Why is affiliate marketing important?
Affiliate marketing is a fairly simple concept: you partner with others on the web who sign up to sell your products, and they get a commission when a visitor from their website makes a purchase on yours. You only pay when a sale is made, which makes affiliate marketing a cost effective method to increase your website traffic and sales. You can use affiliate marketing to:
- Sell products and services in almost any market.
- Expand your marketing reach by extending your sales force.
- Gain links from established websites.
- Target audiences beyond those that you can personally reach through affiliates operating in niche markets.
- Gain brand exposure from your affiliate’s ads and websites.
Affiliate marketing is not a good fit for every type of business. You’re more likely to succeed if you:
- Have a fairly high volume of sales.
- Operate in either a sizeable market or an emerging market.
- Have sufficient margins to pay commissions.
- Are attractive to affiliates (you offer a high conversion rate, significant volume, and a good commission rate).
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