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What
is Affiliate Marketing?
Affiliate Marketing is a system of advertising in
which site A agrees to feature text ads or graphic buttons from
site B, and site A gets a commision on any sales generated for site
B.
In layman's terms, a direct sales force. You are
an independent contractors to selling another person's products
for a percentage of the sales price.
Major Types of Affiliate Programs
- Pay Per Click
- Pay Per Sale
- Pay Per Lead
Pay Per Click:
This type of advertising was quite popular a few years
ago but with a few exceptions has basically vanished from the face
of the earth. Sure you can find some companies who will still pay
you by this method. Many search engines use this method to gain
more visitors to their site.
How does it work?
Usually this works off a banner or link system.
Just as it sounds, for each unique visitor the company receives
from the visitor clicking on your link, they will pay you a set
amount. Some pay upwards of a $1.00 while others may pay only $.04.
Although, this may not sound like much, when you have thousands
of people clicking on your links, you can acquire quite a large
commission check. The company is in jeopardy if their site does
not convert well ie, does not make any money from the actual visitor.
Pay Per Sale:
This is by far the most popular type of affiliate programs and the
one Africa Point is concentrating its efforts on. Basically, you
pay affiliates only when they produce a sale for you.
How does it work?
This system is rather simple. The affiliate utilizes
banners or text links with which they can advertise from their website
or online newsletters. Unlike the previous example, when a person
clicks on the affiliate's link the affiliate earns nothing. Only
when a person has purchased a product or a service will the affiliate
earn a commission.
You can have one tier or two tier affiliate programs.
One tier pays only the referring affiliate for the sale. A two tier
system pays the referring affiliate and also the affiliate who has
referred the referring affiliate to you. Africa Point affiliate
program is based on the one tier system.
Pay Per Impression
In this type of system you get paid for
simply displaying a banner on your website. Each time the banner
loads, you get paid.
How does it work?
You host a banner at your site or sites, and the
company will pay for every person who simply views it. That means,
you get paid just for a pair of eyes looking at the banner. The
person doesnt need to buy anything or even click through the
link.
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