Affiliate Programs
Affiliate programs, also known as associate programs or publisher programs, are a popular method of promoting web businesses in which an affiliate is rewarded for every visitor, subscriber and/or customer provided through his efforts. It is a modern variation of the practice of paying a finder's fee for the introduction of new clients to a business. Compensation may be made based on a certain value for each visit (Pay per click), registrant (Pay per lead), or a commission for each customer or sale (Pay per sale), or any combination.
Many major companies and retailers have affiliate programs that pay at varying rates so you should do your research before placing an affiliate link on your web site.
Some e-commerce sites run their own affiliate programs while other e-commerce vendors use third party services provided by intermediaries to track traffic or sales that are referred from affiliates. Some businesses owe much of their growth and success to this marketing technique, although research has shown in general the increase to be approximately 15-20% of online revenue.
Some advertisers offer multi-tier affiliate programs that distribute commission into a hierarchical referral network of sign-ups and sub-affiliates. Put simply: publisher "A" signs up the affiliates program with an advertiser and gets rewarded for the agreed activity conducted by a referred visitor. If publisher "A" attracts other publishers ("B", "C", etc.) to sign up for the same affiliate program using a unique sign-up code, all future activities by the joining publishers "B" and "C" will result in additional commission for publisher "A". Click HERE for information on the different types of affiliate programs.
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Mon, 12 May 2008 00:58:58 GMT |
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