Affiliate marketing is the process of publishing advertisements on your website. Trough these advertisements you can make a nice passive income from the Internet. There are even people that make thousands of dollars each month just by referring their visitors to web shops. For every sold article the affiliate received a commission. How high this commission is differs from which products you are trying to ‘sell’ to visitors.

With affiliate marketing there are a few terms you should understand. With affiliate marketing you are getting paid per lead, or per sale or CPL (cost per lead) and CPS (cost per sale). The enormous advantage for an advertiser is that he or she only pays when a sale or lead is generated. Sales are generally someone purchasing a product, a lead usually is someone signing up for a newsletter or filling in a survey.

This also displays the disadvantage for the publisher of the advertisements. If a visitor does not purchase the first time he or she visits the advertiser, the only thing stuck in the mind of the visitor is the web shop of the advertiser, not the affiliate! You do not have the ability to bind your customers. There are some exceptions of communities which do an excellent job of binding their visitors, but in general most traffic on an affiliate website are first time visitors.

On the other hand, it is quite nice that you won’t have to bind with your customers. You do not have to provide any service or solve problems that a product created. Product broke down? Too bad, go to where you bought it, not to the guy who referred you to it.

The best part of being an affiliate is that you can focus on a specific niche and bang yourself straight to the top of search engine results. Web shops tend to give a short description of a product without optimizing every single product. The main job you will have is optimizing your website and driving targeted traffic to your website. You can even use Adwords for buying traffic on your designated keywords!

Another nice option is to deep link to every product of a web shop, and create a carbon copy of the web shop. Some affiliate networks even have the option to use datafeeds of an advertiser. With this data feed you can load every product in the date feed straight to your website. Nice software which can be used for this would be Affilistore, but you can even use WordPress in combination with a few plug-ins.

Affiliate marketing is a nice way to make an extra buck, but it’s hard to make tons of money because the conversion rate is simply too low. Starting your own web shop would make you more BUT it’s a lot more of a hassle. With affiliate marketing you can basically ‘sell’ any product you can think of. Phones, clothing, hosting services; you name it, affiliate networks got it.

Picking an affiliate network might seem like a mind bending decision to make, though it’s fairly easy. Just Google for ‘affiliate network’, see which networks pop-up and pick one. If you don’t like the network or if you can’t find the advertisers matching your target audience, pick another one! You might even do your fellow affiliates a favour and join trough their referral link.

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