affiliate marketing

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  • Slide 1
  • Affiliate Marketing
  • Slide 2
  • Online advertising - Affiliate Marketing 1 Affiliate marketing (sometimes called lead generation) occurs when advertisers organize third parties to generate potential customers for them. Third-party affiliates receive payment based on sales generated through their promotion.:22
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  • Data feed - CSV datafeed and affiliate marketing 1 CSV datafeeds are mostly being used within the affiliate marketing. Affiliate or so called publisher websites load the CSV file to load product information from online webshops. This way it is a lot easier to load thousands of product to the website. CSV isn't like XML and isn't as semantic but it does have a good basic structure. This file format can easily be created and loaded with any spreadsheet program like Excel.
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  • Affiliate marketing 1 'Affiliate marketing' is a type of performance-based marketing in which a business rewards one or more Affiliate (commerce)|affiliates for each visitor or customer brought by the affiliate's own marketing efforts.
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  • Affiliate marketing 1 Affiliate marketing overlaps with other Internet marketing methods to some degree, because affiliates often use regular advertising methods. Those methods include Organic search|organic search engine optimization (SEO), paid search engine marketing (PPC - Pay Per Click), e-mail marketing, content marketing and in some sense display advertising. On the other hand, affiliates sometimes use less orthodox techniques, such as publishing reviews of products or services offered by a partner.
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  • Affiliate marketing 1 Affiliate marketing is commonly confused with referral marketing, as both forms of marketing use third parties to drive sales to the retailer. However, both are distinct forms of marketing and the main difference between them is that affiliate marketing relies purely on financial motivations to drive sales while referral marketing relies on trust and personal relationships to drive sales.
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  • Affiliate marketing 1 Affiliate marketing is frequently overlooked by advertisers.Prussakov, Evgenii (2007). A Practical Guide to Affiliate Marketing (pp.16- 17), 2007. ISBN 0-9791927-0-6. While search engines, e-mail, and Web syndication|website syndication capture much of the attention of online retailers, affiliate marketing carries a much lower profile. Still, affiliates continue to play a significant role in E-tailer|e-retailers' marketing strategy|marketing strategies.
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  • Affiliate marketing - Origin 1 The concept of revenue sharingpaying Commission (remuneration)|commission for referred businesspredates affiliate marketing and the Internet. The translation of the revenue share principles to mainstream electronic commerce|e- commerce happened in November 1994, almost four years after the origination of the World Wide Web.
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  • Affiliate marketing - Origin 1 The concept of affiliate marketing on the Internet was conceived of, put into practice and patented by William J
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  • Affiliate marketing - Origin 1 Patent number 7,505,913 on Mar 17, 2009 for affiliate marketing and tracking.Business Wire, January 24, 2000 In July 1998 PC Flowers and Gifts merged with Fingerhut and Federated Department Stores.Business Wire, March 31, 1999
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  • Affiliate marketing - Origin 1 Amazon was not the first merchant to offer an affiliate program, but its program was the first to become widely known and serve as a model for subsequent programs.Frank Fiore and Shawn Collins, Successful Affiliate Marketing for Merchants, from pages 12, 13 and 14
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  • Affiliate marketing - Historic development 1 The estimates were 1.35billion in sales in 2005.October 2006, [ marketing-networks-buyers-guide/ Affiliate Marketing Networks Buyer's Guide (2006)], Page 6,, retrieved June 25, 2007 MarketingSherpa's research team estimated that, in 2006, affiliates worldwide earned US$6.5billion in bounty and commissions from a variety of sources in retail, personal finance, gaming and gambling, travel, Telecommunication|telecom, education, publishing, and forms of sales lead|lead generation other than contextual advertising programs.Anne Holland, publisher (January 11, 2006), [ Affiliate Summit 2006 Wrap-Up Report -- Commissions to Reach $6.5 Billion in 2006], MarketingSherpa, retrieved on May 17, 2007
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  • Affiliate marketing - Historic development 1 Also several of the affiliate solution providers expect to see increased interest from business-to-business marketers and advertisers in using affiliate marketing as part of their mix.February 2007, [http://www.e- stats-compendium/ Internet Statistics Compendium 2007], Pages 149150, e- Consultancy
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  • Affiliate marketing - Web 2.0 1 Websites and services based on Web 2.0 conceptsblogging and Virtual community|interactive online communities, for examplehave impacted the affiliate marketing world as well. The new media allowed merchants to become closer to their affiliates and improved the communication between them.
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  • Affiliate marketing - Web 2.0 1 Web 2.0 platforms have also opened affiliate marketing channels to personal bloggers, writers, and independent website owners. Regardless of web traffic, size, or business age, programs through eBay, Google, LinkShare, Clickbank and|Amazon allow publishers at all levels of web traffic to place contextual ads in blog posts.
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  • Affiliate marketing - Diminished compensation methods 1 Within more mature markets, less than one percent of traditional affiliate marketing programs today use cost per click and cost per mille. However, these compensation methods are used heavily in display advertising and paid search.
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  • Affiliate marketing - Diminished compensation methods 1 Cost per click was more common in the early days of affiliate marketing, but has diminished in use over time due to click fraud issues very similar to the click fraud issues modern search engines are facing today. Contextual advertising programs are not considered in the statistic pertaining to diminished use of cost per click, as it is uncertain if contextual advertising can be considered affiliate marketing.
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  • Affiliate marketing - Diminished compensation methods 1 While these models have diminished in mature e-commerce and online advertising markets they are still prevalent in some more nascent industries. China is one example where Affiliate Marketing does not overtly resemble the same model in the West. With many affiliates being paid a flat Cost Per Day with some networks offering Cost Per Click or CPM.
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  • Affiliate marketing - Performance/Affiliate marketing 1 (2006), [ ssion_details.htm Sales Commission],, retrieved June 25, 2007 Affiliates are not employed by the advertiser whose products or services they promote, but the compensation models applied to affiliate marketing are very similar to the ones used for people in the advertisers' internal sales department.
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  • Affiliate marketing - Performance/Affiliate marketing 1 The phrase, Affiliates are an extended sales force for your business, which is often used to explain affiliate marketing, is not completely accurate
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  • Affiliate marketing - Pros and cons 1 Merchants favor affiliate marketing because in most cases it uses a pay for performance model, meaning that the merchant does not incur a marketing expense unless results are accrued (excluding any initial setup cost).Tom Taulli (9 November 2005), [ / -ecommerce-internet- cx_tt_1109straightup.html Creating A Virtual Sales Force], Busine