ECommerce Insights Blog

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Affiliate Marketing – The Key to eCommerce Revenue Growth

Affiliate marketing is about establishing and sustaining link between affiliates, retailers and networks. It is a technique in ecommerce of making money by promoting product of another company on the basis of revenue sharing for each sale you generate. It is one of the best form of marketing in which income comes without any significant amount of effort or money investment. This works mainly because of the association of the following three parties:

• Advertisers- An advertiser is an ecommerce webstore selling products and services. An advertiser has the sole responsibility of its website for maintaining it and dealing with its client front.
• Publishers- It is an individual or company that promotes the advertiser’s products or services in exchange for having commissions based on it. It works as the main marketer by publishing web banners, text ads, etc for getting more market.
• Consumers- Consumers are the visitors on the website who sees and responds by “Click to Action” buttons placed on different advertisements and banners by increasing the conversion rate.

Benefits of affiliate marketing:

• Pay when ads work- One doesn’t have to pay for ads that don’t bring traffic because your affiliate makes money only when it gives you quality traffic.
• It works smoothly- Once you setup affiliate marketing, you do not have to do anything but just look for new affiliates and the quality of service you get while working with others.
• Improves page ranking- Affiliate makes links with different advertisers making inbound links with your site which supports with better page ranking.
• Low entry prices- There is no major entry charges, you just have to start an affiliate program and just pay for the ads that works.
• Extra traffic in free- As you pay for the ads that bring conversion to your website there are many visitors which views your website without having any purchase. This increases the profit.