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Affiliate marketing is a type of performance-based marketing where a business rewards an affiliate for each customer or sale that they bring to the business through their unique affiliate link or code. In this way, affiliates promote a business’s products or services and earn a commission on any resulting sales or conversions.
There are three main players in affiliate marketing: the business or merchant, the affiliate or publisher, and the customer. The business provides the product or service, while the affiliate promotes it through various channels such as their website, social media, or email list. When a customer clicks on the affiliate’s unique link or uses their unique code to purchase the product or service, the affiliate earns a commission from the sale
There are different types of affiliate marketing programs, including:
Pay-per-click (PPC)
The affiliate earns a commission every time a customer clicks on their unique link to the merchant's website, regardless of whether a sale is made or not
Pay-per-sale (PPS)
The affiliate earns a commission only when a sale is made through their unique link or code.
Pay-per-lead (PPL)
The affiliate earns a commission when a customer clicks on their unique link or code and completes a specific action, such as filling out a form or signing up for a free trial.
Affiliate marketing can be a great way for businesses to expand their reach and increase their sales without investing in expensive advertising campaigns. For affiliates, it can be a lucrative way to earn passive income by promoting products or services that align with their audience and interests. However, it’s important to disclose any affiliate relationships to maintain transparency and trust with your audience.