Affiliate Marketing

What is Affiliate Marketing?

Affiliate marketing is a revenue-sharing marketing model that helps individuals (affiliates) earn a commission by promoting and driving traffic to a company’s products or services. It’s a win-win situation, where the affiliate earns a percentage of each sale made through their unique referral link, and the company gains increased exposure and potential customers.

Types of Affiliate Marketing

Affiliate marketing encompasses various models, each offering unique approaches to generate revenue. These include:

  • Pay-Per-Sale (PPS): The most common type of affiliate marketing, PPS rewards affiliates with a commission for each successful sale made through their referral link.
  • Pay-Per-Click (PPC): In this model, affiliates earn a commission for each click generated on their referral link, regardless of whether a sale is made or not.
  • Pay-Per-Lead (PPL): Affiliates earn a commission for each lead they generate, such as filling out a form or subscribing to a newsletter.
  • Pay-Per-Call (PPC): Commonly used in industries like insurance or finance, affiliates earn a commission when their referral leads to a phone call from a potential customer.
  • Two-Tier: This model encourages affiliates to recruit other affiliates, earning a commission not only from their own sales but also from the sales generated by their recruits.

Fun Facts About Affiliate Marketing:

  1. Over 80% of brands actively invest in affiliate marketing resources to increase visibility and impressions. 
  2. 15% of digital media revenue comes from affiliate marketing methods.
  3. Campaign budgets for affiliate marketing are projected to increase 10%+ over the next few years. 

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