Forum Moderators: skibum
Sure, there are posts that tell you about how to design a good one [webmasterworld.com] and even posts that tell you the pros and cons of affiliate marketing [webmasterworld.com], but there is not just a post to inform dummies like myself about what it is.
After Googling around for about 20 minutes, it seems most the information on the web is the same way: it assumes you know the basics of affiliate marketing.
Honestly, I have avoided the entire concept altogether because quite frankly, it left such an 'Amway pyramid scheme' taste in my mouth.
About all I know is this:
I send someone to your site. They purchase something from that site. I get paid.
But there has to be more to it than that.
So I ask the same question I frustratedly typed into the WebmasterWorld site search earlier today:
"What in the heck is affiliate marketing?"
a: Manufacturer -> b: Retailer -> c: Customer
The affiliate is someone that sits inbetween a and c. A middleman. Sometimes there's a few more hands inbetween a and c.
In the context of the classic internet affiliate site, the manufacturer (say software), sets up a program for affiliate sites. They are usually responsible for sales and support. The affiliates sites job is to find customers. When a potential lead clicks on a Affiliate link, a cookie is usually set and the site gets 'credit' (most often a percentage of sales) if the lead should go onward to purchase the software.
There are all sorts of subtle little differences between programs. There are even sites that are nothing but affiliate trackers - they do the sales and registration so the manufacturer can even skip that step.
Like all business, there are both good and bad affiliate programs. Most manufacturers of original goods and services love them because they are CPA (Cost Per Action) based. No one gets paid until a sale is made.
For the affiliate site, it's just like working on commision.
