Day 1: Intro To Affiliate Marketing

Hi there,

In this 14-day crash course, you’ll learn everything you need to know to be successful as an affiliate marketer. But let’s start with the basics…

What is Affiliate Marketing?

The true definition of affiliate marketing is a web-based marketing practice in which a business rewards one or more affiliates for each visitor or customer brought about by the affiliate’s marketing efforts.

So what does this all mean? Basically, an advertiser (aka a company) is trying to get more customers, sales, or leads, and is willing to pay a publisher money to help achieve these goals.

The publisher is known as an “affiliate” to the merchant as they are acting like an agent or outside consultant to the advertiser.

The payout rates from the advertiser or merchant to the affiliate can range vastly. The rate paid out to the affiliate is also dependent upon the way the affiliate promotes the merchant’s offer. There are 3 main advertising models:

1.) Cost Per Action (CPA) Model: An advertising model which requires the customer to fill out information or purchase something to earn credit. Some CPA campaigns only require a simple email address submit, while others require an actual purchase from the customer.

Rates vary depending on the offer being promoted and requirements for the lead. Some payouts are a standard amount (example: $3.00 for an email submit) or some are a percentage of the sale price (ex: 15% of the sale). When a percentage payout is assigned to an offer, the advertising model is typically referred to as a Cost Per Sale (CPS) campaign.

The CPA model is the most popular way of advertising on the internet today, and has proven to be the most lucrative way of marketing for affiliates.

2.) Cost Per Click (CPC) Model: The merchant pays the affiliate every time a customer clicks a banner or link placed on the affiliate’s website. Google Adsense, among other CPC ad networks, have introduced the contextual ad concept. Contextual advertising scans the coding of the page in which the banner appears on and displays the most relevant ad considering the content of the page.

Payout ranges for CPC campaigns range from $0.01-$3.00 on average, but some have been in the $10-$20 range.

Some CPC networks pay a standard rate (ex: a consistent $0.20 a click) while contextual CPC ads (such as Google) pay varies depending on the content of your site and the maximum price the merchant is willing to pay per click.

3.) Cost Per Mille (CPM) Model: The merchants pays the affiliate for every 1,000 impressions their banner advertisement receives on the affiliate’s site.

Payouts are dependent on a variety of factors including location of the impression, the average click through ratio (CTR) of the affiliate, and unique visits.

Payouts typically range from $0.01 to $1.00 CPM. Popups, popunders, and interstitial ads typically are much more lucrative ranging from $1.00 to $15.00 CPM.

Most CPM campaigns count all impressions regardless if the impressions are unique, but there are some networks that only count unique impressions.

Often, publishers who want to be affiliates for merchants can create these partnerships through ad networks. An ad network is an essential middle man who brokers merchant ads to the publishers.

Merchants pay the ad networks for exposure of their ads while the ad networks pay the publishers for their marketing efforts. Some popular ad networks include: Google (CPC), NeverBlueAds (CPA) and Casale Media (CPM).

In day 2, we’ll take a look at SEO.

Till next time,

The Bevo Media Exchange Team
Bevo Media

P.S. Sign up for Bevo Ads platform to start making money today

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