Affiliate Marketing: How it Works?

Marketing plays a vital role in a store’s success. However, conventional forms of marketing like ads can become difficult for merchants to afford, especially while starting out. Affiliate marketing offers the perfect solution for this.

It works on a pay-per-sale model, where affiliates get paid for every sale they refer to the store. Therefore, affiliates only get paid commissions on the orders they refer. This form of marketing is cost-effective and requires little to no investment for starting up.

How affiliate marketing works

Referral links and coupon codes are the two primary methods affiliates use in their promotions.

Referral links are links that direct the customer to the store. When the customer opens the link, a referral cookie gets saved in the customer’s browser. It allows apps like GoAffPro, to track the customer’s visit and record the sale.

Similarly, in the case of coupon codes, if the customer uses an affiliate’s coupon code at the checkout of the store. It allows the sale to get tracked and attributed to the affiliate. GoAffPro also supports coupon code tracking.

Affiliate marketing in social media

Both referral links and coupon codes are widely used in promotions by affiliates and influencers. If you have seen links in a YouTube video’s description that lead to the product page of a store, it is likely a referral link.

Similarly, if you have seen your favorite Instagram celebrity or influencer promote a product and give out a coupon code, it is likely a coupon code from the store. When you purchase on the store using that coupon code, the influencer earns a commission on that sale.

Merchant’s role in setting up the program

It is also necessary to note the role of the store merchant in affiliate marketing. The merchant can use an affiliate marketing service to create an affiliate program for their store. After that, they can recruit affiliates for their program.

When these affiliates refer sales to the store and earn commissions, it is the task of the merchant to pay out the commissions to them. Additionally, it is up to the merchant to decide and set up the commission rate in their program.

GoAffPro offers store merchants the option to set up an affiliate program for their store. It provides various customization options for setting up the program. Check out the app: GoAffPro


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