Affiliate Marketing has rapidly become one of the most effective and popular ways to make money online. The way affiliate marketing works is a very simple process.
For this example a company(SiteA) would go to another company(SiteB) and ask them to place a link or banner to SiteA onto their website. Any time a user from SiteB clicks on SiteA's link and makes a purchase, SiteB will get a commision on that sale. It is as simple as that.
The history of affiliate marketing goes back to around 1994 with the cutting edge music website www.CDNow.com. They were, as far as most people know, the first site to pay other sites for directing Internet traffic to them. Internet giant Amazon.com soon caught on and became the site most associated with affiliate marketing. Today, the practice of affiliate marketing is used by essentially every major web site in the world.
Why affiliate marketing? One of the reasons that affiliate marketing has proven to be so popular is that it is completely based on performance. In most cases, the company doing the advertising doesn’t pay a single penny to the site that is carrying their ad unless there is evidence that Internet traffic has been driven to the advertising site. There are, however, other ways of doing affiliate marketing.
Some advertising sites have paid the site hosting their link based not on the number of times an original IP visits through the link, but on the number of times the banner ad was “seen.” This method presents a whole host of problems since things like hit counts can be forged and there is no way to insure that just because someone visited a web page that had your logo on it that they even saw it or if they did, that they even knew what it was.
Other methods of affiliate marketing include paying only when a link is followed AND some kind of transaction takes place. This can be tough on the site hosting the link because the attention span of the average Internet user isn’t long enough in most cases to follow a link and then either complete a purchase, or fill out a form of some kind. The conventional method simply pays a host a commission for every time an original IP is directed to their site.
In a matter of only a few years, affiliate marketing has become one of the most cost effective ways to drive traffic to a site. Since, in most cases, both the advertiser and the host profit from the set up, there is no reason to believe that affiliate marketing won’t be a dominant advertising method well into the future.
MakingYouRicher explains Affiliate Marketing programs in much greater detail. They will also guide you through your own Affiliate Marketing journey. The support and service from these guys is better than anywhere else I have experienced on the Internet. Click HERE to visit their site.
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