By Luis Gonzales


Affiliate marketing programs has never been as popular before as it is today. Why? There can be a number of reasons. The most probable reason, however, could be the fact that the benefits of online affiliate marketing have become clearer to a lot of people now than they were before.

Today, both the merchants and the affiliates can see clearly that affiliate online marketing can work for both of them. The merchant sees affiliate marketing today as the chance to advertise their products at a lower cost.

Many affiliate marketers, on the other hand, recognizes affiliate online marketing as being an straightforward technique for making profits online by simply doing what they like most, and that's by making web sites.

Just as the popularity of affiliate online marketing has shifted into greater heights, so has the people's outlook about it changed. No longer is affiliate marketing considered today as an alternative method for the merchant to advertise his products, or as a source of additional income for the affiliates. For merchants and affiliates alike, affiliate marketing is now considered as a main source of profits and revenues.

So now the question is what type of affiliate marketing will be the best for you to begin? Are most all the affiliate marketing programs the same? Are the benefits you get the same? Or what affiliate marketing programs work the best?

There is diffrent types and classes of affiliate marketing, and the number of types depend on how you classify them.The most basic affiliate marketing programs,however,fall into two categories: pay-per-click which is known as PPC, and pay-per-performance which is known as PPP.

- Pay Per Click - PPC

PPC is the most popular type of affiliate online marketing for affiliates with small websites, and probably the easiest way for them to earn money. In this affiliate marketing type, the merchant pays his affiliate whenever a visitor is referred to his site, that is whenever someone clicks through the merchant's banner or text ads.

The affilite will get paid a certian amount even if the person that they referred does not buy anything form the merchant's website. Never the less, typical fees for pay per click affiliate programs are not massive, usually they are less than a dollar a click.

- Pay Per Performance - PPP

PPP affiliate marketing is one of the most popular among most merchants and is also the most lucrative type for the affiliates. By using this type of affiliate marketing program,the product owner only will pay the affiliate whenever his referral takes a action and makes a sale this is when some buys from the merchants website or becomes a lead.

This method means that a lot of savings for the product owner. Alternatively, it might be one of the most lucrative type for those dedicated affiliate marketer, for commissions in PPP affiliate marketing online usually comes in the range of 15% to 20% of the actual purchases.

Pay-per-performance affiliate online marketing can be further classified into two popular types: pay-per-sales known as PPS and pay-per-lead known as PPL.

- Pay Per Sale - PPS

In the pay-per-sale form of affiliate marketing online, the vendors pay the affiliate a small fee whenever the customers he has sent to the product owner's website actually buys something through the merchant's webpage.

Affiliates are often paid on commission basis, although other merchants would opt to pay a fixed fee. But no matter what the basis of the fee is, it is generally higher than the fee paid to affiliates in a pay-per-click affiliate program.

- Pay Per Lead - PPL

The pay-per-lead type of affiliate internet marketing is often a small difference of the PPS type and is also regularly used by insurance and financial institutions and other companies who count on prospects for their corporation to grow.

In this type of affiliate marketing, the affiliate is paid whenever the visitor he referred to the merchant's site fills up an application form or any similar form related to the business of the company. Compensation for this type of affiliate marketing is based on a fixed fee whose rates approximate that of the fixed fee in the PPS type.

Aside from these three specific types of affiliate marketing, a lot of other affiliate marketing types exist. If the classification is based on the depth of the affiliate network, it can be classified as single-tier, two-tier, and multi-tier affiliate marketing. There is also another type of affiliate marketing that pays the affiliate each time the customer he has referred purchases something from the merchant's site.

- Single-Tier, Two-Tier, and Multi-Tier Affiliate Marketing.

These types of affiliate online marketing are based on the different levels or tiers in the affiliate network by which payments are made. In a single-tier affiliate marketing program, the affiliates are only paid based on the direct sales or traffic he has referred to the merchant. All the previously mentioned affiliate marketing types (i.e. PPS, PPL, and PPC) fall under the single-tier classification.

- In two-tier affiliate internet marketing networks, typically the marketer it isn't just paid a commission for the direct targeted traffic or sales that he refers back to the product owner's website, and also on every site visitors as well as product sales referred by various other affiliate marketers who registered with the affiliate network through his / her suggestion.

Multi-tier internet affiliate marketing operates the same way, even though the affiliate marketer will get further commission to get a wider amount of associates in different tiers within the affiliate network.

- Residual Income Affiliate Internet Marketing

In residual income affiliate marketing, the affiliate gets paid not only once for every customer he has referred to the merchant's site. Rather, the affiliate is also paid whenever the customer he has referred returns to the site and purchase another product. Compensation for such type of affiliate marketing is based on either sales percentage commission or fixed fee basis.

The different affiliate internet marketing forms could virtually work differently for sellers and affiliates alike, and each would generally have their own list of advantages.

Which type of affiliate internet marketing will work best for you? It is not really for me to tell. Rather, it is for you to choose which type of affiliate marketing program will suit your needs and characteristics best.




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