Affiliate marketing can be a very lucrative career, but not sure which route to take? Read on for some simple explanations to help you decide.

As you may already know, affiliate marketing is an extremely simple yet very powerful concept and is known as the fastest and easiest way to earn on the net. Basically, the concept is to use the Internet to sell products or services of other companies on commission. The affiliate receives the merchant’s commission for each sale made.

There are many classified types of affiliate marketing, but they all fall into two basic categories of pay-for-performance and pay-per-click.

Pay for performance

Under this umbrella, pay for performance (PPP) will mean that the affiliate receives a commission when a visitor from their own affiliate ID performs the required action. This can be an actual sale where commission rates generally range from 10-50% with more popular products tending to give less commission than less popular ones, or a generated lead where the affiliate is paid. for each person who is registered. on the merchant’s website. This can be quite attractive to an affiliate as they can earn 15-20% on subsequent sales made.

Pay per click

Also known as PPC, pay-per-click affiliate marketing is considered extremely popular and also the easiest method of making money and is ideal for those who have small websites. The marketer simply places banners and text ads that have already been created by the merchant on his own website. The merchant pays a commission to the affiliate for each click made on these banners or advertisements. There is no need to make a next sale, therefore the payouts tend to be very small (usually less than $ 1) compared to the other options mentioned in this article.

Affiliate marketing can also be classified in terms of tier and residual income marketing; one, two levels and several levels.

Residual Income Marketing

Once a buyer has purchased their first purchase, made through an affiliate marketer’s link ID, the affiliate marketer not only receives a commission on the sale, but will also earn commissions based on the buyer’s future sales. The methods to achieve this are really easy to understand; A cookie is generated from the unique affiliate ID and placed on the buyer’s computer at the time of the first purchase. Normally, this cookie will expire after three months, but it can stay longer. When a buyer then returns to the merchant to make another purchase, their computer is instantly checked to see if an affiliate cookie is registered and, if found, the affiliate will receive a credit for the sale. It is important to note that cookies are in no way harmful to the computer and do not contain any personal information that can be viewed or used by a third party.

Single level

The affiliate receives the commission for the traffic or the sale on the merchant’s website depending on whether it is a PPC or PPP program.

Two levels

The affiliate will receive the commission for each action taken by the consumer and will earn commissions based on the performance of other affiliates personally recruited by him.

Multiple level

The affiliate is paid the same way you would in a two tier program, but the tiers can be much deeper with commissions on sales made by your recruited affiliates and also by your recruited affiliates. The depth of the level can be unlimited.