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Feature ArticleUnderstanding Affiliate Programs
Affiliate programs are commonly misunderstood, in order to understand affiliate programs lets start with terminology.
For clarification purposes, an affiliate is defined as any
"referrer" or website that promotes a product in an effort
to earn revenue. A merchant is defined as someone who owns a
product and is sharing revenues with an affiliate based on
the affiliate's performance. Affiliate programs can drive
targeted traffic to your website.
There are 3 basic affiliate programs, though only the first two are commonly used.
Pay Per Click - this is when an affiliate is compensated for sending traffic to the merchant. (AdSense is an example of
PPC affiliate program)
Pay Per Sale - this is when the affiliate is compensated by the merchant if the referral generates a sale or purchase.
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Pay Per Lead - this is when the merchant agrees to pay for a qualified (or sometimes unqualified lead), which is very uncommon because it is subjective and up to the merchant.
Affiliate websites tend to provide information,
entertainment, and content services to their customers. The
online merchants sell products, goods and services online.
These are programs permitting affiliates to earn money based
on the visitors to your site who click through to another's
website. Some pay a token amount for the click through and
others provide a percentage of sales when a visitor "clicks
through" to your site and buys a product or service on the
other party's site. This could represent a value added
service to your visitors.
Affiliate programs allow you to pay and track incentives
from other websites that send web surfers, leads or paying
customers to your website. Commissions based on purchases
made by traffic sent from the referring website can be paid.
Besides a commission, an affiliate can receive a flat fee,
or other incentives for all valid transactions it refers
that generate a sale or lead.
Be careful that the affiliate's web page is not cluttered with banner ads that may crowd out your link, or that be
annoying to customers. Affiliate programs enable affiliates to leverage their traffic and customer base in order to profit from e-commerce while merchants benefit from increased exposure and sales.
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Commonly traffic to merchant sites is measured and
affiliates can clearly see conversion rates. Meaning, they track the percentage of people they are referring, and how much of it results in earned revenue. If the affiliate finds a very low conversion, they will find a better way to monetize that traffic, quite possibly with a competing merchant product.
In order to be a successful affiliate, the affiliate site needs to either have tons of traffic or target a specific
audience, frequently one untapped by the merchant. It has
been my experience, the closer the affiliate site content
resembles the merchant products, the higher the likelihood
of a good conversion rate.
Once you are committed to the idea of affiliates, the next step is to determine the kind of tracking system you are
going to use. Sales can be tracked by HTML code, which is
placed in a shopping cart or on the 'order confirmation'/'thank you' page, and cookies, which are created after the customers click on a banner ad. Cookie killers have been a problem for the affiliate industry. Software vendors have an advantage over other merchants in
that new technologies allow software developers to better control compensation. Vendors can 'wrap' their software insuring that their affiliates are compensated for referrals, even if the customer downloads a trial version prior to purchasing. Buy now buttons in the software have affiliate ids imbedded in the download. Combined tracking systems have more success than those that rely on a single tracking technology.
In order to develop a successful affiliate network,
merchants must realize that affiliates spend ad dollars on
site, and product promotion. If the affiliate is not
compensated fairly they will not remain in the merchants
network. The bottom line is that affiliate relationships are
partnerships, when both sides feel the situation is fair and
equitable the relationship will be a success.
**************
Sharon Housley manages marketing for NotePage, Inc.
www.notepage.net a company specializing in
alphanumeric paging, SMS and wireless messaging software
solutions. Other sites by Sharon can be found at
www.softwaremarketingresource.com, and
www.small-business-software.net
**************
As part of our ongoing commitment to provide quality content, we
would like you to take a moment to rate this article on a five point
scale.
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This week's TIP
JavaScript Drop Down Menu
This is a simple drop down menu that will automatically advance to the selected page without a submit button. Place this script on the page where you'd like your menu to appear. You can add as many links as you like.
