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The Basics Of Affiliate Marketing

For many readers, the business of affiliate marketing may be completely new, but too many people, it is the source of a hefty, daily income. Affiliate marketing is basically a business that pays an affiliate every time the company benefits from a buyer that was directed to the page by the affiliate.

Generally, there are three types of affiliate programs. These three include PPC (Pay Per Click), PPS (Pay Per Sale), and PPL (Pay Per Lead). Pay Per Click works on a “clicking” basis as the name says. Every time a customer (or potential customer) goes to the main merchant’s website via the affiliate (most often through a landing page or shopping car style site), the affiliate gets a profit. This profit can be very small, or very large, and this also depends on the product at hand, and also the affiliate program being used. Secondly, there is PPS (Pay Per Sale). When a sale is made because of the affiliates advertising efforts, they make a profit. This profit is a percentage of how much the product/service costs. The merchant takes most of the profit, but nonetheless, the affiliate is making money. Lastly, there is PPL (Pay Per Lead). This consists of a customer applying/registering to the merchant’s website through the affiliate’s page. Once again, the affiliate earns a portion of what the merchant made.

Many people see affiliate marketing as something easy, but once they attempt, they realize it is much harder than it looks. Think of it like this; how often do you buy something from the internet from some random webpage? Making money via affiliate marketing is hard, but if you master it, you’re on the road to big bucks. Many webmasters with high traffic websites use affiliates to make extra money (they do not have to do much other than sit back and let the money roll in).

Often times, merchants must be very careful with who they accept into their affiliate program. If a merchant accepts someone into their program, who uses bad or “illegal” methods to make sales or profit, the merchants reputation is at risk. For this reason, many affiliate programs take quite a bit of work to get into. You must have a good website, whom is reviewed by staff of the affiliate marketing program (some popular ones being Click Bank, Amazon, etc..).

For those thinking of joining an affiliate program, do so wisely. There are scammers out there, and there is the possibility of you working for a merchant who will refuse to pay you once you have had made sales. At this point, it will be hard to do anything. Who are you going to go to? The internet police? No, exactly as I thought. There will not be much you can do about it, so like I said, proceed with caution. Do not let this scare you though. There are many reviews on the web about different affiliate programs, so you can do your research before jumping in.

Affiliate marketing is a great way to make money, but does take lots of time and patience. Do not expect to join an affiliate program and watch the money roll in over night. This is a perception that many people have, and it is NOT true.

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Added: Wednesday, March 4, 2009

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