In this post you are going to learn all about Affiliate Marketing in simple terms.

What Is Affiliate Marketing?

Affiliate Marketing is a form of Online Internet Marketing. It is one of the easiest way to make money online without having to worry
about having your own product to sell. This is gold mine for whoever getting started with making money online. But its very important that you do it right way, in order to make money with affiliate marketing business.


Affiliate Marketing 101

Affiliate Marketing primarily involves involves 3 parties –

  1. Sellers or Merchant or Advertisers : These are the people who create their own product. They sell the products by themselves or with the help of Product Promoters.
  2. Affiliates or Product Promoters or Publishers: These are the people, who promote sellers products and earn commissions. This could potentially be you.
  3. Consumers: These are customers who buy product from you.


In Affiliate Marketing, End of the Day, all three parties are happy!

  • You are happy as you get affiliate commission.
  • Your Sellers are happy because they got sale of their product.
  • Customer are happy because they got the product they wanted.


How Does Affiliate Marketing Work?

Affiliate Marketing business involves simple 6 step process –

How does affiliate marketing work


The whole Affiliate Marketing System is around the Product launched by the Merchant. Below are the stages of the system –

  1. Affiliate Marketers who believe and trust the product and interested to promote product, advertise on their Websites, Blogs and Forums. Primary objective of this stage is to drive traffic to the product page using affiliate link.
  2. Customers who is in need for this product click on the advertising to learn more.
  3. Customers are then redirected to Merchant’s Product page. Advanced Marketers keep track of this click using something called tracking link. Tracking helps marketers to find out ROI.
  4. Interested Customers then makes the purchase using various payment options.
  5. This event creates an entry into Merchant’s system indicating there is a Sale by the registered affiliate.
  6. Finally, Affiliates receive commission based on this Sale. Based on the commission structure, affiliate gets either one time commission or monthly recurring commission.

Benefits & Advantages of Affiliate Marketing

  1. Super easy to promote others’ products and keep commissions (50%-100%):
  2. Very low inital start up cost.
  3. No need to worry about customer servicing. Seller takes care of that.
  4. No headache of product creation
  5. Just need to drive traffic
  6. No technical knowledge required
  7. Some of the product has monthly residual recurring commissions. Sell once, earn commissions monthly in such cases.
    Can lead to “High Ticket Commissions”

Disadvantages of Affiliate Marketing

  1. Sometimes sellers shutdown offers abruptly and doesn’t send commissions. This happens very rarely though.
  2. Some of the product launches are short term. So every time new product is launched, you will have to work on traffic strategies. So one of the recommendation is to perform market research before promoting any products.


What are the steps involved in Affiliate marketing?

Affiliate Marketing involves just 4 simple steps –

1. Find an offer :

This is one of the crucial step in affiliate marketing. During this stage, you will have to do good enogh market research and find out perfect product to promote. Make sure to pick a product that very good demand in that particular niche.

2. Drive Traffic:

Drive traffic to the Product Offer. One of the common mistake most of the marketers make is they send traffic directly to the Merchant’s product page. With this method, you end up leaving lots of money on the table. Meaning that, if your potential customer doesnt like the product, they simply close the browser and look for another product. So you end up losing the money you spend on advertising completely.

To overcome this situation, Advanced Internet Marketing Affiliates always send potential customers to something called Squeeze Page (which is also called as Bridge Page or Landing Page).  The main purpose of this page is to pre-frame the customers regarding the Product you are offering & collect email address from the potential customers. So, even if the customer doesn’t like your current offer, you have their email address. Using that you can send emails with offers similar to this current offer.

Also, you can keep contacting the same customers with future offers from the same niche. With this approach, you are monetizing every advertising cost you spend.

3. Track Commissions, Scale & leverage:

This is another important stage in Affiliate Marketing. You will have to make sure to track the progress of your offer conversion. If your offer is not converting that well, you should know pretty quickly and stop spending on advertising that offer. But if the offer converts well, then BOOM!!! Simply Scale up your advertising budget! Get lots of Sales!! Keep Earning Commissions!!!


Hope you enjoy reading this post! In future posts we will deep dive and learn more about Affiliate Marketing, How to register to affiliate networks, How to build Squeeze pages and much more!

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