Affiliate Marketing Terminology

Affiliate Marketing is a large business piece on the Internet. The (online) retail customer often does not know that he/she made the recent online purchase through an affiliate link. He/She sees a product of interest on a certain website, clicks on the link and completes the purchase wherever the link takes the customer. Every day people get introduced to affiliate marketing and want to make money from it. In many cases these new affiliates do not fully understand the affiliate world and make costly mistakes.

The following terms are important and every affiliate should know what they mean:

1) The Merchant: The merchant is any web site owner that wants to take advantage of performance based marketing. The merchant maintains and operates the affiliate program. The merchant decides how much he is willing to pay for each sale/lead that results from a visitor sent from an affiliate. Sometimes the merchant uses a 3rd party provider to operate the affiliate program.

2) The Affiliate network: An affiliate network acts as a 3rd party between the merchant and the associated affiliates. The affiliate network provides the technology to deliver the merchant's campaigns and offers. The affiliate network collects commission fees from the merchant and pays the affiliates that are part of the program. Well known affiliate networks are Commission Junction, AzoogleAds and Linkshare.

3) The Affiliate: An affiliate is a web site owner that promotes one or more merchants and their affiliate programs. The affiliate gets paid a commission if he/she can generate a sale/qualified lead for the merchant.

4) In most cases affiliate programs pay a commission per sale. This can be a fixed percentage or it can be a fixed dollar amount. Commission fees based on a certain percentage level per sale can be more rewarding for the affiliate if he/she is dealing with high priced items. Low priced items do not generate high income from affiliate sales. The following technical terms do exist:

Cost per sale(action) - CPA
Cost per click - CPC
Cost per lead - CPL
Cost per 1,000 -CPM

Overall - affiliate marketing can generate a full-time income for the affiliate. This is no easy task to accomplish though. One of the best known affiliate programs is the program operated by Amazon.com.

About The Author

Christoph Puetz is a successful Entrepreneur and international book author.

Websites operated by Christoph Puetz are The Web Hosting Resource Kit and Highlands Ranch Colorado and Affordable Vitamin Resources.

This article can be published by anyone as long as the resource box (About the Author) is posted on the website including the links. These links must be clickable.

http://store.xiiiv.com/rss
In The News:

WIN! Free Rent For A Whole Year  Lifehacker Australia

What Was I Thinking

I often wonder what I was thinking by joining an... Read More

12 Ways To Promote Your Affiliate Program

Hundreds of people sign up for affiliate programs everyday because... Read More

Affiliate Marketing ? How to Start Earning Money Today

If you're new to Affiliate Marketing and your finding everything... Read More

Affiliate Marketing Or Market Your Own Products?

How should you organize your online business?Affiliate marketing seems to... Read More

11 Awesome Ways To Explode Your Affiliate Commission

1. Start your own affiliate program directory. Join a large... Read More

Common Decency......Lets Keep it Alive!

I recently had an experience with one of the affiliate... Read More

12 Tips On Selecting An Affiliate Program

People sign up with affiliate programs everyday, looking to expand... Read More

How I Started My Own Work At Home Internet Business With Very Little Investment!

Have you always wanted to work at home? Have your... Read More

Five Common Mistakes Affiliate Marketers Make

Affiliate Marketing is one of the most effective and powerful... Read More

Content Really is King

It is every affiliate's wish to have unique site content... Read More

How to Run A Successful Affiliate Program

There are many people who log onto the internet everyday... Read More

The Logic Behind Niche Content Profits

In researching most successful online businesses, you start to notice... Read More

Affiliate Marketing

Simply put, Affiliate Marketing is one of the most common... Read More

How to Create Multiple Streams of Income, Part 1

You've must have read the phrase "multiple streams of income"... Read More

Cant Find Any ClickBank Super Affiliates? Grow Your Own!

Affiliate marketing has become extremely popular, and ClickBank offers a... Read More

Affiliate Income Optimization

In my time researching the search engines, I've noticed something... Read More

Affiliate Marketing Nightmare - Dont Let This Happen To You!

Everyone knows that affiliates can make or break a company's... Read More

Want to Increase Your Affiliate Commissions?

Do you participate in chat rooms and message boards related... Read More

Affiliates Go To School!

It has been said that only 2% of affiliate marketers... Read More

How To Increase Your Affiliate Commissions!

So you've joined an affiliate program, but really haven't figured... Read More

How to Become a Better Affiliate

First of all you need to understand that an Affiliate... Read More

How to Skyrocket Your Affiliate Marketing Revenue in 30 Days or Less

Starting up your internet business as a member of an... Read More

How To Attract Affiliates

One of the biggest fears new Affiliate managers have is... Read More

Join in on the Success of the 2nd Wave of Affiliate Marketing

What do I mean by '2nd Wave'? ... let me... Read More

Selling Merchandise On Your Website

If you take away poker, dating, and naked ladies, custom... Read More

http://store.xiiiv.com/rss