Sunday, October 10, 2010

Affiliate Program Business Basics

By; Darewin Amio Ocampo

Affiliate Program Business Introduction

A website is the flag that signifies the company it belongs to. In the past only the well established and highly profitable companies have their own websites. But nowadays, thanks to the continuous evolution of the Internet, setting up a website has become so easy anyone can do actually do it. The fastest and easiest way of building a website is by using an online website builder that has ready-made templates and other webpage elements you can choose from to construct your very own unique website design. These sites will also be the ones to provide your sites URL for you. The downside to using these site builders is that most of them attach advertisements on webpages that are made with them, and their greatest advantage is the ability to design a website and get it online in less than an hour.

Design only grabs the attention of human readers, but before people can marvel at the beauty and greatness of your sites appearance, they must first be able to find it. And for people to find your site, the best and fastest way is that they find it in the results page of the major search engines. And one of the best ways you can get good rankings on the trusted search engines is through search engine optimization or SEO. SEO however can prove to be complex and hard to do especially to those who have never even heard of it before. A good alternative to SEO in getting your website seen is engaging in an affiliate program. Such action allows you to profit from your content-driven website's traffic as well as make sales with the same website.
Affiliate Program Business Definition

An affiliate program sometimes also called associate program in layman's terms is a system of arrangements in which an online website known as a merchant website pays affiliate websites commissions to send traffic to it. The affiliate websites post links to divert the traffic they receive to the merchant site. They are then paid depending on the affiliate agreement. The commissions may be based on the number of visitors the affiliate site sends to the merchant site, the number of people the affiliate site sends to the merchant site and clicks at least one of the product advertisements, or the number of visitors directed to the merchant site by the affiliate site and actually makes a purchase. The framework of the agreement is that the merchant pays according to the agreement the associate whenever his affiliate site brings site traffic or money to the merchant website. The recruitment of affiliates is not only a great way to sell products over the internet but it is also a great marketing strategy as it provides the merchant website a unique competitive advantage. Networking can be said to be one of the best and most effective ways to get your site famous online.


There are at least three parties in an affiliate program transaction:

1. The Customer

2. The Affiliate Site

3. The Merchant Site
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