Saturday, January 28, 2012

Affiliate Networks Your Gateway to Profits

Affiliate networks, what are they and why do we need them?

An affiliate network allows sellers to easily find affiliate marketers and affiliate marketers to find sellers. It is free to join an affiliate network and they make life a lot easier for affiliate marketers.

The advantage of using an Affiliate Network is the ease with which you can find sellers selling products within your niche. They also make available great tools for tracking and analyzing your marketing campaigns.

Four of the most popular Affiliate networks are Google, Clickbank, Commission Junction, and LinkShare. There are many more, but these are the top four. Of these Commission Junction is my favourite, but if you have been following the get rich quick schemes, ClickBank is the most popular.

Perhaps it is the 70% commissions that draw affiliate marketers to ClickBank. The products are ebooks, and self-help guides. The others, like Commission Junction, are more traditional affiliate marketing networks in that they are associated with more recognizable sellers such as Warner Bros., M&Ms, Expedia, FOX and NBC. 

After signing up, you must join affiliate programs with sellers. Many sellers must approve your application to be their affiliate before you can use their links and be paid commissions. 

Commissions are usually between 4-12% with the average of 8% of all sales generated as a result of buyers clicking your links. Commissions are paid to your account with the network. You can transfer the money from your account or in some cases they will mail you a check.

After being approved for a seller's program you get to choose between graphical and text ads. Once you choose, you can select to “Get Code” to get the HTML to insert onto your website. The “Code” will consist of three primary items. 1) the Link using an anchor tag with your affiliate id, 2) the ad, graphic image or text, and 3) a tracking image with a size of 0x0.

The tracking image is used to record the number of impressions which is another way of saying how many times the link is viewed. The link itself will record the number of clicks. The seller will record the sales that were generated from links with your affiliate id. 

The number of clicks divided by the number of impressions is the Click-Through-Rate (CTR).

You may need to experiment with ads, ad types, and ad placement (where on the page) to get the best CTR. Even then clicks do not guarantee a sale. That being said, a commission-able sale cannot happen without a click.

  For more information here are my favorite networks:

Commission Junction     http://www.cj.com        
Link Share                    http://www.linkshare.com        
Google                          http://www.google.com/ads/affiliatenetwork/
Pepperjam                     http://www.pepperjamnetwork.com
ClickBank                     http://www.ClickBank.com

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