Affiliate Programs: Your “Partner In Passive Profits”

All companies that sell products and services online are constantly in need of fresh targeted leads and customers. That's why many of them have created affiliate programs.

What is an affiliate program?

Online, an affiliate program is a program that pays other people like you to send targeted traffic to a company's website. In return, the company pays their affiliates based on the terms of their affiliate agreement.

There are 3 Common affiliate compensation plans include: Pay Per Lead - a fixed price per lead brought in.  Commission Based Pay-Per-Sale - a percentage of any sales generated from the visitors sent to the sponsoring company’s website. Hybrid - a combination of both of the above.

There are other types of affiliate compensation plans, but these are the most common and quite often the most profitable for the system you’re about to learn.
 
Most affiliate programs work by giving you custom “affiliate links” to their products and services that you place on your website. These links can appear as normal in-text hyper links, graphical banner ads or similar creative’s that appear as clickable content on your site.

When the visitors to your website click the link or banner and are taken to the sponsoring company's website, they are tagged by the affiliate program as being sent there by you.

Then, when they make a purchase or complete an action – such as signing up for a free offer – you earn a commission in accordance with the program you are promoting.

For example, the eBay.com affiliate program pays a percentage of every sale made by visitors sent by their affiliates. They also pay a bonus “finder's fee” for each new eBay member that joins through an affiliate's recommendation.

This means, any person who has a website about a hobby or collector's niche say collecting vintage model trains - can sign up for the eBay affiliate program and place links to related eBay auctions (auctions for those very trains) on their site.

 

The chances are very good that a person visiting a website about vintage model trains would be very interested in purchasing those very items. This makes for a true win-win-win situation:

• The visitor finds information on the topic they were looking for at the affiliate's website as well as useful links to a related resource of interest.
• The company sponsoring the affiliate program acquires a new lead or customer.
• The affiliate running the website earns automatic income just for providing and marketing digital information on their site.