(Newswire.Net — March 22, 2013) Minneapolis,MN — Affiliate marketing has been around almost as long as the internet. What’s new in the world of affiliate marketing—is the broad scope of people doing it, and the variety of lucrative payout plans available. Stay at home moms, retired baby boomers, internet saavy teenagers and career professionals tired of the 9 to 5 grind are all turning to affiliate marketing in hopes of achieving financial freedom.
The idea of marketing online through affiliates in exchange for a percentage of the sale revenue began with PC Flowers & Gifts and the Prodigy network in 1996. PC Flower’s founder eventually obtained patents on affiliate marketing and tracking in the United States in 2000.
According to Forrester Research, Inc. in the United States online businesses paid affiliate marketers an estimated $2.98 billion dollars in 2012. That number is projected to increase to $3.47 billion in 2013 and $4.01 billion in 2014. The Performance Marketing Association confirms that “Affiliate marketing is a multi-billion marketing channel, which comprises more than 200,000 businesses and individuals”.
What do affiliate marketers do?
They direct anyone and everyone online to anything and everything that is being sold online. Directing people to everything from cars and boats for sale to a university’s admissions office for possible enrollment in college. Gargantuan online retailers like Amazon.com have huge affiliate programs that cover all the myriad products available there.
How much commission does an affiliate make?
Commissions are usually paid as a percent of the sale price of a product. Since the profit margin on a product determines how much the seller can spend on advertising, this is a huge factor determining an affiliate’s commission. For instance Amazon.com pays what are considered low commissions for the industry, with commissions ranging from 4-8.5%.
Digital products on the other hand generally have a large profit margin and pay much higher commissions. One can expect to make 50% or more selling digital products as an affiliate. One company has even broken the mold when it comes to affiliate commissions and offers an unheard of 100% commission on its digital internet education products. Paradoxically the company’s educational products focus on showing how to make money online with affiliate marketing.
For more information on affiliate marketing go to http://www.affiliatemarketinginformation.net