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Affiliate Marketing What Is It And Why Use It?


Affiliate Marketing is having Affiliates do your Marketing for you. What I mean by Affiliate is someone who tells people about your product/service and you pay them for a desired response, such as a purchase.

Affiliate Marketing is one of the best ways to get the word out about your product/service.

The best way to pay Affiliates is pay per sale. This means that you only have to pay your Affiliates when they actually make a sale. This reduces your advertising costs dramatically. your Affiliates take on all the risks so you don't have to worry about wasting your money on advertising which may not produce any results.

Using Affiliate is a very cheap way to advertise, however it is very effective. The software required to start up your own Affiliate program can cost only about $50 per month.

Then after that just wait for people to start promoting your product/service for you.

Please remember that 5% of your Affiliates will do 95% of the selling. What I mean by this is that most of your Affiliates will just sit there and do nothing. This can be countered if you teach them what to do, exactly how to do it and providing everything for them so they have to do as little work as possible.

To find out about teaching your Affiliates please see the "How To Super Charge Your Affiliates" article

You don't have to use this form of advertising just to sell your product or service. You can also use it to grow your opt-in mailing list. This is discussed in another article.

How Much Should You Pay Your Affiliates

How much you pay your Affiliates really depends on how much your product/service costs, its profit margin, how much you're willing to give up and what action you want to take place.

Lets say that your product is priced at $100. Lets also assume that it cost you $10 to make it. This leaves you with $90 profit.

How much of this do you want to give away to the person that made this sale possible?

Personally, I believe that you should give a rather high percentage of the profits back to the affiliate (Depending on how many sales they regularly generate), because without them, you wouldn't have made that particular sale at all, so reward them for it.

A fairly decent reward is about 50% of the revenue generated. Your product is priced at $100 so a $50 commission is quite generous. It really depends on your other costs (such as a mortgage) you have, which would help decide on a fair commission to both you and the Affiliate.

Another factor which plays a part is how much additional advertising you do, such as pay per click. For example, if you rely solely on your Affiliates to Market for you, then you may want to reduce the commission you pay to them to help you survive. However, you may want to pay them more, to encourage them to send more sales you way. It really is a judgment call.

On the other hand, if you advertise in other ways effectively, then you can afford to pay higher commissions, because you're not putting all your eggs in one basket.

In the end it's all down to how greedy or generous you are. The best advice I can give you is to pay the affiliate what you think he/she deserves. Hopefully that way everyone is happy and earning their fair share.

That is the key to a successful affiliate program.

By Stephen Warren, the creator of http://www.marketershandbook.com, the completely FREE guide to marketing online, with useful articles and links.


Todays News by officejax surplus outletMORE AFFILIATE REVENUE RESOURCES updated Thu. March / 28 / 2024

Inside the Affiliate Marketing Product Boom: A Founder's Perspective on Market Trends - hackernoon.com
Inside the Affiliate Marketing Product Boom: A Founder's Perspective on Market Trends  hackernoon.com

15 Affiliate Marketing Programs to Grow Your Affiliate Revenue - Influencer Marketing Hub
15 Affiliate Marketing Programs to Grow Your Affiliate Revenue  Influencer Marketing Hub

TV Stations' Pay TV Affiliate Revenue Will See Erosion: Wells Fargo 11/16/2023 - MediaPost Communications
TV Stations' Pay TV Affiliate Revenue Will See Erosion: Wells Fargo 11/16/2023  MediaPost Communications

What Is Affiliate Marketing? Everything You Need to Know in 2024 - Shopify
What Is Affiliate Marketing? Everything You Need to Know in 2024  Shopify

How Wirecutter's social strategy led to increased Prime Day affiliate revenue - Digiday
How Wirecutter's social strategy led to increased Prime Day affiliate revenue  Digiday

How to Make Money as an Amazon Affiliate in 2024 - Jungle Scout
How to Make Money as an Amazon Affiliate in 2024  Jungle Scout

As affiliate marketing gets competitive, a new brand playbook emerges - Modern Retail
As affiliate marketing gets competitive, a new brand playbook emerges  Modern Retail

