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What is affiliate marketing? – Making Money Online – MMO

In recent years, with the development of e-commerce, affiliate marketing is a popular concept. Many people who want to make money online focus on affiliate marketing. So what is affiliate marketing? How affiliate marketing brings money to people?

What is Affiliate Marketing?

Affiliate marketing is a form of MMO (making money online). You will advertise products from the other producers, then earn money from survey completion, clicking on product, orders, etc. which stem from your affiliate platforms.


Advertiser/Merchant: Provider of products and services who want to improve business efficiency.

Publisher: Owner of websites or social networking sites which can advertise the products provided by the Advertiser.

Affiliate Network: An intermediary to connect Publisher and Advertise. Affiliate network provides technical platforms such as banners, advertising links, etc. It also supervises and evaluates advertising effectiveness, resolves disputes, pays commissions to Publisher, etc.

End User: Customers who uses Advertiser’s products or services or other actions required by the Advertiser.

Commission Models – How affiliate marketing brings money to people

Advertisers will pay Publishers an amount of commission with agreed terms of commission models as below

  • Cost Per Click (CPC): Publishers receive commission when customers click on advertisement of product on publisher’s marketing websites.
  • Cost Per Thousand Impression (CPM): Publishers receive commission with every thousand impressions of advertising banners or links. This method is often used when providers want to make their product more popular.

>> Refer to automation software which can increase web traffic in order to get thousands impressions for advertisement

  • Cost Per Action (CPA): Advertisers pay commission when the customer performs a specific action such as purchasing a product, registering for a service, filling in information, etc. There are several types of CPA:
  • Cost Per Lead (CPL): Publishers receive commission for each potential customer. In this ustomers need to completes a registration form, regardless of whether they purchase the product or not. Advertisers send money for commission after receiving information from their potential customers.
  • Cost Per Qualified Lead (CPQL): Advertisers pay commission when they receive information from customers that meet the criteria with their own requirements.
  • Cost Per Install (CPI): Publishers receive commission for each installation of product (online application for mobile or desktop) from their advertising link on their website.
  • Cost Per Sales (CPS): Publishers receive commission bases on the certain percentage of sales from their affiliate platforms.
  • Cost Per Order (CPO): Publishers receive commission when customers successfully make order from the publisher’s marketing websites.

Why is affiliate marketing so popular?

In terms of Advertisers

  • They can make their brands more popular (increase brand visibilities)
  • Increase revenue as well as profit
  • Can research market with surveys
  • Diverse the marketing methods

In terms of Publishers

  • Can earn money with low cost: you work as online distributor only, you do not need to import, store, manage or ship products.
  • Can make money anywhere, anytime as you want: you need internet connections and a PC/ Laptop only.
  • You can get passive income when your affiliate websites have stable traffic.

How can we make money with affiliate marketing

First, you need to find out your niche. Ask yourself

  • Which topic that you are interested in?
  • Whether this topic can attracts visitors or not?
  • Are there many advertisers who are willing pay commission for publishers in this niche?

Next, you need to select the affiliate platform that you want to build. There are various channels such as Google, YouTube, Facebook, etc. You can work as a blogger who provide knowledge, reviews, etc. It will take time when you build your affiliate channels. You need to create interesting content to attract lots of visitors. Luckily, there are tools for you to save time in getting traffics.

>> Refer to the best marketing tools to do affiliate marketing on GoogleYouTubeFacebookInstagramRedditTwitter

Finally, you select the affiliate network to sign up, commission models and product that you want to promote.

Thank you for following this article, we hope it will be useful for you.

For more information, kindly contact us at Autobotsoft.com

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