To those of you confused by how affiliate marketing works – don’t get down! It is completely comprehensible because this world is, indeed, still a dark field. It is often a source of shady revenue. However, if handled smartly you could get a hefty revenue for it!
What is it anyway?
In simplest words, it this is a system where persons get paid for online-promotion of someone’s product and sending new businesses to them. They are just like real-estate agents who are earning money by selling someone else’s house.
Now let’s take a look at this system step-by-step.
There Must Be a Merchant and Something to Be Sold
It can’t be explained in any other way than this. Merchants are the engine of Affiliate Marketing. Without them, it probably wouldn’t exist. Those are the people who are aware that this is a completely new era and that salesmanship
can’t live without the Internet. Be that a physical product or service, they want to be promoted by someone with great publicity.
Working from House or Hiring Someone?
A merchant has to decide how he will manage the affiliate program.
What does this mean?
Some of them want to find affiliates alone from the comfort of his home. However, some merchants hire OPM. Those are external agencies, another person who would make sure to search for capable affiliates that would attract buyers of merchant’s product or service.
Payment through Network
This part may be the most interesting for the aspiring affiliate marketers. Firstly, we have to come clean about the following: merchants pay per successfully sold product or service and not per visit to their site!
Someone who wants to sell their house doesn’t make a profit from someone who just sees it, right?
How does the process of payment go?
The affiliate program can be consolidated on single or multiple networks. (it is usually the second option) This network is like a trail that cookies (imagine it as customers) have to pass on the way from the affiliate to the merchant’s site. For every customer that bought merchant\s product/service and was tracked from the affiliate’s site commision automatically goes to the affiliate’s account!
How Affiliate Marketing Does NOT Work
The field of affiliate marketing is almost notorious for the fact that money can RAKE IN if you do it right. Is this always the case.
You have to understand that affiliate marketing business is a very volatile world. You can literally fall into the story of a person who was one day rich and the next day finds himself/herself under the line of poverty out of the blue.
The most accurate estimation is that, if you are an intermediate affiliate marketer, you will earn something between $221/day and $328/day per day. There are of course some marketers earning over a million dollars per year but you have to know they are also some that earn ZERO per day.
With this job, you will not get rich overnight or a week, and maybe even month or a year. You have to be patient!