How Affiliate Platform Howl Fell Millions Behind on Payments - Adweek
How Affiliate Platform Howl Fell Millions Behind on Payments  Adweek

Guide to Affiliate Marketing | CO- by US Chamber of Commerce - CO— by the U.S. Chamber of Commerce
Guide to Affiliate Marketing | CO- by US Chamber of Commerce  CO— by the U.S. Chamber of Commerce

Affiliate Revenue: still a publisher's best eCommerce bet? - Media Makers Meet
Affiliate Revenue: still a publisher's best eCommerce bet?  Media Makers Meet

The Sporting News raises $15 million after shift to affiliate revenue focus - Awful Announcing
The Sporting News raises $15 million after shift to affiliate revenue focus  Awful Announcing

Influencers share how to make money with affiliate marketing - Business Insider
Influencers share how to make money with affiliate marketing  Business Insider

How publishers can regain traffic and revenue with affiliate marketing - Search Engine Land
How publishers can regain traffic and revenue with affiliate marketing  Search Engine Land

The State of Affiliate Marketing: Benchmark Report (2023) - Influencer Marketing Hub
The State of Affiliate Marketing: Benchmark Report (2023)  Influencer Marketing Hub

45 Best Affiliate Programs for Marketers and Creators (2024) - Shopify
45 Best Affiliate Programs for Marketers and Creators (2024)  Shopify

With Its Novel Affiliate Model, The Sporting News Bets on Lifetime Value - Adweek
With Its Novel Affiliate Model, The Sporting News Bets on Lifetime Value  Adweek

26 High-paying Affiliate Programs for Beginners - Influencer Marketing Hub
26 High-paying Affiliate Programs for Beginners  Influencer Marketing Hub

Pinterest Affiliate Marketing: How To Make Money Pinning (2024) - Shopify
Pinterest Affiliate Marketing: How To Make Money Pinning (2024)  Shopify

Top Affiliate Marketing Statistics for 2023 - Influencer Marketing Hub
Top Affiliate Marketing Statistics for 2023  Influencer Marketing Hub

22 Best Affiliate Management Software Solutions for 2024 - Influencer Marketing Hub
22 Best Affiliate Management Software Solutions for 2024  Influencer Marketing Hub

AMC Networks Q3 Results Hit By Drops In Advertising And Affiliate Revenue - Deadline
AMC Networks Q3 Results Hit By Drops In Advertising And Affiliate Revenue  Deadline

Affiliate Fees Help Fox Eke Out Q4 Profit Despite Ad Declines - Variety
Affiliate Fees Help Fox Eke Out Q4 Profit Despite Ad Declines  Variety

Start Earning With the Amazon Affiliate Program in 2024 - Shopify
Start Earning With the Amazon Affiliate Program in 2024  Shopify

The Ultimate Guide to Affiliate Marketing in 2024 - Influencer Marketing Hub
The Ultimate Guide to Affiliate Marketing in 2024  Influencer Marketing Hub

How the Disney-Charter Deal May Affect Affiliate, DTC Revenue - Next TV
How the Disney-Charter Deal May Affect Affiliate, DTC Revenue  Next TV

The 15 Best Affiliate Tracking Software to Boost Your Sales - Influencer Marketing Hub
The 15 Best Affiliate Tracking Software to Boost Your Sales  Influencer Marketing Hub

As Klarna aspires to be a global bank, affiliate marketing is its cash cow - Sifted
As Klarna aspires to be a global bank, affiliate marketing is its cash cow  Sifted

Top 19 Affiliate Marketing Tools to Boost your Affiliate Revenue - Influencer Marketing Hub
Top 19 Affiliate Marketing Tools to Boost your Affiliate Revenue  Influencer Marketing Hub

How to Join the Amazon Affiliate Program in 2024 - Influencer Marketing Hub
How to Join the Amazon Affiliate Program in 2024  Influencer Marketing Hub

Levanta Review | Pricing & Features (2024) - eCommerce Platform - Influencer Marketing Hub
Levanta Review | Pricing & Features (2024) - eCommerce Platform  Influencer Marketing Hub

