How Affiliate Marketing Works?

Do you want to start affiliate marketing? But firstly, you want some research over it that what is affiliate marketing? and how does affiliate marketing works?

You may be reading this article because you might be wondering to earn a decent amount of money using affiliate marketing.

So, this article is going to cover everything that a beginner need to know about affiliate marketing that-

What is affiliate marketing?

How affiliate marketing works (Step by Step)?

A case study for you.

How to start affiliate marketing?

And how affiliate marketers makes billions of dollars as their revenue so that you also can start your successful journey with affiliate marketing.

So, keep reading this article.

What is Affiliate Marketing?

To get a better understanding of How affiliate marketing works? first, you need to understand what is affiliate marketing? So here is the definition-

In Affiliate Marketing the affiliate marketers (You) sell the products or services of someone else (Some brands, individual).

For it the affiliate marketers get paid by the owner of that service or products which the affiliate marketers are selling.

To sell products or services as an affiliate marketer first, you have to join any of the affiliate program or programs (Amazon, JvZoo, etc).

Later on, you can pick the best product or products to promote according to your wish.

You will be provided an unique affiliate link of that product from the affiliate network so that the number of sales you generate can be tracked.

If people buy through your affiliate link during the cookie period you simply get commission for the sale.

As much as sales are being done with your link as much as commission you get.

So, How Affiliate Marketing Works?

Well, brands or individuals create products or services so that they can generate tones of money by selling these products or services.

For it they run different kinds of campaigns like email marketing, Paid advertising etc, so that they can reach more people to sell their products or services.

Along with it brands provides affiliate programs for those individuals who are willing to sell their products.

If the individuals (Affiliate Marekters) can help brands to sell their products or services brands pay them money.

The money which the affiliate marketer gets on a single sale is known as the commission of the sale.

As much as sales the affiliate marketer makes as much as commission he/she gets.

The commission rate completely depends on the affiliate network or the brand that how much they are willing to pay for one sale.

In most of the cases commission rates starts from 10℅ and it goes up to 50% and in some cases it goes up to 70% of the actual price of the service or product.

How Affiliate Marketers make Tons of Money- (Case Study)

In this section I am going to share with you a case study to give you the brief understanding of how affiliate marketing works and how affiliate marketers make money?

A few days before I got an email from Neil Patel.

Where he asked his fans whether he should share his monthly income report which he generates from affiliate marketing to motivate his followers.

Here is the the complete email-

So, according to this email, he generated $11,608.92 in just 7 days, that is almost $1500 a day with this article.

Now read this carefully here my research starts-

He wrote an in-depth article on web hosting providers, his targated keyword was “best web hosting“. You can check that article here.

And he earned $11608.92 (round figure $11600 or $11610).

Now let’s do the math.

If he was earning at least $50 for selling a single web hosting then he sold 11600/50=232 web hosting in 7 days.

Now according to ahref, that article generates about 20000 monthly visitors.

Now on 20000 visitors, he sold 232 web hosting. That means he sold one web hosting on 86-100 (20000/232=86.20) visitors.

So, this can be estimated that Neil got 2-3% of conversion rate from that visitors.

If you multiply it by 4 (the one fourth part of month) then he got about 8-12% of conversion rate in 7 days (estimated).

I hope now you got more clear vision about affiliate marketing that how it works?

Learnings from case study (FaQ)

So, I have shared with you a case study on how affiliate marketers earn money.

Now, here are some FaQ’s which are normally asked by newbie.

How to Start Affiliate Marketing?

You can start doing affiliate marketing today with ease.

First you have to join any of the affiliate programs provided by brands like amazon.

After joining the affiliate program or programs, you need to choose the best product or products to promote.

Now its time to promote those products that you have choosen.

Now here you can promote those products in two ways.

1. With a Website or Blog.
2. Without a Website or blog.

You can check out the dozens of articles on affiliate marketing here.

Best Affiliate Marketing Programs That are Free To Join

• Amazon Associates-

It is one of the largest affiliate marketing programs of the world.

Amazon associates program helps bloggers, content creators to monetize their traffic with affiliate marketing.

Amazon has millions of products so, if you join amazon associates, you can pick the best products to promote according to your wish.

To start your journey with affiliate marketing Amazon is the best option for you to start.

Want to know more about Amazon associates click here.

• JV-Zoo–

It is one of the best affiliate programs you can find tones of products to promote at higher commission.

Jv Zoo has 0.8+ Million active affiliates. No doubt it is the biggest affiliate network ever.

• Click Bank

It is the most famous affiliate network, you can find tens of thousands of products to promote to earn tons of money.

Click bank has paid over $4.2 Billion to it’s affiliates.

• ShareASale

It is also the best and free affiliate network to join which provides the best products to promote.

ShareASale is the biggest and most popular affiliate network which anyone can join to earn decent money.

Traffic is Important

Traffic or the right kind of traffic is the base of successful affiliate marketing.

Think of one who is doing affiliate marketing but he/she does not get traffic on his content then how will he sell products to earn money?

You can get traffic in two ways it is either paid or free traffic.

To get succeed in affiliate marketing you should have atleast some traffic to your affiliate links.

Conclusion

Joining and finding best affiliate programs is very easy and doing affiliate marketing is also not very hard.

You can earn decent money with the help of affiliate marketing.

You can start your journey with Amazon associates.

In this article, I tried my best to illustrate all of the things about how affiliate marketing works?

Along with it, I shared a case study with you so that you can get a more clear vision of how affiliate marketing works?

If you still feel any doubt, feel free to ask me in the comment section.