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Affiliate Marketing: Affiliate Marketing Fundamentals Affiliate Marketing: Affiliate Marketing Fundamentals Title: Affiliate Marketing: Affiliate Marketing Fundamentals Course material - knowledge required - for certification Copyright © 2018 eMarketing Institute Web: www.emarketinginstitute.org Contact us eMarketing Institute c/o Web Media ApS Tove Maës Vej 7, 3.tv. DK-2500 Valby, Copenhagen Denmark VAT ID: DK 3531871301 Email: [email protected] 2 1. Introduction ....................................................................................................... 9 Affiliate marketing.................................................................................................................... 10 Affiliate marketing statistics .................................................................................................... 10 2. What Is Affiliate Marketing? ............................................................................ 14 The origin and development of affiliate marketing ................................................................. 14 Affiliate marketing defined ...................................................................................................... 15 Digital buyers ................................................................................................................................. 15 Getting started ......................................................................................................................... 16 Types of affiliate websites ........................................................................................................ 17 Benefits of affiliate marketing ................................................................................................. 17 Benefits for merchants .................................................................................................................. 18 Benefits for affiliates ...................................................................................................................... 19 3. Becoming a Merchant ...................................................................................... 22 What is a merchant? ................................................................................................................ 22 How to become a merchant? ................................................................................................... 23 Create a plan .................................................................................................................................. 23 Set up goals .................................................................................................................................... 29 Choose a network/software .......................................................................................................... 30 Promo material .............................................................................................................................. 30 Strategy to promote the program ................................................................................................. 31 What to expect? ....................................................................................................................... 31 4. How to Become an Affiliate ............................................................................. 34 What is an affiliate? ................................................................................................................. 34 How to become an affiliate? .................................................................................................... 34 Online presence ............................................................................................................................. 35 Essentials ........................................................................................................................................ 35 Choosing the program ................................................................................................................... 36 Joining the affiliate program .......................................................................................................... 37 Strategy to promote the affiliate links ........................................................................................... 39 3 What to expect? ....................................................................................................................... 40 5. Managing an Affiliate Program ........................................................................ 42 KPIs (Key Performance Indicators) ........................................................................................... 42 The number of affiliates ................................................................................................................. 42 Average activity percentage .......................................................................................................... 43 Traffic ............................................................................................................................................. 43 Sales ............................................................................................................................................... 44 Conversions .................................................................................................................................... 45 Communication methods ......................................................................................................... 45 Automated communication ........................................................................................................... 45 Ongoing communication ................................................................................................................ 46 Elements of good communication ................................................................................................. 46 Managing affiliates ................................................................................................................... 47 6. Affiliate Marketing Compensation Models ....................................................... 51 Pay per sale (PPS) ..................................................................................................................... 51 Pay per action (PPA) ................................................................................................................. 52 Pay per call ..................................................................................................................................... 53 Pay per install ................................................................................................................................. 53 Pay per click (PPC) .................................................................................................................... 53 Pay per mile (PPM) ................................................................................................................... 53 Void affiliate transactions ........................................................................................................ 54 7. Affiliate Marketing Strategies for Merchants ................................................... 57 Website .................................................................................................................................... 57 Affiliate program page ................................................................................................................... 57 Landing page .................................................................................................................................. 57 Social media ............................................................................................................................. 58 Scout for affiliates .......................................................................................................................... 59 Attach reviews ............................................................................................................................... 59 Gain trust ....................................................................................................................................... 59 4 Newsletter subscribers ............................................................................................................ 59 Affiliate networks ..................................................................................................................... 60 Affiliate directories ................................................................................................................... 61 Affiliate program manager ....................................................................................................... 61 Monitor and combine .............................................................................................................. 61 8. Affiliate Marketing Strategies for Affiliates ...................................................... 64 Product reviews ....................................................................................................................... 64 Product mention ...................................................................................................................... 66 Banners .................................................................................................................................... 68 Coupons ..................................................................................................................................
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