Disney’s Fiscal 2023 Results: Content Spending Eases, Streaming Proceeds Eclipse Affiliate Revenue As ESPN Penetration Falls To 71M Households - Deadline
Disney’s Fiscal 2023 Results: Content Spending Eases, Streaming Proceeds Eclipse Affiliate Revenue As ESPN Penetration Falls To 71M Households  Deadline

How To Create a Successful Affiliate Program (2023) - Shopify
How To Create a Successful Affiliate Program (2023)  Shopify

The New York Times expects ad revenue to continue to decline in 2024 - Digiday
The New York Times expects ad revenue to continue to decline in 2024  Digiday

YouTube Affiliate Marketing: 7 Pro Tips to Earn Extra Income in 2024 - Shopify
YouTube Affiliate Marketing: 7 Pro Tips to Earn Extra Income in 2024  Shopify

How To Start Affiliate Marketing in 2024 - Shopify
How To Start Affiliate Marketing in 2024  Shopify

Fox Advertising Revenue Down 20 Percent to $2B, But Company Hits Wall Street Expectations - Hollywood Reporter
Fox Advertising Revenue Down 20 Percent to $2B, But Company Hits Wall Street Expectations  Hollywood Reporter

Rupert Murdoch “Still Very Much Involved” at Fox Corp. Despite Title Change, Lachlan Says - Hollywood Reporter
Rupert Murdoch “Still Very Much Involved” at Fox Corp. Despite Title Change, Lachlan Says  Hollywood Reporter

Instagram Affiliate Marketing: Everything You Need to Know in 2024 - Shopify
Instagram Affiliate Marketing: Everything You Need to Know in 2024  Shopify

19 Best Affiliate Marketing Websites You Should Check Out in 2024 - Influencer Marketing Hub
19 Best Affiliate Marketing Websites You Should Check Out in 2024  Influencer Marketing Hub

The 15 Best High-Ticket Affiliate Marketing Programs (2023) - Shopify
The 15 Best High-Ticket Affiliate Marketing Programs (2023)  Shopify

9 Best Forex Affiliate Programs 2024 - Techopedia
9 Best Forex Affiliate Programs 2024  Techopedia

Retail Affiliate Programs: A Complete Guide (2024) - Shopify
Retail Affiliate Programs: A Complete Guide (2024)  Shopify

Paramount Global (PARA) Q3 Earnings Fall Y/Y, Revenues Miss - Yahoo Finance
Paramount Global (PARA) Q3 Earnings Fall Y/Y, Revenues Miss  Yahoo Finance

16 Affiliate Marketing Tips and Strategies To Earn More Money (2023) (2024) - Shopify
16 Affiliate Marketing Tips and Strategies To Earn More Money (2023) (2024)  Shopify

How To Make Affiliate Links: Benefits and Examples (2023) - Shopify
How To Make Affiliate Links: Benefits and Examples (2023)  Shopify

Amazon slashes affiliate commissions: What's next for publishers? - Media Makers Meet
Amazon slashes affiliate commissions: What's next for publishers?  Media Makers Meet

Pinterest Affiliate Marketing: How To Make Money Pinning (2024) - Shopify
Pinterest Affiliate Marketing: How To Make Money Pinning (2024)  Shopify

AMC Networks Falls Short of Q3 Revenue Expectations With $637 Million Due to Lower Ad and Affiliate Revenue - TheWrap
AMC Networks Falls Short of Q3 Revenue Expectations With $637 Million Due to Lower Ad and Affiliate Revenue  TheWrap

Pinterest Affiliate Marketing: How To Make Money Pinning (2024) - Shopify
Pinterest Affiliate Marketing: How To Make Money Pinning (2024)  Shopify

How To Start Affiliate Marketing in 2024 - Shopify
How To Start Affiliate Marketing in 2024  Shopify

What Is Affiliate Marketing? Everything You Need to Know in 2024 - Shopify
What Is Affiliate Marketing? Everything You Need to Know in 2024  Shopify

Top 8 Affiliate Marketing Strategies for 2024 - Influencer Marketing Hub
Top 8 Affiliate Marketing Strategies for 2024  Influencer Marketing Hub

