Affiliate marketing refers to a type of marketing program in which revenue is shared between an advertiser site and an affiliate merchant site that features ads and other types of content to drive traffic to the advertiser site. The amount of revenue shared with the affiliate merchant site is dependent on the amount of traffic they are able to generate for the advertiser site.
Affiliate marketing is becoming an increasingly popular form of advertising due to the risk-free nature of the system for the advertiser. Advertisers only need to pay their affiliate partners if the affiliate sites are able to produce results in the form of sales made or leads generated. Affiliate marketing should be considered as part of a long-term marketing plan. While affiliate programs may take up to 12 months before they begin to show results for your company, over time they can come to generate upwards of 20% of your revenue.
An affiliate marketing program is a good option to consider once your company has established itself with a solid product or service. Once your product or service is concrete, an affiliate marketing program may be enormously advantageous in helping to drive more online traffic and buyers to your site.
The success of your affiliate program will depend on the amount of commitment and effort you put into it. It will take time and patience to build your affiliate network and to hone the type of ads and links that work for different affiliate sites.
By calling upon the services of affiliate partners, advertisers are able to leverage the skills and talents of any number of sales people or publishers who are looking to promote products and services across the internet. This additional sales force may consist of email marketers, independent webmasters, lead generators, and other business people who are skilled at sending traffic to third party sites.