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Affiliate Marketing Definition For Newbies PDF Print E-mail

Newbies often ask, "How does affiliate marketing work?" The simple answer is earning a commission to promote someone else's product, or earning a commission by persuading your visitor to take a predetermined course of action.
by BufordMobley


Newbies often ask, "How does affiliate marketing work?" The simple answer is earning a commission to promote someone else's product, or earning a commission by persuading your visitor to take a predetermined course of action.

That simple answer usually leads to the question, "How do they know that I made the referral?" Due to the millions of transactions online, it would be easy for product vendors to make mistakes tracking referral sources.

Affiliate programs track your referrals and commissions by assigning you an affiliate ID. This ID is embedded in the URL that sends people to the vendor website.

What to look for when becoming an affiliate:

* Most affiliate programs pay commissions on the sale, but some pay commissions just for leads.

* Generally, affiliate programs pay a percentage of the sale for commissions. There are some that simply pay a fixed amount.

* Some affiliate programs provide commissions of the life-long purchases that come from a customer that you referred, while others don't.

When researching affiliate programs and comparing their terms, choose the programs that are likely to be most profitable. It is also wise to choose products or services that you have purchased and are intimately familiar with. When you do this, your promotion is perceived by your potential customer as more of a testimonial as opposed to an over-hyped sales pitch.

Most people fail in affiliate marketing because they simply post a banner or link to the vendor site. As an affiliate, you are a salesperson. You need to promote your products in your newsletters, by writing articles, by contributing to forums, etc. You may even have to use paid methods, such as pay per click marketing with Google Adwords or Yahoo search marketing. If you truly believe in what you are promoting, your passion about and belief in your product or service will shine through. This will make you successful at affiliate marketing.

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