The ABC’s of Affiliate Marketing

It was in the 1990s when the World Wide Web took the world by storm! Not only did the internet balloon into a massive e-commerce technology and information machine, but companies initiated the use of internet for marketing purposes. With the passage of time and innovative marketing techniques, emerged the concept of affiliate marketing. So what actually is affiliate marketing and how does it work? Let’s find out:

What is Affiliate Marketing?

Affiliate marketing is a relationship between three parties; advertiser, publisher and, consumer. Advertiser, in the field of affiliate marketing, is the main party offering products or services. For an advertiser, it is necessary that they are ready to pay for their products to be published and marketed.

A publisher in this concept can be an individual or a company. A publisher is responsible to promote the advertiser’s products and services in exchange for a commission. Publishers have their own website where they promote the advertiser’s products. Advertisers provide the publishers with promotional tools and items, such as banners, links, or text ads, which the publishers place on their website for promoting the advertiser’s services.

The third and last component of this affiliate marketing cycle is the consumer. The consumer is the main target for whom the advertiser is promoting its products. The consumer then, after viewing the ad or the content, takes the final decision, clicks on the website, or moves on to another website.

How does Affiliate Marketing Work?

Technology can be daunting to grasp and with malwares and viruses it can be dangerous as well. However, affiliate marketing operates with a harmless technology – cookies! A cookie is responsible for storing information like user preferences, login information, and contents of shopping cart. Have you ever noticed that when you search for travel deals, suddenly banners and ads related to travel deals start appearing? That’s an indication that you have been cookied (it won’t hurt you, don’t worry!).

In the context of affiliate marketing, cookies store the links and websites a customer visits and with this information, they also suggest other similar types of websites which ultimately force a purchase!

So, does affiliate marketing seem interesting to you? If that’s a yes, then there’s a perfect place where you can start – LeadDyno! The best affiliate marketing program will help you track all affiliate marketing related activities! Click here to learn more about this amazing software.