Affiliate Marketing is where companies such as Nike, Apple, Tesco etc partner with affiliates (websites, social media influencers or individuals) to promote products and services in exchange for a small % of a sale or fixed fee (commission). Sales are tracked via an exclusive URL or unique discount code which ensures those that purchase are tracked back to you (the affiliate).
Is it a good way of earning money?
It certainly can be but often you won’t be taken seriously (at least with the big boys) until you have a decent-sized following so it can be a long process before you’re earning money.
How would I use affiliate marketing to make money?
You can promote sales, products or services to your followers/users, when they sign up/purchase etc you would earn the commission.
Having a niche and promoting brands in a similar niche is likely the easiest way of earning money, for instance, if you had a blog discussing art you could promote a brand that sells art materials to your followers, if/when they click and went through to buy they would earn you a commission.
What commission am I likely to get?
That massively depends on the company you’re promoting but on average 1-6% is a normal commission structure (excluding delivery and VAT), this can go much higher though depending on the niche. Other sites will pay a fixed £ per lead/sale again this value will vary dramatically from a few pence to tens of pounds depending on the niche and level of commitment from the purchaser.
What are the different types of affiliate accounts? Which should I sign up to?
Direct affiliate approach:
The benefits: You retain full control and all of the commission
The negatives: You have to approach each company you’re interested in working with
Affiliate networks approach:
The benefits: You retain a decent chunk of control, most of the commission and less work involved than a direct partnership
The negatives: You have to manually request each advertisers approval and the affiliate network takes a commission
- Awin (one of the biggest and best in the UK)
- Paid On Results
Auto affiliate networks approach:
The benefits: You get immediate access to a wide selection of approved advertisers
The negatives: You will share the profits on any sales you help generate with the company (often 30%) + the affiliate network
How long do payments normally take to arrive?
Normally 2-3 months after a sale has been made.
Is Google Ads not a better option?
It certainly is a more hands-off approach but often the ad revenue levels are much lower with Google Ads.