How Is Affiliate Marketing Different From Network Marketing
When I came online around 2007 or so (looking for a way to earn income), I quickly noticed a term “Affiliate Marketing” showing up in almost everything I searched for.
At the time, I had no idea what the term meant, but it became apparent that this was definitely one of the ways marketers were earning an online income.
Back then it was different. A few PPC ads linking to the merchant’s website was sufficient.
Not so anymore.
Any measurable success in “affiliate marketing” will require a little more on today’s internet platform, but the return can be just as lucrative, if not more so.
So what is Affiliate Marketing?
While there are many facets to the overall marketing model (some of which we’ll talk about), the general description is this…
The affiliate marketer is an individual, or an entity, who performs as a private contractor or representative to send prospective customers or clients to a merchant providing goods or services, usually online. The marketer is not employed by the merchant, and is compensated when an act, designated and monitored by the merchant, is completed by the customer or client. The compensation is based purely on the performance of the Affiliate Marketer in supplying customers to the merchant.
The Affiliate Marketer is responsible for all expenses incurred in the marketing of the merchant’s product/s or service/s and not bound to any particular form of advertising except as outlined in the merchant’s policies and Terms Of Service. Within those guidelines, all normal ad means online are OK.
The uninitiated will sometimes confuse PPC with affiliate marketing. In actuality, PPC is only one of the forms of advertising used by the marketer and is not in itself a form of affiliate marketing.
So how does the merchant know who sent the customer?
Here’s how…..
All merchant affiliate programs require approval and acceptance of the affiliate marketer by the merchant. Upon that acceptance the merchant provides to the marketer a coded link back to the merchant’s site. When a prospect clicks that link, it is documented on the merchant’s site database, and, if a monetary or satisfactory transaction is complete, the marketer is credited with the sale. There are a few variances on this theme, but this is a very general idea of how compensation is determined.
Is Network Marketing a type of Affiliate Marketing?
In a pure sense, YES IT IS.
Bear in mind that the affiliate marketing concept requires a marketer (rep in Network Marketing) to supply to the merchant (Network Marketing company) a customer (new rep), at his or her expense or effort, and compensation occurs when a transaction (new rep signup) is completed to the satisfaction of the merchant (network marketing company).
I started out online as an affiliate marketer, but quickly discovered that network marketing, one of the most powerful income producing opportunities due to the built-in leverage, was merely a form of affiliate marketing and therefore could easily be incorporated into the affiliate marketing model.
Network Marketing online utilizes the exact same lead generation techniques employed by pure affiliate marketers, and many of the merchant services utilized by network marketers are in fact affiliate-based. These include autoresponders, domain registrars, website hosts, lead generation systems, etc., to name a few. The online network marketing business truly offers the best of both… affiliate marketing within a network marketing venture.
Unbeatable combo.
Additionally, both network marketing or affiliate marketing, separately or incorporated into one package, are excellent ways for the online marketer to earn a substantial income with a relatively small investment. Six, seven, or even eight figure incomes are not impossible online, and many in these two types of businesses are enjoying tremendous financial rewards, many from the comfort of only a home office.
Consider the possibilities.
* Not too many restraints and constraints * A massive base of potential customers worldwide * A myriad of methods and means of reaching them with your marketing message..
Not a bad concept if you’ve even considered starting your own part-time or full-time business even from your home, the online world of affiliate marketing and its partner network marketing could be just what you are looking for.
Check it out, then give it a try.
Best of luck.
About The Author
