Affiliate Marketing
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Pioneered by Amazon.com in 1996, Affiliate Marketing is a system of revenue sharing between one site (the Affiliate) which features an ad or content designed to drive traffic to another site (the Merchant).
Because it works so well, it has become the industry's dominant method of Online Marketing and a major player in the Online Industry.
The Super Affiliate Handbook is an excellent source of information offering the tools and the know-how needed to run a Successful Affiliate Marketing Program. There are basically 4 different kinds of Affiliate Programs:
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1- Pay-Per-Impression
2- Pay-Per-Click
3- Pay-Per-Lead
4- Pay-Per-Sale |
However, the industry has shifted almost entirely to the Pay-Per-Lead and Pay-Per-Sale models, also known as Performance Marketing. The paid commission is usually a percentage of the referred sales or a flat dollar amount for the lead.
You might want to have more control over your Affiliate Program and avoid the Network fees by running your program in-house.
The technology has already been developed by iDevDirect, offering an affordable self-managed Affiliate Software Program you can integrate into your website.
And finally, you may want to consider Outsourcing of your Program Management (OPM). There are today a number of quality service companies available that are specialized in this field.
Important Affiliate Marketing Abbreviations
CPA - Cost per Action
CPC - Cost per Click
CPL - Cost per Lead
CPM - Cost per (Mil) Impression (1000 Impressions)
CPS - Cost per Sale
CR - Conversion Rate
CTR - Click through rate
DRM - Dynamic Rich Media (type of ad technology)
EPC - Earnings per Click/Earnings per 100 Clicks
OPM - Outsourced (Affiliate) Program Management
PPC - Pay per Click
ROI - Return on Investment
SE - Search Engines
SEM - Search Engine Marketing
SEO - Search Engine Optimization
SERP - Search Engine Result Page
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