Affiliate Marketing – Highly Cost Effective, Highly Efficient

The Internet has fast become an efficient and trusted way for companies to market and sell their product. One of the reasons for this has been the rise of “Affiliated Marketing” - which is when a website directs traffic to itself through adverts on other (usually related) websites. Affiliated marketing either pays the affiliate through a pay-per-click program (the affiliate receives money every time an advert is clicked) or a pay-per-sale program (the affiliate receives commission every time a posted advert on their site generates an actual sale or subscription.) Generally, the pay-per-sale program (also called cost-per-sale, or CPS) is the tried and trusted form of affiliate marketing used.

Affiliate marketing began just four years after the world wide web was launched, originally popularized by well known companies such as CDNOW or Amazon.com. Google’s Adsense is also a very well known type of affiliated marketing, but is not really considered as true affiliate marketing as the adverts usually centers around the theme of the website they are displayed (known more as contextual advertising.) Google does not also directly sell a specific product, but generates money in other ways.

Affiliate marketing is highly cost-effective, and in effect costs both the advertiser and the affiliate nothing, while having the potential of bringing in a very large form of income for both parties. While pay per click (or cost-per-click) mentioned above can present a risk to the advertiser, the cost-per-sale (CPS) system has very little or no risk at all for both parties, and is therefore preferred.

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Affiliate Internet Marketing Program

What is Affiliate Marketing Affiliate Marketing is a way of promoting online business through affiliate programs and advertising that pay the affiliate (or publisher) a type of commission based on the amount of business their website brings the merchant company. It’s a form of revenue sharing or commission based advertising. The term “affiliate marketing,” however, is often associated with network marketing or multi-level marketing and therefore many companies prefer to use the term “performance marketing”. Affiliate marketing is the most cost effective sort of marketing there is, and is actually incredibly efficient. For this reason, many companies (especially those that started in the early days of e-commerce) owe a tremendous amount to affiliate marketing (amazon.com is a good example) and it has now become normal for companies to include affiliate marketing in many of their plans. There are three types of compensation methods that are associated with affiliated marketing. The firs...

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