What is affiliate marketing?
Affiliate marketing is a partner program in which website operators advertise the products or services of other companies on their own website. For example, companies place banners that link to a specific product or their own shop and pay the website operator a performance-related commission, depending on the type of remuneration agreed. This can be based on gained clicks, contacts or orders. With the help of a special tracking link, companies can track exactly which campaign was generated by which partner and reward them accordingly.
Benefits of Affiliate Marketing
Affiliate marketing offers benefits for both parties. With the integrated advertising on other websites, companies benefit from a branding effect, reach more potential customers and can thus increase their sales. This type of performance marketing also represents a rather low financial risk for companies, since they only pay the partner if it is successful. The partner has the advantage that he can offer his website as advertising space and earn money at the same time.
What role do affiliate networks play?
So-called affiliate networks act as intermediaries between companies and partners. They not only bring them together, but also provide both parties with the necessary technical infrastructure. This means that campaign codes and tracking links can be easily managed centrally. The network also takes care of determining and transferring the commission.