission for referring new customers or clients to you. Have a look at Affiliate Marketing for more info on this.
This guide will take you through everything you need to know about affiliate marketing, from how it works to how you can get started with your own affiliate program. By the end, you should have a good idea of whether affiliate marketing is right for your business and if so, how to get started.
What is Affiliate Marketing?
Affiliate marketing is a type of online marketing in which a business pays commissions to third-party publishers or website owners (affiliates) in return for referring new customers or leads. The affiliate marketing relationship usually exists between an ecommerce merchant who runs an online store and an independent website owner who promotes the merchant’s products through content or ads on their site. If a sale is made, the affiliate earns a commission—a percentage of the sale price—while the merchant pocket’s the remainder.
A wide variety of businesses use affiliate marketing, including online stores as well as SaaS providers, cloud hosting companies, and more. Typically, affiliates are bloggers or YouTube creators who promote a merchant’s products on their site through banner ads or coupon codes as well as through writing product reviews or roundups. When someone clicks on one of these links and makes a purchase, the affiliate earns a commission from the sale.
Affiliate marketing is a great way to earn commissions by promoting other businesses’ products on your site. It can be used by any type of business, including online stores as well as SaaS providers, cloud hosting companies, and more. If you’re thinking of using affiliate marketing for your business, this guide will take you through everything you need to know to get started. Thanks for reading!