Tuesday, December 30, 2008

All About Affiliate Marketing Program

By Don Bethune

An affiliate marketing program is a program in which various advertisers pay to webmasters for putting up advertisements of the advertisers on their webpage or in the e-mails that the webmasters send. It can be any form, the sole purpose being advertising the adds of the advertisers.

Due to its simplicity of operation the affiliate marketing program has become the most famous methods of how to make money from home. This program can suit to anyone and everyone on this planet. Even housewives who dream of a ahome business work at homea can earn from this.

From the above lines a simple question arises. How and why do advertisers pay to webmasters for just putting up their advertisements? Well the answer is more than simple. Webmasters who receive several thousands hits a day on their webpage are among the top that are posted on various search engines.

The more traffic a website receives, the more likely someone browsing it is to click through an ad link placed on the website. Paying for ad space on more popular sites can result in hundreds of new customers each day. Advertising space is therefore priced based on the hits that the website receives.

Advertisers using affiliate marketing programs pay based on the several types of actions that occur as a result of a website user clicking on their ad. Some pay per click, per thousand click, per action after click, per lead, per completion, and many others.

In a cost per click scale the webmaster will be paid based on the number of times a person using the website hosting the ad, clicks on the link directing them to the advertiser's website. In the per thousand click scale the webmaster is paid for every thousand times a web user clicks on the ad's link. A per action scenario means that the web user must not only click through the ad link, but also complete a particular action, such as filling out customer information, signing up for a contest, completing a purchase and so on. Another payment scale type is cost per lead which is similar to cost per action, but the webmaster sends potential customer information.

How do webmasters choose the right affiliate marketing program for their websites? Many simply search the internet! The best way to determine which program best suits a webmaster is to search for affiliate programs, evaluate the payments schedules, and determine if ad placement is suitable for their site (size and location requirements).

Income from affiliate marketing is highly dependent on the number of hits a website receives. It is important to consider that part or all of the income generated may be considered taxable income; it is best to check with your local tax office for city, state, and federal regulations. Regardless, the income potential is boundless and worth looking into. - 15432

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