What is Affiliate Marketing?
Affiliate marketing is also the name of the industry where a number of different types of companies and individuals are performing this form of Internet marketing, including affiliate networks, affiliate management companies, and in-house affiliate managers, specialized third party vendors, and various types of affiliates/publishers who promote the products and services of their partners.
Types of Affiliate Marketing
Pay Per Click (PPC) PPC – this is the most popular type among of all affiliate marketing for affiliates with small websites. And this is the easiest way to earn money. In this type of affiliate marketing, the merchant will pay his affiliate whenever a visitor is referred to his site.
Pay Per Performance (PPP) PPP – this is the most popular affiliate marketing for the merchant. This is also the type of affiliate marketing that is too lucrative. In this type of affiliate program, the merchant only pays the affiliate when ever his referral translates into an action.
Pay-per-performance affiliate marketing – this are classified into two types, the PPS or pay per sales and the PPL or the pay per lead.
- PPS – this is the type of affiliate marketing that the merchant will pay the affiliate a certain fee whenever the visitors he has referred to the merchant’s site will actually buys something from the merchant’s site.
- PPL – this is a slight variation of the PPS type and this is often used by insurance and finance companies and other companies who are rely on leads for their company to grow. This is the type of affiliate marketing that the affiliate is paid whenever the visitors that he referred to the merchants sites fills up an application form or any other similar that is related to the company’s business.
Single-Tier, Two-Tier, and Multi-Tier Affiliate Marketing - this was based on the different levels or tiers in the affiliate network in which the payment are made.
- Single-tier affiliate marketing program – this are the type of affiliate marketing that the affiliates are only paid based on the direct sales or traffic he has referred to the merchant.
- Two-tier affiliate marketing programs – this is not only paid for the direct traffic or sales that he refers to the merchant’s site. But, in every traffic or sales referred by various other affiliates who have joined the program will also pay.
- Multi-tier affiliate marketing – this was works in the same way, but the affiliates gets additional commission for a wider number of affiliates in a different tiers in the network of affiliate.
