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Wealthifier – Internet, Affiliate, Email and Information Marketing…Teaching You How to Make Money Online » Money-Making Basics » Basics of Affiliate Marketing(part 1)

Basics of Affiliate Marketing(part 1)

One of the key answers to the question, “how can I make money” is to sell products or promote other people’s products…

The term “Affiliate Marketing” is an advertising technique involving one company referring business to another company for the purpose of promoting a product.

There are typically two roles involved in affiliate marketing:

  1. A product or service creator
  2. A product or service promoter (affiliate)

The creator provides a product or service and offers a payout to those who promote it.  Affiliates are those that sign up to promote it.  Both people make money in the transactions.

There are several types of payouts for commissions that are offered…

The most dominant is cost-per-sale.(CPS)  The trigger for earning commission is an actual sale of the product or service.  It’s not uncommon to see 50% commissions offered with this method.  It’s by far the most popular because it is the most accurate.

Others include:

  • Cost-per-click,(CPC) where the creator pays for each time a prospective customer clicks on one of their ads on an affiliate’s site.
  • Cost-per-action,(CPA) which is a generic term where the creator pays the affiliate each time a customer performs a certain action, such as signing up for a newsletter, buying the product/service or visiting their sales page.


If you look to the right in the sidebar, you’ll see some offers that I promote that help me make money online…

I earn a commission each time someone clicks on the ad, goes to the site and purchases the product or service offered.  These are examples of CPS.

It’s not difficult at all to either be a product creator or an affiliate for a product.

There are several sites that help link up creators with affiliates to sell their products.  Most are CPS.

Here are a couple of the most popular.  As always, I make use of the services I promote and earn money on.  Those I don’t know anything about, I generally link to, but don’t earn a commission on.

Affiliate marketing is usually much more lucrative than typical pay-per-click(PPC) ads.

For example, you usually earn a few cents each time some clicks on a PPC ad you promote, but you could get $50 on a $100 product you promote each time you send a customer that buys it.

This post is getting a little long, so I’ll continue this topic in a future post…

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