Different ways to make money with Affiliate Marketing

If you have decided to join the ranks of those people making money online, you may be considering getting involved with Affiliate marketing. There several different ways that you can make money with Affiliate marketing. Affiliate Marketing is a type of profit method that is usually between the owner of a website, and an online merchant. This marketing exchange is meant to benefit both parties while providing additional revenue, for the web site owner. It is a very simple method of making money. It works when advertisements are placed on a particular website, that will either sell a product or service, or it will push visitors to the company's original website. The owner of the website (the affiliate), does this for a share of the profits that are generated by this type of marketing. This is why it is known as Affiliate marketing.There are basically three different methods you can earn money when using Affiliate marketing. These methods are-

• Pay per Lead-Money is made every time a potential customer registers at the merchant's website, (as a result of the advertisement on the affiliate's account). After this is completed then pre-determined amount is then given to the affiliate.
• Pay per Click-Money is made when a potential client leaves the affiliate website by "clicking" on a link that leads to the merchant's website. When this happens a certain amount of money is deposited is given to the affiliate. The amount of money that is earned is dependant on the product that is being sold, so it is usually based on commission.
• Pay per Sale-Money is earned by the affiliate when a sale is made on the merchant's website as a result of the advertising that was on the affiliate's website. Money is used paid as a percentage, or commission, to the affiliate.

One of the major benefits to those who own websites, is that this can be an easy way to earn money, without really having to do much. Basically all the affiliate has to do is get advertisers, for his or her site. This becomes a major benefit, for those people who do not want to be involved in selling or promotion. The affiliate places the ad on their website and then just collects the money as it comes in.

This is also a highly advantageous arrangement for online merchants. There is usually no cost to place an advertisement on an affiliate's website. This gives the merchant free advertising, and limits the need to do much business promotion outside of this type of marketing. In addition, if the if the merchant has placed several advertisements on several different websites, this just increases the sales potential, by an exponential rate. The more advertisements that are place, mean that your product or service, is getting that much more exposure and the potential for profits goes up.

It is important to be aware that there are a few downsides, to this type of marketing. The merchant will have to share a percentage of sales profits with the affiliate. In addition, if the affiliate uses improper methods (such as spam), to bring visitors to the affiliate's site, then there could be a backlash, and the merchant's reputation can suffer as well. The merchant may find himself having to deal with a public relations nightmare. To prevent potential problems, both the affiliate and the merchant should conduct thorough research on the other party before agreeing to any arrangement. The merchant should make sure that the affiliate is running a reputable website, while the affiliate should make sure that the merchant is running a legitimate business, and will be prompt in paying any commission earned.