Affiliate marketing is a fantastic way for bloggers to monetize their blogs. There are lots of options regarding affiliate marketing, including different tactics and strategies to make it work for you. Let’s learn about the basics.
What is Affiliate Marketing?
It's a marketing arrangement between an online retailer that pays a commission or fee to an external website for traffic or sales generated from its referrals. Affiliate marketing is largely regarded as one of the quickest and most effective ways to make money online. Simply put, it is a partnership between an individual and a business where the individual creates content, like blog posts or videos, to market the business's products or services. This drives an audience towards the product or service for sale and, in turn, the individual, or the affiliate marketer, earns a commission. While some would consider it a 'side hustle', many are making $75K+ per year - successful enough to make it their primary means of income
Affiliate marketers determine the best traffic methods that work for them. So, a blogger looking to get involved would probably become an affiliate through an affiliate network and would either place a button, banner or link within their blog posts, which will get their reader’s attention and drive them to the product being marketed. The more social media channels and platforms on the web used, the better the product will be marketed.
A Brief History
It's a typical misnomer that Amazon created affiliate marketing. William J. Tobin started the affiliate marketing industry in 1989, he was the world's first web advertiser and marketer. Tobin also founded PC Flowers and Gifts. He theorized the concept of affiliate marketing and began his program on the Prodigy Network. The model of affiliate marketing that he created included paying the Prodigy Network a commission on each deal or sale that was being made. By 1993, Tobin’s model on affiliate marketing was producing more than $6 million yearly for Prodigy. This achievement urged Tobin to bring forward his idea to the world in 1996, but, it wasn’t given any status until 2000.
Side by side in 1994, a BuyWeb Program was launched by CDNOW, which revolved around the idea of music websites reviewing different albums of musicians released and then linking them to CDNOW so visitors can head on over to their site and buy the album if they liked it.
Amazon's associates program started in 1996, after CDNOW's venture. However, Amazon was the first one to grab global attention to the whole idea of affiliate marketing. The model they introduced was similar to the other ones and involved a paid commission to the marketer, which was a certain percentage of the price of the product sold. Since then, this became the general model followed by all affiliate marketers.
Affiliate marketing is one of the most basic action plans in which nearly everybody who has earned cash online is involved.
At its core, affiliate marketing is where you team up with a business or an organization to sell their products or services. You are paid a commission each time you succeed in closing a deal or making a sale.
Some businesses offer rebills, which means the affiliate marketer will be getting paid for quite some time even after the sale has been made. Expectedly, these products are a little harder to sell, but with the right kind of approach and expertise, they can be rewarding. So while affiliate marketing may have become common over time, not everyone can easily make it big in this line of work. However, keeping yourself well informed right off the bat may give you an upper hand.