10 Top Affiliate Marketing Platforms for Ecommerce Brands (2023) - Shopify
10 Top Affiliate Marketing Platforms for Ecommerce Brands (2023)  Shopify

Pinterest Affiliate Marketing: How To Make Money Pinning (2024) - Shopify
Pinterest Affiliate Marketing: How To Make Money Pinning (2024)  Shopify

Did Tax Cuts and Jobs Act of 2017 Increase Revenue on US Corporations' Foreign Income? — Penn Wharton Budget ... - Penn Wharton Budget Model
Did Tax Cuts and Jobs Act of 2017 Increase Revenue on US Corporations' Foreign Income? — Penn Wharton Budget ...  Penn Wharton Budget Model

How To Create a Successful Affiliate Program (2023) - Shopify
How To Create a Successful Affiliate Program (2023)  Shopify

What Is Affiliate Marketing? Everything You Need to Know in 2024 - Shopify
What Is Affiliate Marketing? Everything You Need to Know in 2024  Shopify

What Is Affiliate Marketing? Everything You Need to Know in 2024 - Shopify
What Is Affiliate Marketing? Everything You Need to Know in 2024  Shopify

How To Create a Successful Affiliate Program (2023) - Shopify
How To Create a Successful Affiliate Program (2023)  Shopify

A Beginner's Guide to Affiliate Marketing - Influencer Marketing Hub
A Beginner's Guide to Affiliate Marketing  Influencer Marketing Hub

Affiliate Links for Small Business: What You Must Know - Business News Daily
Affiliate Links for Small Business: What You Must Know  Business News Daily

The Direct Link between Faster Payouts and Affiliate Revenue - Hello Partner
The Direct Link between Faster Payouts and Affiliate Revenue  Hello Partner

How To Start Affiliate Marketing in 2024 - Shopify
How To Start Affiliate Marketing in 2024  Shopify

What Is Affiliate Marketing? Everything You Need to Know in 2024 - Shopify
What Is Affiliate Marketing? Everything You Need to Know in 2024  Shopify

31 Best Affiliate Programs to Build a Passive Income Stream - Influencer Marketing Hub
31 Best Affiliate Programs to Build a Passive Income Stream  Influencer Marketing Hub

Why affiliate revenue's time has come: Publisher insights from Affiliz - Media Makers Meet
Why affiliate revenue's time has come: Publisher insights from Affiliz  Media Makers Meet

Pinterest Affiliate Marketing: How To Make Money Pinning (2024) - Shopify
Pinterest Affiliate Marketing: How To Make Money Pinning (2024)  Shopify

How To Start Affiliate Marketing in 2024 - Shopify
How To Start Affiliate Marketing in 2024  Shopify

Media Briefing: How publishers approached the Amazon sales event amid a breaking news cycle - Digiday
Media Briefing: How publishers approached the Amazon sales event amid a breaking news cycle  Digiday

The future of publishers and affiliate marketing in times of search with AI - Media Makers Meet
The future of publishers and affiliate marketing in times of search with AI  Media Makers Meet

How To Create a Successful Affiliate Program (2023) - Shopify
How To Create a Successful Affiliate Program (2023)  Shopify

AMC Networks Earnings Drop As Ad, Affiliate Revenues Fall - Next TV
AMC Networks Earnings Drop As Ad, Affiliate Revenues Fall  Next TV

How To Create a Successful Affiliate Program (2023) - Shopify
How To Create a Successful Affiliate Program (2023)  Shopify

Sinclair Earnings: Upcoming Affiliate Renewals and 2024 Political Revenue Won't Change Our Outlook - Morningstar
Sinclair Earnings: Upcoming Affiliate Renewals and 2024 Political Revenue Won't Change Our Outlook  Morningstar

Pinterest Affiliate Marketing: How To Make Money Pinning (2024) - Shopify
Pinterest Affiliate Marketing: How To Make Money Pinning (2024)  Shopify

One Year In, The Wall Street Journal's Buy Side Is Fine-Tuning Its Affiliate Strategy - Adweek
One Year In, The Wall Street Journal's Buy Side Is Fine-Tuning Its Affiliate Strategy  Adweek

