- Affiliate Marketing Introduction
- Defining Affiliate Marketing
- Making Money with Affiliate Marketing
- Is Internet Marketing for Real?
- Affiliate Marketing Training
- Does Affiliate Marketing Require The Sales Type?
- Affiliate Marketing Costs
- Affiliate Marketing Does Not Require A Website
- Finding Affiliate Companies Products To Promote
- Getting Paid With Affiliate Marketing
How exactly do you make money from Affiliate Marketing?
We touched on the answer to this question in the previous question. When you (the affiliate) refer someone to a product (or service) and that person makes a purchase, you receive a commission on the sale.
However, there is more to it than that. After all, how can a company know for sure that you are the one who sent this person to their website since you’re not there to tell them and the person buying may not even know your name?
When you sign up to become an affiliate with a company or individual, you’ll receive a special link (your affiliate link) that is embedded with a tracking code to let the affiliate program owner identify you among other affiliates and their own marketing methods.
Whenever you use this special affiliate link to refer someone to the company’s website the person’s visit is tracked to you via that special code. There are various software programs that make this possible and the process is beyond the scope of this particular report. Just remember that visitors to the website are tracked back to you from this special code within your affiliate link.
Whenever someone who uses your link purchases something from the company’s website you are credited for the sale and receive some sort of payment.
Common types of affiliate payments:
- Sales Percentage – This method is the most common form of payment to affiliates. Example: For every sale you refer as an affiliate, you’ll earn 50% of the total sales price. You refer $50 worth of sales and we’ll pay you $25. Percentages vary and are set by the company or individual who runs the affiliate program. They can vary from 5% all the way to 100%.
- Pre-set dollar amount – This type of commission is not extremely common, but it is out there, specific dollar amounts could include things such as: For every $5 worth of product sales you refer to us, we’ll pay you $1 or a flat $20/sale.
- Credits – Some sites pay their affiliates in credits that can be used for future purchases of their products. An example of this would be receiving 1 credit for every dollar’s worth of product sales you refer.