Three Affiliate Marketing Definition Examples
Affiliate marketing Definition is a relatively new term in the world of internet marketing that has not yet had an established set of rules or accepted processes to define and designate it. It has become a catchall title for any variety of activities in which an affiliate is rewarded for driving traffic to a merchant’s website. The merchant is usually a web site developer, content provider, an e-commerce merchant or an online store owner. Affiliates refer to publishers, bloggers, forum owners, or anybody else who participates in affiliate programs.
The affiliate marketing definition can be very broad. For example, the program may require a set amount from every sale of a specific type of product. The method of compensation may be fixed or non-fixed, with the affiliates earning on sales of a single product at the end of each month or year. In addition to earning commission, affiliates are rewarded with banner credit on websites with special advertising discounts, or with other types of credits, or with both, as is the case with some programs.
Most people familiar with affiliate marketing understand that in this definition commissions are earned. However, some programs provide payment in other ways, as well. Commonly, merchants offer a certain number of discount cards or certificates after a customer makes a purchase. Sometimes, they provide compensation through the various reward systems such as cash, gift certificates, entries into draws, and so on. Others still award affiliate marketers with amounts credited to their affiliate accounts for a variety of reasons.
Some affiliate marketing definition descriptions are extremely vague and even inaccurate. For instance, the Better Business Bureau (BBB) has a website devoted to informing the public about any business which has a record of customer complaint. This includes complaints filed by current or past customers, or even just potential customers. While any business can have a customer complaint, and even those with a poor or non-existent customer satisfaction rating, the BBB specifically monitors complaints made against such businesses to ensure that they maintain high standards of conduct, as well as customer satisfaction.
As you can see, the scope of this article is much larger than a basic affiliate marketing definition. Nevertheless, we have covered a few of the most important components of this growing industry. Hopefully, this overview has caused you to question whether affiliate marketing is right for your business. If so, now you need to determine whether you can afford to pay a monthly or per-transaction fee to affiliates, or whether you should pay for them to perform the functions that you would rather perform yourself.
Some affiliates work on a commission-only basis, meaning that they get a single set of profits from each sale that comes from their publishers. Other publishers offer the services of a middleman- a retailer who acts as an affiliate marketer and acts as a liaison between the publisher and its affiliates. In either case, the retailer gets his own commission. While it is more expensive to become an affiliate, these commissions are generally worth it for publishers who do not wish to deal with the complications inherent in dealing with vendors.
One other aspect of the affiliate marketing definition I would like to point out relates to the program management and support that the merchant offers to its affiliates. Program management refers to the methods by which the merchant plans the timing of sales and the number of sales that occur in a month. While the method is often beyond the control of the affiliate, the benefits of high levels of activity will translate into large commissions for the affiliate.
The third affiliate marketing definition I would like to point out relates to social media. Social media, including blog networks, Facebook and Twitter, have dramatically changed the landscape of affiliate marketing. While the primary focus of these social media sites was built around the promotion of merchants, today they play host to a wide variety of discussion forums and discussion groups, as well as a massive amount of content and marketing methods. As a result, many affiliates have found that their best success comes through participating and communicating on one of these platforms. In fact, the majority of successful affiliates I know participate on at least one social media platform on a daily basis.