Footballco says it will grow affiliate revenues by 300% in 2023 in drive away from advertising - Press Gazette
Footballco says it will grow affiliate revenues by 300% in 2023 in drive away from advertising  Press Gazette

What Is Affiliate Marketing? Everything You Need to Know in 2024 - Shopify
What Is Affiliate Marketing? Everything You Need to Know in 2024  Shopify

How To Create a Successful Affiliate Program (2023) - Shopify
How To Create a Successful Affiliate Program (2023)  Shopify

How To Create a Successful Affiliate Program (2023) - Shopify
How To Create a Successful Affiliate Program (2023)  Shopify

Pinterest Affiliate Marketing: How To Make Money Pinning (2024) - Shopify
Pinterest Affiliate Marketing: How To Make Money Pinning (2024)  Shopify

10 Top Affiliate Marketing Platforms for Ecommerce Brands (2023) - Shopify
10 Top Affiliate Marketing Platforms for Ecommerce Brands (2023)  Shopify

Pinterest Affiliate Marketing: How To Make Money Pinning (2024) - Shopify
Pinterest Affiliate Marketing: How To Make Money Pinning (2024)  Shopify

Top 10 Tips for Becoming an Affiliate Marketer on Facebook in 2024 - Influencer Marketing Hub
Top 10 Tips for Becoming an Affiliate Marketer on Facebook in 2024  Influencer Marketing Hub

What Is Affiliate Marketing? Everything You Need to Know in 2024 - Shopify
What Is Affiliate Marketing? Everything You Need to Know in 2024  Shopify

What Is Affiliate Marketing? Everything You Need to Know in 2024 - Shopify
What Is Affiliate Marketing? Everything You Need to Know in 2024  Shopify

How the Klarna Affiliate Marketing Strategy Has Boosted Revenue - Affiverse
How the Klarna Affiliate Marketing Strategy Has Boosted Revenue  Affiverse

Twitch announces 60/40 revenue split in expanded Plus Program - TechCrunch
Twitch announces 60/40 revenue split in expanded Plus Program  TechCrunch

Pinterest Affiliate Marketing: How To Make Money Pinning (2024) - Shopify
Pinterest Affiliate Marketing: How To Make Money Pinning (2024)  Shopify

How To Create a Successful Affiliate Program (2023) - Shopify
How To Create a Successful Affiliate Program (2023)  Shopify

11+ Newest Ways to Promote And Monetize Affiliate Links - Adam Enfroy
11+ Newest Ways to Promote And Monetize Affiliate Links  Adam Enfroy

Pinterest Affiliate Marketing: How To Make Money Pinning (2024) - Shopify
Pinterest Affiliate Marketing: How To Make Money Pinning (2024)  Shopify

Affiliate Marketing for Beginners in 2024: Make $2500 Per Day - Adam Enfroy
Affiliate Marketing for Beginners in 2024: Make $2500 Per Day  Adam Enfroy

What Is Affiliate Marketing? Everything You Need to Know in 2024 - Shopify
What Is Affiliate Marketing? Everything You Need to Know in 2024  Shopify

Affilizz launches 'Magic Match', allowing publishers to build affiliate revenues at scale in real time - Media Makers Meet
Affilizz launches 'Magic Match', allowing publishers to build affiliate revenues at scale in real time  Media Makers Meet

Start Earning With the Amazon Affiliate Program in 2024 - Shopify
Start Earning With the Amazon Affiliate Program in 2024  Shopify

How to make money on YouTube in 2024 (and what creators should expect) - Sprout Social
How to make money on YouTube in 2024 (and what creators should expect)  Sprout Social

What Is Affiliate Marketing? Everything You Need to Know in 2024 - Shopify
What Is Affiliate Marketing? Everything You Need to Know in 2024  Shopify

Start Earning With the Amazon Affiliate Program in 2024 - Shopify
Start Earning With the Amazon Affiliate Program in 2024  Shopify

“The juice is worth the squeeze”: 17Bn reasons why affiliate marketing has come to the fore - Media Makers Meet
“The juice is worth the squeeze”: 17Bn reasons why affiliate marketing has come to the fore  Media Makers Meet

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