Affilates marketing, how it works?

THE CONCEPT OF AFFILIATE MARKETING

Your Key to Financial Independence

In the past posts, we said that affiliate marketing is a good example of passive income; you
are paid for simply selling a product or service for a company using your resources and
methods. Using the power of the Internet, affiliate marketing is High Performance
commission sales.

Affiliate marketing has come a long way since its inception. You can get a better
understanding of how it has evolved and where it is going at the website of Wikipedia at

http://en.wikipedia.org/wiki/Affiliate_marketing.

What makes affiliate marketing so attractive is that is what is NOT required of you. You do
not have to worry about product manufacturing or providing customer service, designing
marketing material or ship the products for the company.

Your sole responsibility is to promote the product or service of the advertiser and deliver
visitors to their website.
You agree to abide by the terms the company has set for their marketing representatives
to perform these services and in exchange for these services you will be paid a certain fee
for each action they want people to take.

To help you accomplish this goal, and to make sure your account is credited correctly,
affiliate marketing program providers provide you with a unique identification code that is
embedded in all of the marketing material that they provide you to promote their product or
service. Many affiliate marketing programs allow you to select a “username” that becomes
the method that identifies your account, for example:
“http://www.affiliatemarketing.com/your-name.asp”

While most affiliate marketing programs use graphic banners or contextual ads embedded
with your referral id, there are some companies that provide complete websites to their
affiliates. In this case, your referral id becomes the name of the sub-domain of their
company site, for example:
“http://www.your-name.affiliatemarketing.com”
“http://www.affiliatemarketing.com/your-name/index.html”

Each graphic image or line of text that is supplied to you to promote the advertisers
product or service is embedded with your referral id. When the link is clicked, it transports your visitor to the website of the company you are representing.