Understand the basics of the term before moving on to the types of affiliate marketing. This online business model allows individuals to earn money by promoting third-party products to their target audience. Various businesses opt for this strategy to attract more customers. Affiliates are rewarded on a commission basis for driving the desired sales, traffic, or leads to the merchant website. Take the example of the Nike or Dell affiliate program to understand this term.
If you have been a part of affiliate marketing in the past. You can take it as a partnership between companies and content creators—think influencers, bloggers, podcasters, and review sites. This is a modern marketing strategy that is a WIN-WIN for creators and businesses. Are you curious about affiliate marketing and commission rates? Wondering if it’s worth your time and effort? Check this detailed article on affiliate marketing and its types to get going!
Understanding the concept of ‘Affiliate Marketing’
As discussed above, Affiliate marketing is a foolproof marketing model where business invites third-party publishers called ‘affiliates” to generate traffic on their website. Affiliates are required to get conversions by selling the company’s products and services with a commission percentage on every sale via their promotional link.
Here are some of the key features of affiliate marketing
- Quality Affiliates: Bloggers or even influencers are responsible for promoting a business’s products to their unique audience. They should create engaging content that provides people with knowledge about the brand’s offerings.
- Target Audience Identification: It’s important to understand who our ideal customers are. Businesses need to research their target market segment and identify those individuals with shared interests. They need to research thoroughly about the demographics, interests, behaviours, and preferences to select the right affiliate for promotion.
- Effective Commission Structure: The employees must be compensated fairly for their dedication and hard work. Similarly, businesses need to create a fair and effective commission structure for each sale or action that affiliates generate. You can either opt for a tiered compensation criterion that is based on performance levels. Recurring commissions are also one way to go for subscription-based services.
Passive and Profitable: Earning through affiliate marketing
Passive and Profitable: Earning through affiliate marketing
With a steady growth of affiliate marketing in India, valued at 96 million USD (7.1 billion INR). We can consider it an emerging way of earning money in free time or as a full-time business. It is also noted that Influential figures in the affiliate market can rake in an average of INR 2 lakhs monthly. However, it depends on their social media reach and fan following.
As we say– the numbers don’t lie. Top social media influencers earn between Rs. 80,000 and Rs. 1,00,000 per month from affiliate marketing partnerships with big brands. This is a passive income method— you don’t need to work to earn money constantly. Simply share the link on your preferred social media channels and drive conversions based on your audience’s engagement.
Additionally, it’s important to note that Commission percentages vary across programs For instance, the Amazon Associates program offers a 10% commission to its affiliates. Meanwhile, brands like Adidas provide a commission rate of up to 13%.
Types of Affiliate Marketing:
1. Unattached Affiliate Marketing
- Meaning: As the name suggests, this affiliate marketing model involves no personal connection between the third-party publishers and products. It means that affiliates have zero knowledge or expertise about the product they are marketing to their audience
- No Personal Involvement: This affiliate marketing does not serve the claim about its use because there is no attachment to the marketed product. In simple terms, there is no personal branding or recommendation involved in this marketing strategy.
- No Platform or Audience Needed: This affiliate marketing is mainly driven by paid advertising, and traffic is directed straight to the affiliate link. It eliminates the need for content marketing or building personal relationships with the audience.
- Fast Launching with focus on Conversion: This affiliate strategy can be quickly started as there is no need for content or brand building. The gal here is to drive conversions by optimizing ad performance.
2. Related Affiliate Marketing
- Meaning: As the term implies, related affiliate marketing centres around the endorsement of products or services by affiliates who share some form of connection with the offerings.
- Personal Involvement: This process works around the affiliate’s interest and the products and services they are marketing. The affiliate is required to have a substantial following or the capability to attract traffic. All this makes them a reliable source to promote products.
- Trusted Source: Businesses prefer this affiliate strategy because it involves a certain level of authority from the affiliate’s side. Content creators apply their expertise and knowledge to promote the offerings productively.
- Social Media Use: Affiliates use social media platforms like Twitter and Instagram to expand their reach with lead generation. They aim to maximise the impact by using links to your affiliate products in the posts.
3. Involved Affiliate Marketing:
- Definition: This affiliate marketing style involves a genuine bond between the affiliate and the endorsed product or service. These affiliates are users who draw content from personal experiences to vouch for their beliefs.
- Personal Recommendations: The products promoted by these influencers are tried and tested by them before promotion. This serves as a trusted marketing way because of the added touch of experience.
- Negative Image: This affiliate marketing can lead to a negative image of the content creator if there are any problems with the endorsed product or service. This compromised reputation can be a matter of concern in serious escalations.
How to Start Affiliate Marketing
- Go to MonetizeDeal’s website and register as an affiliate.
- Provide basic info: name, email, website (if any), promotion method, and traffic sources.
- Focus on a niche you understand or that has high demand.
- Health
- Finance
- E-commerce
- Apply for the desired niche and get approval from our team.
- Once approved for an offer, you’ll get a unique tracking link to get credit for every sale.
- Share the affiliate links with your network to start earning money.