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Affiliate Marketing

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Subject- Marketing
Topic- Affiliate Marketing
University Name- Harvard University

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Affiliate Marketing
Affiliate Marketing is a popular method of promoting web business in which an affiliate is
rewarded for every visitor, subscriber and/or customer provided through his efforts. It is a
modern variation of the practice of paying finder's-fees for the introduction of new clients to a
business. Compensation may be made based on a certain value for each visit (Pay-per-click),
registrant (Pay-per-lead), or a commission for each customer or sale (Pay-per-Sale)¡¨ (Affiliate
Marketing, 2006).
According to Harwood (2005), It takes more than the affiliate just generating traffic to get paid.
Most affiliate networks are run on an a CPS (cost-per-action) basis so the customer may have to
make a purchase or sign up for a service. ¡§There are a number of affiliate network vendors,
including TradeDoubler, DGM, Commission Junction, Affiliate Window and Affiliate Future,
which sit between the advertiser and affiliate providing the underlying technology. This includes
tracking and reporting on sales made through affiliate programs. The network also receives a
commission on a CPA basis. The benefit of running an affiliate program is that it's a cost-efficient
method of acquiring customers, while enabling smaller Web publishers to monetize their sites.
The affiliates can be any size but they tend to be experts at online marketing and customer
acquisition, particularly in the field of search engine marketing. Affiliates will optimize their
sites and use paid search to gain traffic, which they then pass on to the merchant¡¨ (Harwood,
2005, p.24).
Affiliate E-Marketing Companies
Various large affiliate e-marketing companies like Commission Junction, LinkShare, and
AssocTrac provide e-marketing and revenue potential for both online advertisers and publishers.
Each company is summarized below.
X Commission Junction Commission Junction allows the bundling of several affiliate merchants
through a central tracking system. Promotion of brand name products can be accomplished
through text links, banner ads, and product links. The company also offers e-marketing tools to

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? Subject- Marketing ? Topic-?Affiliate Marketing University Name- Harvard University Affiliate Marketing ? Affiliate Marketing is a popular method of promoting web business in which an affiliate is rewarded for every visitor, subscriber and/or customer provided through his efforts. It is a modern variation of the practice of paying finder's-fees for the introduction of new clients to a business. Compensation may be made based on a certain value for each visit (Pay-per-click), registrant (Pay-per-lead), or a commission for each customer or sale (Pay-per-Sale)?? (Affiliate Marketing, 2006). ? According to Harwood (2005), It takes more than the affiliate just generating traffic to get paid. Most affiliate networks are run on an a CPS (cost-per-action) basis so the customer may have to make a purchase or sign up for a service. ??There are a number of affiliate network vendors, including TradeDoubler, DGM, Commission Junction, Affiliate Window and Affiliate Future, which sit between the advertiser and affiliate providing the underlying technology. This includes tracking and reporting on sales made through affiliate programs. The network also receives a commission on a CPA basis. The benefit of running an affiliate program is that it's a cost-efficient method of acquiring customers, while enabling smaller Web publishers to monetize their sites. The affiliates can be any size but they tend to be experts at online marketing and customer acquisition, particular ...
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