Affiliate Marketing

What is Affiliate Marketing?

affiliate marketing meaning

Affiliate marketing is one of the ways of earning money online. Bloggers or online entrepreneurs make a passive income using this method. If you want to make money online, you should consider affiliate marketing.

One day I was doing a research for my website, as I was watching one video, I stumbled upon a video of someone; Mike Vestil a Philippian that has migrated to Chicaco.

Mike Vestil

This guy earns over $100,000 a year from affiliate marketing. He makes this much from home through his blog. Wouldn’t you want to make money sitting from the comfort of your home?

If you feel like “yes! I want this too,” then don’t go anywhere, be with me throughout this post as I give you heads up about this topic.  

Affiliate Marketing definition and meaning

Affiliate marketing is the process of promoting another person’s product in return for monetary commission.

An affiliate joins an affiliate network or program, he or she reviews that particular product to his audience. When people buy that product using his or her affiliate link, he gets rewarded for all of that.

On my website, I am promoting a weight management product; Okinawa flat belly tonic. I wrote a review about this product. Whenever people buy that affiliate product using my link, I get a commission.

Affiliate marketing terms

  • Impressions
  • Earn Per Click
  • Pay Per Click
  • Advertiser
  • Affiliate

Affiliate Impressions

An Impression is the number of times an affiliate banner, text, link or other promotional material is shown to the web page visitor. Impressions are the ones that tells if there is a potential to make sales in that particular product you are promoting.

For example, I already mentioned that I am promoting an Okinawa flat belly tonic. If my review about this product appears 100 times or even more when a person searches on the search engines such as google, that is considered to be impressions!

However, be warned that to appear in search results, you have to optimize your reviews so that they can appear when a person surfs on the internet.

Earn per click (EPC)

In some affiliate programs such as CJ Affiliate, warrior + plus, impact and many others, you can make money through EPC. When I talk about EPC, I am talking about the amount of money you make when a person clicks your affiliate links or banners.

However, if your links are not making any sales, you are not going to make money through EPC. For you to make sales, people have to do something like registering if that affiliate program you are promoting is a subscription product.

EPC formula

EPC is calculated by using this formula:  EPC = commission / number of clicks you generated.

Pay Per Click (PPC)

Pay per click is the amount of money an advertiser is going to pay when affiliate drives traffic to his product links. For example, for every click, I can pay $0.03 to an affiliate.

Pay Per Click (PPC) formula

Pay-per-click ($) = Total Advertising Cost ($) ÷ Number of Ads clicked

Advertiser

It is a company or an individual who advertises his products in the affiliate network or programs. Anyone can be an advertiser in affiliate marketing, however you will have to consider your budget to pay affiliate for promoting your product.

Affiliate

An affiliate is a person who promotes advertised products on affiliate marketing programs. If you decided to promote products for Nike brand, you are an affiliate for Nike brand.

You earn a commission every time people buy through your affiliate links. If a product costs $500 and a commission is 20%, you can earn imagine how much money you can make from promoting affiliate products. Many people have become millionaires through affiliate marketing.

Affiliate Marketing programs

affiliate marketing programs

If you are to take part in affiliate marketing, I think it is right to be well equipped as to which programs you should choose from. I have come up with a list of potential affiliate marketing programs.

Here is what I want you to do, if you are not lazy, take time to conduct a research on them as to how each program works. When you find the program that resonates better with you, my friend you should join it right away.

As of this writing, I am an affiliate for Clickbank, Amazon Associates, CJ Affiliates and warrior + plus. When you have made your decision, tell me what affiliate program you have chosen. I want to hear which one you chose.

Oh, before I go on to the next sub-topic, I want you to ensure that you make a thorough research about a product you will choose.

You should never choose to promote a product with no traffic at all. It will be a waste of your time.

If I left some of them, please, don’t be afraid to comment on this post and tell me the ones I left.

The following are the affiliate programs you can join out there

If you are a fan of Clickbank, amazon associate, CJ or warrior + plus and bluehost, you can join through my affiliate links.

When you join through my link, I shall know that I made a good impression on you, and therefore I will earn a commission for you joining using my affiliate link.

The above bolded affiliate programs or networks are the ones I have joined so far.

How does affiliate marketing work?

how affiliate marketing works

Affiliate marketing works in such a way that, an individual or a company creates a product. He then joins programs such as the above listed ones. He creates every advertising material about his or her product. When he has joined an affiliate program, he is called an advertiser!

After joining an affiliate network, an advertiser states the percentage he or she is willing to pay anyone who will promote that affiliate product he has created.

On the other hand, an affiliate after joining an affiliate program, he or she will choose a product he or she wants to promote. When he has done his research on how much he will earn when promoting that product, he will decide to promote it.

Once you agree to promote a product, you are given an affiliate link which includes your tracking ID so that when purchases take place, you make a commission.

Does affiliate marketing make money?

Many people ask themselves whether they can make money by promoting other people’s product in return for commission. To answer that question, i made an example about Mike Vestil. There are so many people who make more than $1k per day through this money making strategy.

If you can promote products which are more popular, you can make money easily. But let me warn you, it won’t be a walk in a park. You will have to do a thorough research before delving in this kind of business. Sometimes you can spend years without earning anything if you didn’t do your homework well. But it is possible to make money with affiliate marketing

I think i have given you more than enough about this topic. To learn more on it, you can visit making money through affiliate marketing. Here is what i request of you, please go through those affiliate networks, choose the one you think will resonate with you perfectly. After that, i would like you to comment below this post and tell me which one you chose.

Oh, if you found this post more valuable, please subscribe on my blog so that you can be up to date with the latest affiliate marketing posts. By so saying, bye!