Affiliate Marketing can simply be defined as the online (internet) version of Marketing (sales) jobs.
Do you still remember the days when a sales guy working for a certain company (usually the cosmetic companies) would come and knock on your door and try to sell you a varieties of cosmetic products? The “older” generation reading this will quickly remember. When the sales guy succeed in persuading you to buy a product, his boss – (the cosmetic company that the sales guy is marketing their products) – would pay the sales guy say, a 10% commission for that sale.
That is affiliate marketing in the real world. I guess you could also call it commission marketing because that’s what it is: somebody gets paid commission for marketing and selling somebody else’s product. The company is the affiliate merchant, or vendor, and the sales guy is the affiliate as he gets commission from a sale.
Just like a marketing agent moves from place to place (door to door) trying to sell or persuade people to buy the products of a particular company in order to earn a commission from the product sales, an affiliate marketer (internet marketer) is somebody (blogger or webmaster) who markets or advertise the products or services of an eCommerce website (on his blog or website) in order to earn a commission from the product sales or service subscriptions.
Now imagine the same marketing scenario on the internet: the same cosmetic company has an online shop. An internet marketer (an online sales guy) has a website (a cosmetic blog) that educates people about cosmetics and where to buy good cosmetic products. The internet marketer puts an affiliate link on his cosmetic blog that, when his blog readers click on it, they will go to the online shop of the cosmetic company to buy cosmetics and if they buy via his affiliate link, the cosmetic company will pay the internet marketer a commission of the sales for referring the customer to their online shop.
So affiliate marketing is just the internet version of marketing (sales jobs) in the real world. Thats why some people prefer to call it e-marketing or virtual marketing. So you can either become a marketer for a brick and mortar store in the real world ( and move from place to place with a heavy backpack full of products to sell and earn commissions) OR you can create a blog and become an internet marketer for the eCommerce websites (like Amazon, Ebay, Walmatt etc) and earn commissions on their product sales and service subscriptions online (without you leaving your house). Which one do you choose? ofcourse Internet Marketing! (which makes it possible for you to work from home and make passive income online).
Summarily, Affiliate marketing (also known as Internet marketing) is the act of marketing the products and services of an ecommerce website for a commission.
The main reason why popular ecommerce websites like Amazon, Ebay, Alibaba and other ecommerce websites are able to sell millions of products per hour and make billions of dollars per month, is due to the efforts of their numerous hard working Affiliates (bloggers and webmasters) who refer (link) millions of potential customers to their online stores in order to earn commissions on product sales and service subscriptions.
Daren Rowse (the blogger at problogger.com) is one of those hard working affiliates. Daren Rowse has earned more than $800,000 from the Amazon affiliate marketing program by simply referring potential customers to Amazon.com and earning commission on product sales.
Amazon Affiliate marketers (internet marketers) do a great job of converting internet users with little or no intension of spending money online, in to potential customers or clients for Amazon (the eCommerce websites).
Affiliates also help internet users to get a bang for their buck by providing very honest reviews to the products and services of the ecommerce websites. For example whenever you type keywords like best video camera, top 10 cheap laptops,where to buy quality dog food etc, there,s a high probability of landing on the website or blog of an Affiliate; who will tell you what to buy, where to buy, when to buy and how to buy online.
How Does Amazon Affiliate Marketing Works
In affiliate marketing (Amazon internet marketing), if an affiliate marketer (simply called an affiliate) refer (link) a potential customer or client to the Amazon website and the customer goes to the Amazon website and buys any product(s) or subscribe to a service on Amazon, the Amazon affiliate who referred that customer or client to the Amazon website will earn a commission for that sale or subscription.
For example if you refer somebody who wants to buy a Vlogging Camera to Amazon and the person goes to the Amazon website and buys the recommended Vlogging Camera or any camera (product), you will earn a commission for that sale. Let’s take for example that the customer bought a $4000 camera from Amazon, you ( the affiliate who referred that customer to Amazon) will get an 8% commission of $4000 (the price of the product bought by the customer). So $320 will be your commission (share of the sale) for referring that customer to Amazon. If the customer added multiple products to his cart,you will earn a commission for each of the product bought by the customer. Let’s take for example that you referred a customer to Amazon who end up buying 20 products from Amazon, you (the affiliate who referred the customer to Amazon), will end a commission for each of the 20 items bought by the customer.
It should be noted that an Affiliate will only earn a commission if a referred customer ends up buying something from the Amazon website. Affiliates only earn commissions from product sales or service subscriptions. For example you link (send) 1000 people to the amazon website and non of them buys an item from Amazon, you won,t earn a commission.
