There are a lot of questions floating around about how affiliate marketing works, what to do and what not to do when it comes to setting up a business. With so much uncertainty surrounding the personal and business aspects of affiliate marketing. In this post, we will answer the most frequently asked questions about affiliate marketing.
1. What is affiliate marketing?
Affiliate marketing is a way to earn money by promoting the products and services of other people and companies. You don’t need to create your own product or service, just promote existing ones. That’s why it’s so easy to get started with affiliate marketing – you can even start with no budget at all!
2. What is an affiliate program?
An affiliate program is a package of information you create for your product, which is then made available to potential publishers. The program will usually include details about the product and its retail value, commission levels, and promotional materials. Many affiliate programs are managed through an affiliate network such as ShareASale, which acts as a platform to connect publishers and advertisers, but it is also possible to offer your program directly.
3. What is an affiliate network and how do affiliate networks make money?
Affiliate networks connect publishers with advertisers. Affiliate networks make money by charging fees to merchants who advertise with them; these merchants are known as advertisers. The percentage of each sale paid by the advertiser is negotiated between the merchant and the affiliate network.
4. What is the difference between affiliate marketing and dropshipping?
Dropshipping is a sales method that allows you to manage an online store without having to stock products. You advertise the products as if they were yours, but when someone places an order, you create a duplicate order with the distributor at a reduced price. The distributor handles the mailing and packaging on your behalf. Since affiliate marketing is referral-based and this type of direct shipping requires no investment in inventory when a customer buys through the affiliate link, no money is exchanged.
5. Can affiliate marketing and performance marketing be considered the same thing?
Performance marketing is a marketing method that pays for performance, such as when a sale is made or an ad is clicked. This can include methods such as PPC (pay-per-click) or display advertising. Affiliate marketing is a form of performance marketing where affiliates are paid commissions based on performance when they click on your affiliate link and make a purchase or take an action.
6. Is it possible to promote affiliate offers on mobile devices?
Smartphones are essentially miniature computers, so publishers can display the same websites and offers that are available on a PC. But mobile devices also offer specific tools that are not available on computers and can be used to good effect by publishers. Publishers can optimize their ads for mobile device users by making them easily accessible to this audience. Publishers can also make good use of text and instant messaging to promote their offerings. Since the mobile market is expected to account for 80% of traffic in the future, publishers that do not promote on mobile devices are missing out on a huge opportunity.
7. Where do I find qualified publishers?
The best way to find affiliate publishers is on reputable networks such as ShareASale Cj (Commission Junction), Awin, and Impact radius. These networks have a strict application process and compliance checks, which means that all affiliates are trustworthy.
8. What is an affiliate disclosure statement?
An affiliate disclosure statement discloses to the reader that there may be affiliate links on a website, for which a commission may be paid to the publisher if visitors follow these links and make purchases.
9. Does social media activity play a role in affiliate marketing?
Publishers promote their programs through a variety of means, including blogs, websites, email marketing, and pay-per-click ads. Social media has a large interactive audience, making this platform a good source of potential traffic.
10. What is a super affiliate?
A super affiliate is an affiliate partner that consistently generates a large majority of the sales of any program it promotes, compared to other affiliate partners participating in that program. Affiliates make a lot of money with affiliate marketing Pat Flynn made over $50 000 in 2013 with affiliate marketing.
11. How do we track publisher sales activity?
Publishers can be identified by their publisher ID, which is used in tracking cookies to determine which publishers generate sales. The activity is then viewed within a network dashboard.
12. Could we set up an affiliate program in several countries?
Because the Internet is so widespread, affiliate programs can be promoted in any country. Affiliate strategies that are set up internationally must be adapted to the language of the target country.
13. How can affiliate marketing help my business?
Affiliate marketing can help you grow your business in the following ways:
- It saves you time and money on marketing, allowing you to focus on other aspects of your business.
- You gain access to friendly vendors who are eager to help you succeed.
- It also helps you promote your products by sharing links and banners with a new audience.
- It offers a high ROI (return on investment) and is cost-effective.
14. How do I find quality publishers?
One of the best ways to work with qualified affiliates is to hire an affiliate marketing agency that works with all networks. Affiliates are carefully selected and go through a rigorous application process to be included in the network.
15. How can we promote affiliate links?
Affiliate marketing is usually associated with websites, but there are other ways to promote your affiliate links, including:
- A website or blog
- Through email marketing and newsletter
- Social media, such as Facebook, Instagram, or Twitter.
- Leave a comment on blogs or forums.
- Write an e-book or other digital product.
16. Do you have to pay to join an affiliate program?
To build your affiliate marketing business, you don’t have to invest money at the beginning. You can sign up for free with any affiliate network and start promoting your brands right away.
17. What is a commission rate?
Commission rates are usually based on a percentage of the total sale and, in some cases, may also be a flat fee for each transaction. The rates are set by the merchant.
Who manages your affiliate program?
Some merchants run their affiliate programs in-house, while others choose to outsource management to a network or outside agency.
18. What is a cookie?
Cookies are small pieces of data that work with web browsers to store information such as user preferences, login or registration data, and shopping cart contents. When someone clicks on your affiliate link, a cookie is placed on the user’s computer or mobile device. That cookie is used to remember the link or ad the visitor clicked on. Even if the user leaves your site and returns a week later to make a purchase, you will still get credit for the sale and receive a commission, depending on how long the site’s cookies last.
19. How long do cookies last?
The merchant determines the duration of a cookie, also known as its “cookie lifetime”. The most common duration for an affiliate program is 30 days. If someone clicks on your affiliate link, you will be paid a commission if they purchase within 30 days of the click.
Most new affiliates are eager to start their affiliate marketing business. Unfortunately, there is a lot of bad information out there that can turn inexperienced affiliates off. Hopefully, the answer to your question will clarify how affiliate marketing works and the pitfalls you can avoid. The most important thing to keep in mind is that success in affiliate marketing takes some time. Don’t be discouraged if you are not making sales or making money right away. It takes most new affiliates months to earn a full-time income.