Affiliates maximize on time and allow for ads and content to work for them. They sponsor your product or service through postings of ads and or content. Once a customer clicks and purchases through the affiliate website, not only is your brand paid but the affiliate receives revenue as well from the purchase.
Affiliates are depicted as a helping hand that navigates consumers to purchase. As a third party, they support the selling and overall knowledge of the product. Their work is influential and increasingly helpful to the purchase of your product and or service.
Something to help visualize how the affiliate program works is the diagram below. The diagram illustrates a cycle illuminating how one-step moves to the next.
How does Affiliate Marketing work?
In affiliate marketing, an advertiser pays a commission to an external website for traffic or sales generated from its referrals. The external website, known as the affiliate, promotes the advertiser’s products or services and earns a commission when visitors complete a desired action such as making a purchase.
Who can participate in Affiliate Marketing?
Anyone with an online presence can participate in affiliate marketing. This includes bloggers, influencers, publishers, and even businesses themselves.
What are the benefits of Affiliate Marketing?
Benefits of affiliate marketing include increased exposure and brand awareness, cost-effectiveness compared to traditional advertising methods, and potential for high ROI due to its performance-based nature.
Fun Fact:
Marketing "Affiliate marketing spending in the United States is projected to reach 8.2 billion U.S. dollars by 2022, up from 5.4 billion U.S. dollars in 2017." (Statista, 2020)