Affiliate marketing system is quite easy to understand and run. Here, we will consider how affiliate marketing system works.
The first thing is for the affiliate to sign up for an affiliate program. The program enables the affiliate to get the link he or she will post on his or her website or blog. This link is called affiliate link. The link contains the ID of the affiliate. Once clicked, the link directs the customer to the website of the advertiser.
Whenever the affiliate mentions the advertiser or the product being advertised in his or her publication, he/she will use the affiliate link. When a customer visits the site and clicks the link, the advertiser automatically drops a cookie to the buyer’s computer.
When the customer makes an order and buys the product or service, the advertiser traces the cookie to the affiliate’s link and in turn, pays the sales commission to the affiliate. Commissions are generally paid on monthly basis or based on the agreement between the advertiser and affiliate.