What Is Affiliate Marketing And Why It Is Profitable?

Are you interested in a work at home business? Do you want to become an internet entrepreneur working at home? If you do, then, understanding affiliate marketing may help you become a successful and profitable internet entrepreneur. To help you in your quest for success and profit, this report will provide you with all the knowledge you will need to succeed.

What is Affiliate Marketing?

Affiliate Marketing is the online marketing term used to mean profit sharing or revenue sharing. It works by publishing an advertising banner or link in the affiliate’s website. The affiliate website will earn from every sales generated by the product manufacturer through the advertising banner or link.

There are various forms of Affiliate Marketing program and the revenue generated from each of these programs varies as well.

The affiliate looks like this: http://affiliateid.merchantid.hop.clickbank.net

Anyway, Clickbank.com is the most popular website for affiliate marketers. Why? Because most affiliate marketers get a product to promote from Clickbank.com’s marketplace.

If the merchant gives some marketing materials to promote their site then use it. Sometimes they will give you an article, blog content, banners, autoresponder emails, complete website, videos and press release content. So if you see a banner or an ecover image then find out what is the location of that image. By right clicking the image you will see the correct location of the image (banner or ecover image).

When you know the correct location of the image then copy it. Example, if the image location is http://themerchantdomain.com/images/ecover.gif then if you want to use that and make it clickable then this is what you need :

<a href=” http://affiliateid.merchantid.hop.clickbank.net”><img src=”http://themerchantdomain.com/images/ecover.gif” border=”0”></a>

Don’t forget to change the affiliateid into your own affiliate id from Clickbank.com when you signup and change the merchantid into the Clickbank id of the merchant.

Be sure to cloak or hide your affiliate link so no one can hijack your affiliate commissions. You can use the service of http://www.tinyurl.com for this.

If you don’t have an affiliate id then you need to signup with Clickbank.com.

Types of Affiliate Programs

• PayPerClick, the affiliate marketer receives revenue when a customer clicks the link leading to the manufacturer’s website.

• PayPerSale, the affiliate marketer receives revenue when a customer purchase a product advertised in the affiliate marketer’s website.

• PayPerLead, this is where affiliate marketer receives a commission on every lead generated by the advertisement on his website.

PayPerClick Affiliate Program

PayPerClick is an affiliate program that is easy to get revenue from. You will get a commission from all clickthroughs from your website leading to the manufacturer’s website. The commission from the impressions made manufacturer’s website may be quite small, on an average you will only .25% to 1% commission from the clickthroughs. This program constitutes only 1% of Affiliate Program profitability.

My favorite PayPerClick affiliate program is Google Adsense of Google.com. I use this only to my sites that have large traffic but the product is possibly saturated and most of the information can be get for free. Imagine if you have 1,000 visitors and the ads was located in the center of your website then if you get at least 50 clicks on it and the niche you researched paid at least $0.5 per click then you can have $25 per day per site. So, you need to research a keyword that pays at least a dollar to get at least $50 a day per site. So if you earn $50/per site per day then that means you can earn $1500 per month per site. Did you know that some people pay more than $50 per click. It was crazy but it’s true.

Be smart in researching the keywords you use in your site because Google displays ads depend on your topic. The topic with high pay per click values are technology, surgery, financial related and health problems like cancer.

PayPerSale Affiliate Program

PayPerSale is the most profitable affiliate program. Eighty percent of affiliate earnings come from PayPerSale Affiliate Programs. Customers clicking from the affiliate website needs to make a purchase before the affiliate marketer can get compensation. In most cases, pay ranges from 20% to 75% commission in every sale. It is therefore important that your website visitor do not only click but actually purchases a product from the manufacturer’s portfolio.

This one is my favorite. Imagine if the product you choose is $97 and the commission is 75% then you could earn $72.75 per sale and if you have one sale per day then you could earn $2,182.5. Just select a good product. Check the merchant’s website if it is a professional site, if the site is designed well and if the site sale letter can convert your visitor into a buyer.

PayPerLead Affiliate Program

PayPerLead is another affiliate program. 10% of affiliate marketers use this method. Customers need to do a certain action before revenue may be given to the Affiliate Marketing. It is therefore necessary that you send targeted clients to the manufacturer’s website to get a good compensation from this Affiliate Program.

I like FriendFinder.Com for this program because every signup I could earn at least a dollar. If the member I sent is a woman then FriendFinder will pay me $2 and if I sent them a man then they will pay me a dollar per signup. You can get more payperlead programs at cj.com.

Here’s the information about FriendFinder, the date as I type this:

FriendFinder is the largest online dating personals site with 2,003,040 registered members and award-winning content. This site is targeted toward singles looking for love, romance, and even marriage. It’s an excellent revenue generating program for any website.

Get a flat $25.00 for every order, regardless of the purchase amount (starts at $19.95) or up to 100% of the membership fees (between $19.94 and $139.95 plus bonus) or $2.00 for every woman and $1.00 for each man who signs up for free!

To summarize, if you want to become a profitable affiliate marketer, you will need to ensure that you choose the most profitable Affiliate Marketing Program. You may benefit from joining other less profitable affiliate programs to find targeted customers.

Again, you cannot wait for profit to come in. If you want to become profitable, you will need to reach the niche that will surely buy the product you advertise in your website.

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