Please take note that an Amazon affiliate doesn’t have any business with product delivery (shipping) and customer service (technical support). The shipping (delivery) of any item bought by a customer on Amazon as well as customer service (technical support) will be handled by Amazon. As an affiliate, your job is to get people to purchase items and Amazon will take care of the rest. For example if you link a customer (through your Amazon affiliate link) to the Amazon website, who bought a Samsung galaxy 7 phone which later got bad, Amazon will handle the refund and technical support. Simply put, the main duty of an Affiliate (an internet marketer) is just to refer potential customers or clients to an ecommerce website and earn commissions from their purchases or subscriptions.
Somebody may likely want to ask; how does Amazon knows which affiliate referred a particular customer to their website?
Amazon provides a unique affiliate URL or link (also called referral link) to each of their affiliates and its through those affiliate links that their affiliates refer (send) potential customers to their website.
Those affiliate URL (links) contain tracking codes (often called affiliate codes) that is used by Amazon to know the affiliate who referred a particular customer to their website so as to assign commission to the right affiliate.
After most bloggers have written a blog post about the importance of a particular Amazon product, they will often provide links to recommended products on Amazon. The provided links are called Amazon affiliate links. If you click on an affiliate link, goes to Amazon and buys something or subscribe to a service (web hosting service), the affiliate (whose affiliate link was clicked) earns a commission for the sale or subscription. So Amazon affiliates (bloggers) link to products on Amazon (through their affiliate links) to earn a commission on the recommended product or any product bought by the referred customer on Amazon .
Ever wondered why most bloggers will insist you click on a particular link in order to go to Amazon, Ebay, Hostgator and other eCommerce websites to buy a particular product or subscribe to a particular service (often webhosting service)?. It’s because if you go to an eCommerce website through their affiliate links and buy something or subscribe to a service, they will earn a commission. Their affiliate links are their money making links.
Some bloggers will even tell you the reason why they want you to click on their affiliate links. For example they will tell you that if you click on their affiliate links and buy the recommended products or subscribe to webhosting, they will be able to earn a small commission for the sale or subscription at no extra cost to you.You can find this info at their Affiliate disclaimer page.
Like i mentioned earlier, the Affiliate links contain unique tracking codes which enables Amazon to know which of their affiliate referred a particular customer to their website. Amazon has thousands of affiliates and so without affiliate links they won’t be able to know which affiliate referred a customer to their website.
How to become an Internet Marketer.
Nowadays almost all the eCommerce websites run an affiliate program and to become an internet marketer (an affiliate) for any of the eCommerce websites, you just need to sign up to their affiliate program, get your personal affiliate link (affiliate URL) and start marketing their products and services for a commission of the sales or subscriptions. I,m going to show how to join (sign up to the) amazon affiliate marketing program.
Amazon Affiliates Requirements.
Amazon has requirements that would be Amazon affiliates must meet if they want to become one of their affiliates and start earning commissions on their product sales and service subscription. These are the requirements;
- To become an Amazon affiliate marketer, you will need a blog or a website (known as an amazon affiliate website/blog ). You need a platform to promote the products and services offered by Amazon so as send potential customers to the Amazon website and earn commission from their purchase or subcription . If you don,t already have a blog, read this —>> how to start a blog and create your Amazon affiliate website or blog within 5 minutes. It will cost you just $50 to create a blog/a product review website. So if you have $50 to invest in this internet marketing business, you can become an Amazon Affiliate today and start making money online.
- After you have set up your blog, you will also need to publish quality and relevant content on your blog or website before you cam apply to join the Amazon affiliate program.
Let’s assume you already have an Amazon Affiliate website or blog with quality articles on it, follow the simple procedure below to sign up to the Amazon affiliates program and start making money from the Amazon affiliate program.
How to sign up to the Amazon Affiliate Program
- Click here to go to the Amazon Associate (affiliate) Website. After arriving at the Amazon Associate website. Click on the yellow Join Now for Free Button as shown in the screenshot below.
2. After clicking on the Amazon Affiliate signup button, you will arrive at the Amazon Affiliate sign up page as shown in the screenshot below.
3. After arriving at the Amazon Affiliate sign up page, click on the CREATE YOUR AMAZON ACCOUNT BUTTON and you arrive at this sign up form. Fill the form with the required information and click on the yellow CREATE YOUR AMAZON ACCOUNT BUTTON.
After clicking on the button you will come to the second phase of the Account sign process.
This second phase is sub-divided in to 4 steps.
Step 1. At step You just need to fill the payee name and house.
Step 2. Enter the web address of the affiliate blog or website you wish to advertise Amazon products and services on.
After you have gone through all the four steps, your Amazon affiliate account will be ready. You can start advertising amazon products and services on your website and earning commissions.