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What is Affiliate Marketing?

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A popular method of promoting web businesses is affiliate marketing.  An affiliate marketer is rewarded for every visitor, subscriber and/or customer provided through his efforts. It is a modern variation of the practice of paying finder's-fees for the introduction of new clients to a business. Compensation may be made based on a certain value for each visit (Pay per click), registrant (Pay per lead), or a commission for each customer or sale (Pay per Sale), or any combination.
 
From the merchant's viewpoint, the best thing about affiliate marketing is that no payment is due to an affiliate until he or she gets results.   Some e-commerce vendors use third party services provided by intermediaries to track traffic or sales that are referred from affiliates and some e-commerce sites run their own affiliate programs. Many businesses owe much of their growth and success to this marketing technique.
 
In its early days many internet users held negative opinions of affiliate marketing due to the tendency of affiliates to use spam to promote the programs in which they were enrolled. As affiliate marketing has matured many affiliate merchants have refined their terms and conditions to prohibit affiliates from spamming.

Today, affiliate marketing is the single fastest growth industry on the Internet. It’s also true that affiliate marketing is one of the fastest and most creative ways to make money and have a career on the Internet.

It is always subject to change but currently the most active sectors for affiliate marketing are the adult, gambling and retail sectors. Expected to experience the greatest growth in affiliate marketing are the mobile phone, finance and travel sectors. Not far behind and gaining fast are the entertainment (particularly gaming) and internet-related services (particularly broadband) sectors. Several of the affiliate solution providers expect to see increased interest from B2B marketers and advertisers in using affiliate marketing as part of their mix.


What is Affiliate Marketing?

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