What is Affiliate Marketing

What is Affiliate Marketing

Many people believe in a myth that is circulating the internet and thinks that because they are using an affiliate link to purchase something online they are going to be paying more, and in most cases that just simply isn’t true.  In 97 percent of affiliate marketing agreements, the retailer or seller does not change or increase the price of the product being purchased, actually if any price changes do occur they will offer the customer a discount because of the reduction in advertising expenses by utilizing an affiliate marketer, not many offer these discounts but some do.

Here we go – the definitions:What is Affiliate Marketing exactly?

The Market is an old term for a potential customer, a customer base, a group of potential customers, or simply the consumer.

An Affiliate is anyone that is attached to an organization or business also called the Publisher because they publish the content to attract the market or customer to the business or organization.  Yet another term for this individual is the Marketer which is a modern term for a salesperson (They present the product to the market).

So an Affiliate Marketer is a modern-day salesperson, which presents a product to the market and is attached by a written agreement to a business or organization that manufactures or creates (as in digit material or services) the product. Affilaiate marketing ican be done any any internet device including mobile phones

The, Business, Merchant, Manufacturer, Service Provider, Retailer, Seller, Store Owner, or Organization all mean roughly the same thing, any business entity: they are the people that produce, make or create the product being presented to the market by the affiliate marketer and in most cases they are referred to as the Creator, Vendor, or the Maker.


This attachment in affiliate marketing is through no upfront financial obligation or a commitment by the business or organization to the attached marketer except, the business or organization agrees to pay a prior agreed upon compensation to the marketer for customers (traffic) they bring to the business or organization.

In most affiliate programs that compensation is through a sales commission that the marketer collects when traffic they direct to the business or organization makes a purchase at the e-commerce store of the business or organization.

Additionally, this agreement between the affiliate marketer and the business or organization is referred to as an Affiliate Operating  Agreement,  an Affiliate Program Policy, an Affiliate Program Agreement, or an Affiliate Program Affidavit.  I have seen and used all of these different terminologies, furthermore, some companies call their affiliate programs something completely different such as eBay their affiliate program is called eBay Partner Network, and Amazon referrers to their affiliate program as Amazon Associates but no matter what it’s called it’s still the same basic agreement.Affiliate Marketing Agreement screen shot

After the agreement has been made between the marketer and the business or organization they issue the marketer what is called there unique Affiliate Link, this specific to that affiliate hyperlink has a special HTML code embedded into it (Hyper Text Makeup Language and it’s a computer program language that enables webpages to be displayed so that we can see and read them) so the business or organization can track and identify which affiliate sent the traffic to their designated online establishment or their URL (uniform resource locator or the address of a World Wide Web page also referred to as www.)

An example of a URL would be https://www.websitetrafficguru.com which is this web site’s URL address


A Hyperlink is an HTML code or element that links (redirects) to either another section or portion of the same document or to another document, most commonly used to redirect the user from one Webpage (hypertext) directly to another Website (hypermedia document) or webpage.

Finally, we have the Network this is an additional organization or business that has managed to squeeze their way into this marketing platform.  In this business scenario, the infamous middle man, this happens to bring the creator and the marketer together obviously for a phenomenal price of course.  However this middleman is only possible because in some cases a manufacturer, service provider, or creator is not simply big enough to be able to afford an elaborate computer system to handle tracking and identifying each affiliate with all the links of their affiliate marketers’ hyperlinks with the special HTML embedded codes so they hire a Network to handle what is called the Back Office (all the operations are done behind the scenes that no one normally sees or hears about) of the business.Affiliate Network Logo

Equally important, some of these affiliate networks do more than just the electronic tracking and identification of affiliates links and the customers involved, they actually are the organization that handles the online ordering portions of the transactions, receives the payments from the customers, pays the affiliate their agreed upon amounts, and then notifies the maker or creator where and what needs to be delivered to the customer after forwarding their portion of the total agreement between all the parties involved.  I have always been leery of the middle man getting too greedy and wanting more of the pie than they should be entitled to.

Such is the case with Viglink this is one of the networks that Jansport a backpack manufacture uses if you were to sell a product through their affiliate link you only make 2% commission, but if you sell the exact same backpack through Amazon Associates network you make 6%.  So for some reason, Viglink feels they should get 4% of your commission just to let you use their network – myself I think I’ll pass on Vigling generous offer and stick with Amazon for selling those types of items.

If you would like to learn more about Affiliate Marketing Basics . . .

> Click Here to Continue Reading with Part 2 <

> Click Here to Continue Reading with Part 3 <

> Click Here to Continue Reading with Part 4 < 


If you need help with something or have a question please feel free to leave a comment below or contact me privately at my email address, and I will be more than happy to address it, or if you would like to leave some relevant information as content that you feel may enhance this website/page, by all means feel free to leave those comments below as well.


Please Email Me Here

2 thoughts on “What is Affiliate Marketing

  1. Wow that was a very informative article! I never even considered the legality of affiliate marketing! I have made a few bucks with the Ebay affiliate program.

    1. Hi Shane,

      Outstanding E-Bay is one of many platforms that you can sell your items on it, or sell some other manufactures products and make commissions for selling those items. I could show you how to find many more if you are interested?

      There are many legally conciderations when starting any business online or off, many of the so called experts don’t mention this often and really should because more and more people are gettinginvolved in small busineses that are doing global marketing. A person could really get themselves in a pickle if they are not aware of this regulations that we may or may not have to comply with (depending on where you are located, and where you are doing business at).

      I hope you can return often as I will be focussing on building this site with lots of informative information for anyone interested in starting their own buisiness online.

      Have a Great day!

Leave a Reply

Your email address will not be published. Required fields are marked *