Affiliate Program Marketing is actually a relatively simple marketing model. Basically, someone agrees to promote the seller's product or service in return for a commission from each sale made as a result of the promotion.
The popularity of Affiliate Marketing Programs and the reason that it is so popular with so many people starting to try and make money online is that you don't need a product to sell. You can choose from thousands of products to be promoted and get a commission for every sale you make.
In addition, for those who are not accustomed to creating a website, you do not need to deal with the payment process and all the necessary security issues that make it. You can use affiliate marketing tracking software to track all your sales, visitors, etc.
In general, there are three parties involved:
- "Traders" who have products to sell
- "Affiliate Network" that manages interactions between Merchants and Affiliates
- "Affiliates" who promote Merchants products through marketing programs
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Of course, there is the 4th person who actually buys the product ("Buyer").
You will most likely be in the Affiliate category that will decide what products to promote and what programs will be marketed through this product.
Traders are people or organizations that have products to sell. They will offer affiliate programs directly through their website and/or will join the Affiliate Network and let them deal with affiliate programs.
Affiliate Network Companies manage the entire marketing process of affiliate programs. They register Traders and agree with them which products they want to promote and what commissions will be given for these products.
Affiliates (sometimes called partners) are people who promote merchants products through a kind of program. In most cases, the programs used to promote products are websites even though there are other programs such as pay per click advertising.