Transcript Affiliate Marketing

Affiliate Marketing
What is Affiliate Marketing
• Type of performance-based marketing that
rewards affiliates for generating leads or sales.
• The most common forms of affiliate marketing are
through search engine, social media, and email
advertising.
• The main form of marketing employed online.
Online Marketing
• Affiliate marketing gives companies the ability to target
customers better than ever before.
• In the early days of the Internet, people were bombarded
with popups and spam that did not relate to the user or the
content being browsed.
• Affiliate marketing has allowed networks like Facebook and
Google to use user demographic information, interests, etc.
to better personalize advertising.
Search Engines
• (Google, Bing, Yahoo) are the primary utilizers of
affiliate marketing.
• They have very high traffic volume and the power
to influence which websites users visit based on
search ranking.
• Search Engine Optimization (SEO) is how
companies try to improve their ranking results.
Search Engine Optimization (SEO)
•
Paid SEO, like Google AdWords, are advertisements displayed
and highlighted at the top and side bars of search results.
AdWords uses a cost per click (CPC) referral revenue model.
•
Depending on how competitive the keyword(s), Adwords
advertisements can range from $.55 to over $55 per click.
(AdWords advertisements equates for 97% of Google’s
annual revenue, $33 billion in 2010).
•
Organic SEO, however, is when companies do not pay search
engines but instead write keyword articles and generate
backlinks to their website.
Making Money From Blogging
• Blogs with high traffic volume often place links within their
text and advertisements on their pages that relate to the
content of the blog.
• Google AdSense allows bloggers to sell advertising space to
people using AdWords because they recognize the
correlation between the two.
• AdSense allows the blogger to really push the product they
are writing about and make a commission when the user
clicks on the link or advertisement.
Affiliate Models
• There are many different types of affiliate
marketing models, which can be simple or
complicated.
• A simple example would be an affiliate directory as
there are only the directory and the affiliate.
• An example of a complex affiliate model is an
affiliate network, which is typically comprised of 2-3
parties, all sharing a commission for every sale.
Affiliate Network
• Within an affiliate network there is a network administrator,
affiliate coordinator, and affiliate.
• An example is how DecoNetwork (network administrator)
provides Brilliant Promoting (affiliate coordinator) with an
affiliate network to give away free ecommerce websites to
affiliate clients like DECA chapters and students.
• Affiliate marketing programs are great for young business
professionals who want to test the waters of
entrepreneurship as there is typically little to no risk.