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Terms on internet marketing and their easy-to-understand
definitions you should be aware of

Affiliate marketing

Affiliate marketing, also known as associate marketing, is a form of online performance based marketing typically supported by third party affiliate networks. Four key parties are involved in this process and these are merchants, affiliate networks, publishers (also referred to as affiliates) and customers. However, merchants can also contact affiliates who aren’t a part of affiliate networks and cooperate with them directly.

To market their products and services merchants can join any affiliate network, choose among participating affiliates targeted at specific groups of Internet users the merchants are also interested in and provide the affiliates with marketing materials such as creatives and unique affiliate links for their products and services.

The affiliates promote products and services on behalf of the merchants, drive traffic to the merchants’ websites and get a specified commission paid for performance only, namely sales, leads, etc.

Affiliate networks act as a third party between affiliates and merchants and keep the whole process under control. Networks provide the technology to deliver merchants’ campaigns and collect commission from merchants to pay participating affiliates.

Speaking about publishers, affiliate marketing is a good way of making money online being rewarded for successful promotions of other people’s products or services. As for merchants, affiliate marketing appears to be very popular with them since they can involve a large number of affiliates but pay only those who deliver particular results, not to mention more exposure and cheap advertisement.

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