Online Business Models - Affiliate Marketing

The are many effective models for creating an online business. One of the fastest and easiest is affiliate marketing. Below are some questions and answers to help you better understand this model

What is affiliate marketing?

In simple terms, affiliate marketing is the promotion of a product or service for a commission. My website U.S. Passport Service Guide is an example of this business model. The site provides information to U.S. citizens about passports and travel visas with emphasis on how to expedite these travel documents. When someone clicks on the link and contracts an expediter that is recommended, I receive a commission. Commissions range from $5 to $40 depending on the service.

What products and services have an affiliate program?

It might be better to ask what products and services don’t have an affiliate program. Affiliate marketing is not only an effective business model it is also one of the best ways for a company to exponentially increase sales. Due to its effectiveness, the number of businesses that have created an affiliate program have increase dramatically. Here is just a partial list of products and services you can promote.

  • Accessories - handbags, belts, shoes, etc.
  • Art/Photos/Music
  • Automotive
  • Beauty - bath & body, cosmetics, fragrances
  • Books & Media
  • Business - marketing, office, productivity tools
  • Careers
  • Clothing
  • Computers and Electronics
  • Education - college, languages, professional
  • Entertainment
  • Family
  • Financial Services
  • Food & Drinks
  • Games & Toys
  • Gifts & Flowers
  • Health & Wellness
  • Home & Garden
  • Insurance
  • Legal Services
  • Online Services
  • Recreation & Leisure
  • Sports & Fitness
  • Telecommunications

This is just a sample of the categories that represent millions of products and services that you can promote.

Where do I join an affiliate program?

There are two places to find affiliate programs. First, there are affiliate networks like Commission Junction, Linkshare and others. Second, there are in-house affiliate programs that are managed by the companies that offers them.

What kind of commissions are paid?

It depends. Commissions range from 1% to 100% depending on the product or service. Most hard goods have a commission of 1% to 20%. This includes things link jewelry, electronics, luggage and the like. Larger commissions are usually paid for digital goods like downloadable ebooks, software, scripts, etc.

Where can I learn more about affiliate marketing?

A great introductory course is The Affiliate Masters Course which is free to download. Another options is to participate in the SBI eLearning Online Business Course. It is a 10 lesson online course in which you graduate with your own business set up and ready to grow.

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