What is affiliate marketing?
How can we do it?
Here we will show you what is affiliate marketing, and we will learn how to get started an affiliate business.
It doesn’t matter if you are a complete beginner or a self-learned guru, we can help you build your own online marketing business.
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What is Affiliate Marketing?
Affiliate Marketing is one kind of system to trade.
A distribution chain is formed for whatever is sold in the market. The factory owner sells his product to the distributor, the distributor sells to the wholesaler, the wholesaler sells to the retailer and then the product comes into the hands of the consumer…
Every link of this chain adds its operating expenses and profit to the basic purchase cost of that material.
It is easy to understand why the consumer has to pay about two to two and a half times or even higher than that the price of the product that is manufactured!
As the usage of the Internet has now increased in the life of the people, the business system of the business people also started changing. Business Houses are able to save a good amount in their marketing expenses through this system based on the internet etc.
This new affiliation with each other agencies forms a system is called affiliate marketing.
This new immerging complexity of the market has been explained very well here on Wikipedia.
How does affiliate marketing work?
To understand how affiliate marketing works, look at the image below carefully. The entire system is explained in ten steps. We will understand each step one by one.
This system mainly consists of three (or in some cases Four) participants. It is affiliate, merchant and customer (Market Place or Affiliate Platform. Amazon and Click Bank are the best examples for this).
Read here how to set up Amazon Affiliate Account?
Any person who wants to start his own business at the least cost can become an affiliate. This chart shows him as an Affiliate.
Any business house or seller or service provider who wants to sell their products or service with the help of this system is shown here under the name Marchant.
And whoever inadvertently buys a service or product from the merchant’s website connected to this system, is a customer. Here it is shown by Josh name.
Table of content
How Affiliate Marketing Works – Step by Step.
Table of content
How Affiliate Marketing Works – Step by Step.
How Affiliate Marketing Works
Step by Step
How to join an affiliate network? Step 1 & 2
Anyone interested in doing affiliate business can apply online to the merchant’s affiliate system or to the affiliate network to which the merchant belongs.
The merchant or merchant network will authenticate your application and send you your login ID and password so you can access their dashboard and use the promotional materials.
Many affiliate networks will quickly accept your name and email address and add you to their network. When the affiliate network accepts your application, you will be referred to as an Affiliate.
2. From this dashboard the affiliate can create links to whatever products of the merchant he wants to promote. He can also take links of banners or images of the products, and then promote the products of the merchant from their website, blog or article on social media, by writing a review in which its affiliate link is also embedded. These links will be unique for each affiliate member.
Now an Affiliate pursues to get more and more people to read this article or review.
Visit affiliate’s website Steps 3 & 4
3. The affiliate should get more and more people to visit his website and make them learn about the product of the merchant. Google ads, Facebook ads, Email Marketing, Social Media Posting, and many such measures are used to generate traffic to his website.
➡️ The customer (Josh) visits the site of the Affiliate.
4. When a person comes to the affiliate’s website and clicks on the link for review, post, or any promotional material, then that link takes that visitor to the merchant’s website.
➡️ The customer (Josh) clicks on the affiliate link and goes to the merchant’s website.
The merchant has detailed about its products and services on its website, it is explained very closely so that the customer can make up his mind to shop online.
What is affiliate cookies? Steps 5 & 6
5. When a customer visits the affiliate‘s website from his computer and clicks on the affiliate link, he arrives at the merchant‘s website. Here a small text file called Affiliate Tracking Link is stored on the visitor’s browser for a specified period of time. This time period determines by the merchant’s network, one can keep it for 24 hours or thirty days or even more than months.
This small file is called a cookie.
And this cookie, in effect, gives the affiliate network the ability to determine which affiliate this customer has sent.
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6. It is not necessary that the customer should buy at the same time, sometimes the customer takes the information of the product and leaves the website, and then after a short time or a few days back, come again on the merchant’s web site and buys the product or service.
🚦 Here, as an affiliate, you should learn how to intigrate tarcking tools, SEO, Google Tags, and much more…
Checkout process in affiliate networks : Steps 7 & 8
7. Whenever a customer(ग्राहक) makes a purchase on the merchant’s web site and completes the checkout process of payment, at the same time the merchant’s network checks the customer’s browser and sees which affiliate has sent this customer, the affiliate’s ID and time-period Is it valid or not?
8. When the merchant gets this information from the customer’s browser through an affiliate cookie, then he logs this data in his account software. Which includes all the details of the affiliate, an affiliate link details, time, browser details, and then the details of the purchase order, its value, and how much commission is made according to the agreement.
How you get paid? : Steps 9 & 10
9. The merchant network generates reports for each affiliate based on the logged data. This report is available on each of its affiliate’s dashboards. Here the affiliate comes to know that, which links or webpages sends the traffic to the merchant’s website. How much of the traffic gets converted into a customer, and how much commission credit he gets from that transactions.
10. The payout schedule of each merchant network is already fixed. Most merchant networks show commission on the affiliate’s dashboard as soon as the transaction is done, but they keep the amount with them for 30 days so that if the customer returns the item he bought under 30 days money-back guarantee, then his commission withdraw from affiliate account. And if the customer is satisfied with his purchase and keeps the item with him, then the merchant network deposits the commission money in the account of the affiliate on the next month’s payout date.
In this way, affiliate means you, can earn money from affiliate marketing. 💰💰💰
Thank you for making this information available for everyone to share Haren. I’ve been an affiliate with 2 companies already and offered a few others but need to focus a little more on getting what I have started. That’s why I’m anxious for booklet to get out and for me to advertise it and hopefully get a few customers. I’m going searching on Facebook for a few and hope to get started there. Thank you for all your help. Where are you going to put websites online? I may be interested in that for advertising all my stuff.