Affiliate Marketing is a very broad category of operation-based marketing, where a company rewards one or more affiliates or advertisers for each visitor or client brought about by the affiliate’s marketing efforts. The affiliate marketing program can be broken down into two main categories, these are Pay-per-click (PPC) and Pay-per-performance (PPP). Pay-per-click is the more popular and effective of the two methods. In pay-per-click, an advertiser only pays for traffic that actually clicks on the advertisement. This means if an affiliate generates enough traffic, then the advertiser will have to pay the affiliate for every potential customer that they have.
PPC, on the other hand, is often times referred to as “Pay per lead.” In pay-per-lead, the marketer will pay an affiliate only when a visitor to their site actually makes a purchase. This means that the marketer is able to better manage their budget because they do not have to pay for every potential customer that they sign up for advertising. The key to a successful affiliate marketing campaign is to find an audience that is targeted and is ready to make a purchase.
There are several ways to promote your affiliate links on the Internet. Some of the more common ways include banner ads on prominent places such as Google’s AdWords, which allow for you to specify how much you are willing to spend, text links that are inserted into regular web pages, and video advertisement with accompanying audio. The most successful methods tend to be the combination of all three types as well as email marketing, although most successful affiliate marketing campaigns do use some form of PPC, pay-per-click, or text advertising. By finding an audience that is highly targeted and ready to make a purchase you can greatly increase your conversion rates. Remember that it takes time and patience to build your brand name, and the more people you can get to know your brand, the more success you will have.