Is affiliate marketing,the way to go in online business?
We’ve all heard the term “affiliate marketing” by now, but what exactly is it? It’s a bit technical, and it’s not clear what the exact definition is, but I’ll try to explain.
Let me give you an example: any supermarket is an affiliate marketer. Every supermarket sells other companies’ products. They get the license to sell the product, buy it in bulk, and then stock their store shelves with it and sell it to customers. By selling other people’s products, they earn a profit. Their business grows, and soon they are learning the ropes on how to develop their own product to sell.
They develop this product and sell it along with the other companies’ products, but the trick is that they sell their own products at a cheaper rate. This makes consumers buy more of their products than the other guy’s, and so they become less dependent on the sales from brands that are not their own. This is essentially how it works, and it’s what supermarkets like Tesco have done to create their brand.
You do the same thing with affiliate marketing on the internet; you sell other people’s products, all the while gaining knowledge on how the system works and how you can do it yourself. You eventually develop a product, but now the hard part is figuring out how to market it. What’s your pitch? How will you get people to buy your product? Many people end up partnering with another company to promote your product.
Step by step, you’ll learn to improvise and market on your own like any supermarket does. The only difference between you and a supermarket chain is that they do things on a larger scale, but the process is pretty much the same. Hopefully, this has helped you to understand the process of affiliate marketing. It’s as simple as that.
There’s a lot of confusion surrounding affiliate marketing, and much of the general public is suspicious that it may be a pyramid or MLM scheme because they are uneducated about what it really is. It’s important to have a good understanding of the process to prevent false assumptions about this type of business. Affiliate marketing is all about building a relationship with clients and customers, which is different from referral marketing. It’s not about being popular or profitable, but rather about giving value to customers. Affiliate marketing isn’t just some get rich scheme; it’s a viable business model.
Affiliate marketing is the future of the business marketplace because you are selling legitimate products on behalf of a company. You are basically giving a testimonial on a product that’s been useful to you, but you just happen to be making a profit by doing so. It’s cheap for you to sell, and the company gets low-cost advertising for their business. It’s a win-win for everyone involved.