Affiliate Networks Payment Policy. What Should a Beginner Know?

Affiliate marketing is one of the quick ways of making money. Affiliate marketing is basically when an online retailer pays a certain individual to generate traffic or sales based on their referrals.

Affiliate network allows companies to reach a larger audience by promoting their affiliate programs to all of the publishers, and for the publishers to find an affiliate program that is suitable for their website.

Affiliate marketing business provides low start-up costs, business models. There is no product that the publisher should be worried about and the publisher is not involved in creating products or services that are delivered to the clients.

There are different types of affiliate payments:


Revenue Share Model

This means that the individual who refers to their audience (Publishers) gets paid by sharing the revenue that is obtained by the business or company.

Fee for action

The publishers receive payment after a visitor of the site completes a certain action. This action can include; clicking, participating in their newsletter and so forth. There are a couple of payment models that were developed based on this action such as:

  • Cost per lead is when publishers receive payment for the contact information of interested visitors.
  • Cost per Click or Pay per Click is a model in which the publisher is compensated based on the number of clicks that the official webpage has received.
  • Pay per impression is when the payment is based on the number of times a website visitor views the ad.
  • Pay per acquisition is based on a certain action such as subscribing to the company’s newsletter or making a purchase of an item.

For someone to succeed in affiliate marketing, there are several factors that they should keep in mind before promoting a brand or a product:

Find the niche audience

It is important for publishers to choose a niche market to specify. This will help in generating better content. For the companies who are interested in that individual, it makes it easier for them to determine whether they could create a targeted marketing campaign.

The publisher has to generally pick a content that has a large scope to venture. Picking up a niche that is not oversaturated will help boost the number of audiences that will be interested in the content that is being posted.

Create a website and high-quality content

Content marketing is essential in this step. It is how to get the audience’s attention and make them engage the publisher. Good content will drive much more stable traffic flow to the website. It takes time and practice, however.

Grow the email list

The easiest way to grow the list is by adding a pop up in the publisher’s page. Done right, it is a highly effective digital marketing strategy. The number of subscribers can also be taught as the number of individuals that are engaged with the content of that page. There are also Email Finder Software tools that could help you in the process of growing your business or you can ask for help Email Marketing Company.

Choosing the right affiliate product and promote it

A product that is right to be affiliated is the product that a publisher is certain will pique the interest of his or her audience.

There are several terms that a beginner should know when it comes to affiliate network:

  • NET-7. A term that indicates that the publisher will receive his or her payment 7 days after the invoice date
  • NET 30. This means that the publisher will receive payment 30 days after the invoice date.
  • Cookie life. The time period between the click on the affiliate site and the last day that the merchant is willing to pay the publisher a percentage of the sale that is made by their audience. After the periods expire, there will be no longer payment that is made to the publisher. A cookie life can be obtained by studying the analytics, time frame of an audience to be a paying customer.
  • Locking Period. The locking period is the period set by the merchant to determine whether the leads that the publisher generates would really end up as sales. Reversals happen when the audience has bought the item, however, it is later being requested as refunds.
  • Monthly, Bi-Monthly, Weekly. These terms describe the frequency of how often the affiliate network can invoice the publisher or visa Versa. Monthly would mean every 30 days, Bi-Monthly means every 15 days and weekly every 7 days. Payment Threshold is the minimum amount that should be accrued by the publisher to enable them to start receiving a commission.
  • Residual earning. Programs that pay publishers not just for the first sale of a shopper, but also additional sales that are made in the merchant’s site over the life of the customer.
  • Referral bonus program. It is an affiliate payment policy that is a special type of payout that is awarded to publishers who brought new publishers in a program.
  • S2S Tracking. It is a tracking method based on sending postbacks from advertisers’ system to the publisher’s.

As a publisher, it is very essential to track its performance. Their performance can be tracked down according to which method that their conversion is measured with some basic report

A sales report is important. This means that the publisher has first understood the product, the sales process, and the audience that they have. There are certain parameters such as profitability and affiliate performance report that converts the number of real sales that are generated by a certain publisher.


About the Author:

Marie Black used to be a marketing consultant for Specific Appraisals for over 2 years. Now she is sharing her experience and practical tips on the internet.

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