What Is Affiliate Marketing – How Does It Work?
In this age of e-commerce and the internet, many have probably heard the term “affiliate marketing”, but do you really know what is affiliate marketing-how does it work? Starting an affiliate marketing business and earning extra income home can improve your financial circumstances. In the simplest form affiliate marketing is the connection of the advertiser, the affiliate marketer and the consumer.
Advertisers find it less costly to agree to allow affiliate marketers to promote the advertisers’ products or services. For promoting the advertisers’ products the advertisers agree to pay the affiliate marketer a commission for driving traffic and consumers to the advertisers’ website.
The advertiser will provide the affiliate marketer with links, text ads and banners that the marketer will incorporate into their own websites. This is a great way of earning extra income home. What is affiliate marketing-how does it work? I hope that by the end of this article I have answered that question for you.
The last and probably the most important part of this association is the consumer. The consumer is the person who must take an action so that it is a win-win for all parties. The consumer sees the ads on the affiliate marketer’s website.
The desired action for the consumer to take is to click on the advertiser’s link or complete their contact information via a form input. When the consumer takes that action they move from the marketer’s website to the advertiser’s website to complete the action that results in the purchase of a product or service by the consumer.
Completion of the desired action by the consumer is called a conversion. At this point all parties get what they wanted. The consumer gets the product or service. The affiliate marketer receives a commission and the advertiser makes the sale on the product or service. That my friend is what affiliate marketing is in a nutshell!
Growth of Affiliate Marketing
Over the years affiliate marketing programs have become a strong marketing tool as more and more businesses are becoming established online. Businesses use affiliate marketers to promote their products because it is less expensive than the normal ways of advertising.
Some research will be required to locate the best affiliate marketing training program. There are many, many programs out there, but they are not equal. Also, you have to be very careful of those programs that claim to be cheap, but do nothing but up sell you on the tools you need to get started.
Then, there are some that are just out and out dishonest scams. Do you due diligence first. I reviewed several affiliate training programs and found one that in my opinion was above all others (see my review recommendation here).
The affiliate marketer is paid a commission for their efforts to drive traffic to the businesses website so a “conversion” can be made. The affiliate will be trying to catch the attention of people who stop at their website for only a few seconds to click on the business ad.
Create a Great Website
The first key to affiliate marketing is creating a content rich website that is very enlightening and educational, but at the same time easy to read. Visitors will continue to return to your website because they can count on being able to find useful information when they need it. Earning a passive income from affiliate marketing does not happen overnight. But, it is a deliberate and steady process and a decent income can be made from it.
Whatever you do, don’t just slap a bunch of ads on a page because that sure as “shootin” won’t advertisers or traffic. You will have to seriously think about what your site is going to be. Choose something that you have an interest in to motivate you to want to work on your site every day, if only for a couple of hours.
Take creating your website seriously. Don’t just throw everything together even when you have suitable content. The main thrust is to attract people to your site, realizing they are probably only going to be there for a few seconds! Therefore, the design of your site will have to be eye-catching and the content must be interesting.
Building a “great” website is only the first tactic toward becoming a great affiliate marketer. As you will later learn, a great site is more than just a great design. But, you are on your way if your site is content rich with appropriate key words.
Just becoming an affiliate marketer doesn’t guarantee that you will create a marketing empire. There are a lot of aspects that can determine your success in the affiliate marketing competition. However, there are some things that you can do to put you on the right track toward becoming a successful affiliate marketer.
To be honest, not everyone using affiliate marketing programs is generating real income. Whether income is generated is dependent on several different aspects such as content rich websites, how traffic is driven to the site, whether you are using good affiliate marketing programs to mention a few. Choosing the best affiliate program to work with is an extremely important factor to aid in the success of an online affiliate marketing business.
There are various ways to build links for your site, but not all of them are good ones. There was a time when all you had to do was trade links with another site. If that was done enough times you would build a strong link network. However, Google began to take a look at these links and considered many of the traded links were really not genuine. When you trade links it should be another site that is relevant to your own site. For instance, if my website is about hair products and I agreed to trade links with someone who had a website about horses; Google would likely discount the link because the sites are not related in any way to each other. Google would consider this to not be a natural link.
Search engines analyze links to determine the popularity of websites and pages based on how many and the popularity of the pages linking to them. They also look at spam and trust metrics. Trusted websites are inclined to link to other trusted websites.
Search engines such as Google and Bing look for certain signals to measure the value of links. The follow list is not necessarily all inclusive.
• Worldwide Recognition – The more well-liked and significant a website is, the more importance will be placed on links from that site. To gain trust and authority with the search engines, it will probably require the assistance from other popular link associates.
• Anchor Text – This is one of the most important signals that search engines use to rank. When several to many links points to a page that contains the precise keywords, that page has a very high likelihood of ranking well for the phrase in that anchor text. An example is with searches that use “click here”. The results will rank exclusively because of the anchor text of inbound links.
• Trust Rank – Obviously, there is no disbelief that the internet has enormous amounts of spam. As a method to weed out spam, search engines use a system to measure “trust”. Websites that earn links from very high trusted domains could end up with a considerable increase with this scoring system. Examples of high trusted domains are government, universities and non-profit organization website.
• Freshness—Links can lose their value after a while because websites that may have once been popular have gotten stale. The sites are no longer obtaining any new links. The search engines term this as “FreshRank”. The newest of the link allows search engines to determine current relevance and popularity.
• Social Sharing – Facebook, Google+ and Twitter have exploded during these last few years with the amount of content that is being shared through these avenues. Google has started to include a large number of social indicators into its search outcomes. Although they treat socially shared links different from other links they are still taking note them.
Building links is just about one of the most difficult parts of SEO’s job and is one of most important. These are some examples of strategies to building links:
• Get customers to link to your website.
• Build a business blog and make it valuable, informative and an entertaining resource.
• Build content that encourages viral sharing and normal linking.
• Be newsworthy.
Never Give Up
As I previously mentioned, in the beginning, affiliate marketing is a deliberate and steady process. It takes time. If you have created a great content rich website, chose the right affiliate programs, and got good page rank, but you are still not driving enough traffic to the site right away, don’t give up. Be patient and review everything in your affiliate resources that you may be able to improve upon. Believe in yourself and maintain your confidence in what you are doing.
Remember that this is not a “get rich overnight” gig. It is a real business, a real job. Some hard work will go into an online business just as any other business has a period of time in the beginning when no income is seen but it slowly increases until there is a steady stream of income. Patience will be needed.
Where Do You Go From Here?
An excellent affiliate training platform can help you build a successful affiliate marketing business online. There are many different methods of affiliate marketing that can be put into practice that can be developed into earning substantial income. The best thing about it is that start-up funds are very low, you can do it part-time or full-time, you don’t need a lot of computer experience and you can work from home! I call it a “learn as you grow experience”. From here you should take the next step to getting started.
Please feel free to drop me a comment below or you can always get me at wealthyaffiliate.com (here is a link to my profile).
Founder of Mom’s Trusted Affiliate