Understanding affiliate
marketing programs structures are important especially when you
going to put many hours of marketing. You need maximized your
effort returns and gain the most out of it. Affiliate marketing
could be divided into 2 different types that are single tier
affiliate marketing and multi tier affiliate marketing.
Single
Tier Affiliate Program
Single tier affiliate program
is a program which only pay one level of commission for each
sales made. When an affiliate marketer promotes a product,
he/she only makes money when a potential buyer actually buys the
product. However, if the potential buyer actually decides not to
buy the product, and instead becomes an affiliate marketer of
the same product by signing up on the sales page (if the page
has affiliate program options) as an affiliate, then the first
affiliate marketer makes no money. No matter how much sales the
second affiliate marketer makes, the first affiliate marketer
who actually introduced the program make no money.
Multi Tier
Affiliate Program
Multi Tier Affiliate
Marketing - is where you could recruit other affiliate
marketers to sell the same product or service that you are
promoting too. This is almost like Multi Level Marketing
technique where when an affiliate marketer that you recruited (
via your affiliate link ) makes a sale, you will get a portion
out of the sale too. Not all affiliate program offers this
option, but you should look if this option available when you
sign up as an affiliate marketer from any affiliate program.
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This is how this
system works, assume you are promoting a product or
service via your affiliate link. A visitor sees your
link and visits the landing page where the product is
being offered. However, he/she does not buys the
product, but instate he/she registers to become an
affiliate marketer of the same product on the sales
page. Now when he/she promote his/her link and makes a
sale, you will get a portion of the commission. This is
powerful option since you could be leveraging on other
people effort and time, and making money. Usually, the
tier system will have few level and some will go all the
way to 4 or more level.
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