Ways to Make Money with Affiliate Marketing

Ways to Make Money with Affiliate Marketing

When you first get into affiliate marketing, you’ll encounter a strange kind of alphabet soup with lots of P’s and C’s. These are different methods for making money with affiliate marketing. There are lots of pay structures, but first let’s consider the most basic and most popular.

The basic model of all affiliate marketing is called Cost per Action (CPA). This means that you get paid whenever the site visitor performs a certain action. You could get paid per sale, lead, click, sign-up, download or anything else that they do. The visitor does it, and you get paid.

Pay Per Sale

Pay per Sale is the easiest to understand. This is where you refer your visitor to the merchant’s site, and when they purchase the product, you get a commission. This system uses cookies or some other unique identifiers to show that the conversion came from your site.

How much can you get? This depends totally on the affiliate program. It can be either a percentage or a flat rate. For example, if you start an affiliate blog to promote an astrology website and you get a 20% commission, this means that if you refer someone to the site and they spend $30 on psychic phone calls, you get $6.

A flat rate would mean that you get, for example, $5 for anyone who goes to the site and buys something no matter how large the purchase was.

Pay Per Click – PPC

Pay per Click means that you get paid when the visitor clicks the link and simply visits the other site. In other words, you get paid for all of the leads you send them. It doesn’t matter if the visitor buys anything or not.

PPC is a fixed rate that’s usually somewhere between $0.01 and $0.03 per click. One of the advantages of PPC is that it’s much easier to get your visitor to click on a link than to buy something. You don’t have to do so much pre-selling.

Pay Per Call

There’s a relatively new affiliate marketing plan called Pay per Call. With Pay per Call, customers are tracked in the same way, but instead of clicking on a link, they make a phone call. Instead of getting your own affiliate link that’s encoded with your ID, you get a special phone number. Calls to this number (which is usually toll-free) are routed to the advertisers’ phone line.

Know Your Visitors…

All of these pay structures have their pros and cons. Some are better for certain markets than others. But with all of them, the most important key to affiliate marketing success is to know your audience. Why are they coming to your site? What can you offer them that would help them solve their problems? As long as you keep this in mind, you can make any CPA campaign work for you.

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