How Does Affiliate Marketing Work?

Affiliate marketing works as a collaboration between the company and its affiliates.

Company= the business that is selling the product or service and who the customer hands the money to.
Affiliate = the affiliate promotes the business’s products and service to their audience to drive customers and is paid a commission upon a successful.

How Businesses Use Affiliate Marketing

Businesses like Sign Flyers use affiliate marketing as just one part of their marketing plan. Affiliate marketing allows businesses to benefit from sales from the affiliate’s marketing plans and tactics.

Businesses who take advantage of this affiliate marketing vary from those selling products to professional services.  Most if not all industries can benefit for increased sales through affiliate marketing.

When a company collaborates with an affiliate, they are supplied with a personalized tracking URL link that will allow commissions to be tracked, monitored, and calculated often through the use products aimed to attract their audience interest.

Companies like Sign Flyers will work with an their affiliate network to manage their marketing strategy. For companies considering using this affiliate marketing for the first time, it’s imperative to know that much of initial set up is handled by an affiliate management team who will manage the affiliate program including recruiting affiliates and paying out the commission owed.

A company will pay affiliates on a commission basis according to a percentage of each sale. In some cases, a payment is made every time a lead is generated, regardless of whether it converts to an actual sale of a product. This model is riskier to the company and is not used often and the payment is much lower.

If you’re a company looking to set up an affiliate marketing program, check out this guide on how to promote Sign Flyers products.