Resource Guide for Affiliate Marketing Managers
This section of our web site is intended for affiliate marketing managers looking to understand the basics of affiliate program management and marketing.
Overview of Affiliate Marketing Basics
Affiliate Marketing is the relationship between website owners and merchants whereby the merchant offers the website owner (affiliate) commission for linking to his/her merchant site.  Affiliates send traffic to the merchant site through these affiliate links and the affiliate is rewarded each time a visitor converts to a sale (CPA) or lead (CPL).  In some cases the affiliate is also paid for each click (CPC).

Some merchants prefer to join affiliate networks such as Commission Junction while many others prefer to start their own in-house affiliate marketing program using an affiliate software solution such as Affiliate Wiz.  The benefits of an in-house program are the enormous cost savings.  Joining a network such as Commission Junction can be very costly.  The only drawback of an in-house affiliate program is you must manage the program yourself and you don't have an immediate pool of affiliates that are typically available in affiliate networks.  The cost savings often overshadow the drawbacks.

Internet affiliate marketing has become a vital part of all merchants' internet marketing efforts.  The main sources of web traffic for web sites in today's market are Paid Search Engine advertising, Affiliate Marketing, and high rankings in the organic listings of popular search engines such as Google and Yahoo.

Affiliate Marketing Terms
Here are a few marketing terms you will hear quite often in the affiliate marketing business:

Cost Per Sale (CPA)
A web visitor referred by the Affiliate purchases goods and services from the Merchant.   The affiliate is rewarded for the sale by being paid a percentage of the sale.  This payment structure is referred to as - cost-per-sale or cost per acquisition (CPA).

Cost Per Lead (CPL)
A visitor referred by the Affiliate completes a form and submits their information on the Merchants website. This is called a lead and typically leads do not involve a purchase.  This payment structure is referred to as - cost per lead (CPL).

Cost Per Click (CPC)
A visitor to the Affiliates website clicks on a Merchants link and visits the Merchants website. This payment structure is referred to as - cost per click (CPC).   Most affiliate programs no longer pay on a Cost Per Click basis.  The majority pay only on a CPA or CPL basis.

Affiliate Wiz supports all 3 types of commissions.

The beauty of Affiliate Marketing shines in the fact that merchants get numerous advertising links from affiliated content sites at no cost unless a conversion is made.  There is literally no risk to the merchant.  This is where the benefits of an affiliate software solution outweigh a network solution.  Network solutions involve high fees to get started and if your affiliate program fails you will have already dished out a large sum of money.