Customize the fields in red to reflect your menu's links.
For more links, just continue adding the <option value=" as shown.
Keep in mind that this will not work for those who have JavaScript turned off in their browsers.
<script language="JavaScript">
function AutoLink()
{
var number = document.Menu.Links.selectedIndex;
location.href = document.Menu.Links.options[number].value;
}
</script>
<form name="Menu">
<select name="Links" onChange="AutoLink(this.form)" >
<option selected>Choose a Link
<option value="first-page.html"> Page One
<option value="second-page.html"> Page Two
<option value="http://www.somewhere-else.com/"> Page Three
</select>
</form>
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Which gives you this:
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Second ArticleHere's To Think On ...
Fifty-six men signed the Declaration of Independence.
Their conviction resulted in untold sufferings for themselves
and their families. Of the 56 men, five were captured by
the British and tortured before they died. Twelve had
their homes ransacked and burned. Two lost their
sons in the Revolutionary Army. Another had two sons
captured. Nine of the fifty-six fought and died from
wounds or hardships of the war. Carter Braxton of
Virginia, a wealthy planter and trader, saw his ships
sunk by the British navy. He sold his home and properties
to pay his debts and died in poverty. At the battle of
Yorktown, the British General Cornwallis had taken
over Thomas Nelson's home for his headquarters.
Nelson quietly ordered General George Washington
to open fire on his own home. The home was destroyed
and Nelson died bankrupt. John Hart was driven from
his wife's bedside as she was dying. Their thirteen
children fled for their lives. His fields and mill were
destroyed. For over a year, he lived in forest and caves,
returning home only to find his wife dead and his
children vanished. A few weeks later, he died from exhaustion.
These men believed in the idea that autonomy was better
for the colonies in North America. They could see no value
in shipping the fruits of their labors to England for taxes
where, if kept home, they would much faster help build
a country. They thought long and hard on this principle
for they well knew it would cost them.
Do you have such conviction about your objectives? Are
you so fired up about what you are doing that you are
prepared to go through what these men went through?
If not, why not? How do you expect to achieve if your
convictions are subject to change at the next dollar? If
what you started was a good idea in the first place then
stick at it now. Every problem contains within it the seed
of it's solution.
Without the conviction that you will do or die most things
of meaning and purpose will fade away in your life. It is
to be abundantly clear that if you would succeed at what
you are doing then you must mean business, right down
to your core. You must set your objective against which
you will accept no alternative.
If the men that signed the Declaration Of Independence
had no such conviction there is no telling what kind of a
country you would live in today. Those men changed the
way the world does things. What they stood for then has
made our world today in which you earn a living. If you
have similar convictions you will do well within your own life.
Bear in mind though, you will need the same depth of ...
Conviction.
**************
Ken Darby writes articles, books and other material helping people achieve their goals. We pay for your dream home.
For an amazing income opportunity take a look at www.thenewsshop.com/oursalespeople.htmlYou might want to see if an internet business is for you. For a series of short emails that shows you, sign up for the Pebble at www.the-pebble.com
**************
Download of the Week |
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Our download this week is a fun game from the good folks at PopCap Games.
Link letters together to make words and feed the Bookworm in this exciting word game!. You can play up to 10 times before registering.
I suggest you be careful with this one. I've found it to be so addictive that I'd rather play Bookworm than work!
BOOKWORM DELUXE
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have a nifty little download for you this week. You know what a Toolbar is? It's an Internet Explorer add on. Well now Paradigm Web Design has its own Toolbar available for download.
aradigm Web Design's Toolbar is absolutely free. It has No spy ware, No Pop ups, does not collect any personal information and is virus-free. Search from anywhere on the Web as our toolbar provides results from Google, MSN and several other popular search engines.
ou can chat with other users who have the toolbar installed and get instant access to useful links. Accelerate your search using the Effective Results. 
ere's a scaled down picture of what our toolbar looks like.
