Many in the business world miss out on substantial ways to marketing their business. The internet has opened up a whole host of opportunities for marketing and advertising, and if you aren’t aware of what they are, or how they work, you can miss out on not only clientele, but potential profits for your business to grow and expand. Not only do a considerable amount of business owners not know what affiliate marketing is, they are completely unaware of how useful they are to gain new customers and exponential profits.
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What is affiliate marketing?
Affiliate marketing is a marketing principle, routed in the internet, that is completely performance based. It involves four different players to operate, whereby, the success of each is reliant upon the others. A business is at the top of the tier and is responsible for rewarding those customers or visitors who bring potential clients or customers to the business. The affiliate is ultimately responsible for bringing their own clients to the table on their own. The four major components of affiliate marketing are:
• The merchant – this is the original retailer or brand
• The network – it is the arena that offers the affiliate program, incentives and payments
• The publisher – the affiliate
• The customer – the purchaser
Since the marketing schema and plan has been so successful, other tiers have been added such as affiliate management agencies, specialty vendors and super-affiliates who reach a specific goal or incentive.
How do you make this marketing model work for you?
With so many new ways to gain exposure for your company, why would you want to start up a new protocol which involves such a complex structure? It seems to the person from the outside that it involves a whole lot of energy and communication which begs the question about whether it is worth it at all. There are so many other avenues that you can target on the internet, why not just stick with them? Marketing and advertising incentives on the internet allow you to use social media sites web 2.0, and other mediums to gain exposure to your business, what does affiliate marketing add that they don’t?
Affiliate marketing adds an additional layer of motivation. There is a high motivation by the middle man, or the affiliate to tout your products. There is a difference between tooting your own horn, and having a credible source outside of you do so. It means so much more when the great things about your company are coming from others besides you and those who are directly related to you. When you have affiliates, you also gain all the people and businesses who believe in the affiliate’s reputation. It is like a personal referral, which always works greater than just a paid advertising. The incentive that you give to the publisher and the affiliate make them push harder for you, make the sales for you, and take most of the pressure for new sales away not only from you, but from your pocketbook.
One of the few marketing and advertising schemes that have no cost for use. Sure you have to pay an affiliate when they bring in new business, but it isn’t like most sales personnel where you have to pay them outright and then an incentive if they do what they are supposed to. In affiliate marketing no money ever comes from your company or business unless you are making money. It is a win win situation. You won’t mind putting the money out to the affiliates when they are the ones who are gaining you money. For every one affiliate you are paying, you can get many different leads and sales contract or interest. If that isn’t money well spent, I don’t know what is.
In the old age of simple marketing, you paid someone to insert some positive information about your business or product. In affiliate marketing, another business is giving you credentials and they are touting your business for you without any money being exchanged unless they have proven that they are able to expand and grow your business. It is like expanding your salesforce without having to hire, or to pay anyone. You just sit back and allow them to do your dirty work for you. Incentives are a powerful thing, especially in affiliate marketing. It is important to attack marketing and advertising from all angles, an important one being the affiliate protocol system.
Today’s post is written by Martha, she is a blogger and writer. She enjoys sharing her knowledge with others and collaborates with assignment writing service. We hope you will like this post.