Affiliate marketing is a performance-based marketing strategy where an individual (the affiliate) promotes a product or service on behalf of a business or brand and earns a commission when a sale is made through their promotional efforts. Essentially, the affiliate acts as a middleman between the consumer and the company, guiding potential buyers to a product or service.
The Key Players in Affiliate Marketing
To understand how affiliate marketing works, it's helpful to know the main players involved:- The Merchant (also called the advertiser or creator) is the company or individual selling the product or service.
- The Affiliate is the person or company promoting the product or service and driving traffic to the merchant's website.
- The Consumer is the end user who purchases the product or service.
- The Affiliate Network (optional) acts as an intermediary between the affiliate and the merchant, providing tracking, reporting, and payment services.
