AFFILIATE MARKETING

I will start this presentation with the definition of affiliate marketing

Affiliate marketing is a tool, that is used by Companies or individuals with
the aimed of increase sell or get more visibility in the market. Their
process consists in this idea. You promote a product or several products
that like from a company or an individual through an affiliate network in
some cases, or by using a social media. if you get a costumer who has
been interested in a product that you have promoted and finally this
customer decides to buy this product, you Will earn a percentages of sale
Price.

Affiliate marketing system is composed by 4 important parts:

 The merchant
Is known as the producer, creator or seller of a product or service. It can
be a company, or it can be a person.
 The Affiliate
Is the person or company that its role is to promote one or several
products, as well as attract and convince potential consumers.
 The Consumer
It is the person who buys the product, without it, the system would not
work, without purchases there is no commission but there are other
alternatives.
The Network
An affiliate network acts as an intermediary between the merchants and
their affiliates. Some merchants choose to work with an affiliate network
because they lack the time or resources to track, report, and manage
payments to the affiliates.

How Do Affiliate Marketers Get Paid?

The customer doesn’t necessarily have to buy a product, depending on
the affiliate program, the affiliate may get paid in various ways:
1. Pay per sale.
This is the most common ways to earn money, you get a percentage of
the sell price if the customer buys the product.
 2. Pay per lead.
The “pay per lead” affiliate programs compensates the affiliate based on
the conversion of leads. The affiliate must persuade the consumer to visit
the merchant’s website and complete the desired action.

3. Pay per click.

This program focuses on incentivizing the affiliate to redirect consumers
from their marketing platform to the merchant’s website. The affiliate is
paid based on the increase in web traffic.

Advantages of affiliate marketing

One of these advantages is

Do branding without paying for it:

For the merchant, any product that is promoted by an affiliate is
completely free, unless the consumer purchases the product, in that case
a percentage of the value of the price of the product must be paid to the
affiliate.
It’s cost effective
Affiliate marketing can be extremely cost effective because you do not
need to have a large capital to be able to promote a product, you only
must have a good product and have several affiliates to reach different
audiences
Affiliates can boost your reputation
By partnering with trusted bloggers or websites to promote your product,
it can also promote the reputation of your brand and products. While in
the research phase of a purchase, consumers are more likely to trust a
3rd party’s opinion over content produced directly from the site selling
this product.
Reach different audiences
as a merchant, your product could be promoted to a different target
audience and gain more visibility into searches.