Affiliate Marketing Service

What is Affiliate Marketing

Affiliate marketing – using one site to drive traffic to another – is the stepchild of online marketing. While search engine sponsored ad's, email marketing and RSS capture much of the attention of online retailers, affiliate marketing, despite lineage that goes back almost to the beginning of online retailing, carries a much lower profile, yet affiliates continue to play a fundamental role in e-retailers' marketing strategies.

Affiliate marketing is a method of promoting web businesses (merchants / advertisers) in which an affiliate (publisher) is rewarded for every visitor, subscriber, customer, and / or sale provided through their web site. Compensation or commission may be made based on a certain value for each impression, click, registrant, new customer or sale (usually a percentage, pay-per-sale or revenue share), or any combination of them.

Affiliate marketing overlaps with other internet marketing services to some degree. Those methods include search engine optimisation, paid search engine sponsored ad's and email marketing.

Advantages and Disadvantages of Affiliate Marketing

Affiliate marketing offers low maintenance whilst improving your presence on the Internet and your search engine positioning. Search engines rank sites higher on their listings if they have many related sites to which they are linked to; setting up an affiliation with a related site adds that link back to your site.

Merchants / advertisers like affiliate marketing because in most cases, it is a "pay-for-performance model", meaning the merchant does not incur a marketing expense unless results are realised, excluding the initial setup and development of the program. Some businesses owe much of their growth and success to this marketing technique, one example being Amazon. However, unlike display advertising, affiliate marketing is not easily monitored.

The disadvantage of Affiliate Marketing is the much publicised click fraud scam. Click fraud is when a competitor or dishonest Affiliate uses up clicks for no other purpose than to either run up expenses for the merchant / advertiser or to create a revenue for themselves at the merchant / advertiser's expense. This form of fraud is now less common than it was a year or so ago. Many Affiliate programs have ways to detect such actions.

What we do for you

Design Web Studio will source out affiliated products and web sites related to your business and submit these to you for your approval, once approved we will set up the Affiliate Marketing campaign with each of your chosen products and affiliates.

The cost covers the installation and setting up of your Affiliate Product and campaign; the cost-per-click etc. rate is additional to this charge and depends upon which product you choose and with whom you setup the affiliation with.

The Products

Pay-per-impression (PPI) / Cost-per-thousand (CPM)
The publisher gets from the advertiser £X or Xp for every 1000 impressions / page views / displays of the Ad. The Ad can be a text banner image or rich media file.

Pay-per-click (PPC) / Cost-per-click (CPC)
The advertiser pays the publisher £X or Xp every time a visitor (potential prospect) clicks on the advertiser's Ad. It is irrelevant (for the compensation) how often an Ad is displayed. Commission is only due when the Ad is clicked.

Pay-per-lead (PPL) / Cost-per-action / acquisition (CPA) / Cost-per-lead (CPL)
The advertiser pays the publisher £X or Xp in commission for every visitor that was referred by the publisher to the advertisers web site and performs a desired action, such as filling out a form, creating an account or signing up for a newsletter. This compensation model is very popular with online services from internet service providers, cell phone providers, banks (loans, mortgages, credit cards) and subscription services. CPA is the second most used compensation model (19%) after CPS (81%).

Pay-per-sale (PPS) / Cost-per-sale (CPS)
The advertiser pays the publisher a percentage of the order amount (sale) that was created by a customer who was referred by the publisher. This model is by far the most common compensation model used by online retailers that have an affiliate program. This form of compensation is also referred to as Revenue sharing.

Pay-per-call (no abbreviation exists yet)
This is a new compensation model. No official abbreviation exists yet. The advertiser pays publisher £X or Xp commission for phone calls received from potential prospects as response to a specific publisher Ad. Recently developed call-tracking technology allows to create a bridge between online and offline advertising. Pay-per-call advertising is still new and in its infancy.

Pay-Per Percentage
This is a new compensation model and is designed to be click fraud resistant. Pay-per-percentage is an advanced form of pay-per-impression. Within this system, someone can bid for a percentage for all impressions for certain keyword(s) or keyword phrase(s) over a specified period of time. In the pay-per-percentage model, click fraud is avoided because the advertiser is not charged any additional amount for clicks. The business model is based upon a percentage of ad impressions.

Pay Per Action
This is a new compensation model and is designed to be click fraud resistant. Under this model, advertisers do not pay every time a user clicks on an ad. Instead, payment is only made when a click through leads to a desired action. This could be a purchase, filling out a form, downloading trial software, or even making a call.

Paid Inclusion
Another possible solution to pay-per-click is known as paid inclusion. This is a new compensation model and is designed to be click fraud resistant. Although many of the paid inclusion companies have come and gone over the years, there is a new compensation model that is offering a very optimistic solution to the many pay-per-click problems we are facing today.

The paid inclusion program offered is a cross between the older paid inclusion models and the reigning pay-per-click model. Purchased ad's are displayed in a similar manner to the pay-per-click ad's but advertisers are charged on a flat fee basis, not on a per click basis.

This program makes click fraud irrelevant because ad's are displayed for a certain period of time, regardless of the number of clicks or impressions received.

AFFILIATE MARKETING COSTS £100.