Affiliate marketing offers a relatively easy way to earn money. It involves recommending third-party products or services in exchange for commissions. 

Moreover, you have the option to choose any product or service that aligns with your personal brand. This makes it a convenient choice for freelancers looking to diversify their income streams.

Today, we bring you a guide on affiliate marketing, where we’ll explain what it is and how it works. You’ll also discover how to start working in this field, how much money you can make, examples of affiliate marketing, and more.

Affiliate Marketing: What It Is and How It Works to Generate Income

What Is Affiliate Marketing?

Affiliate marketing is a strategy used by companies to have others drive traffic and generate sales for their products or services. In return, those who participate (affiliates) receive a commission for a specific action as established in the program.

This business model is an excellent way to generate income, especially if you’re a digital marketing freelancer or content creator.

How Does It Work?

Affiliate marketing works quite straightforwardly.

First, the interested company develops an affiliate program. Then, you can sign up to obtain an exclusive link. This link contains a tracking identifier so the company can monitor if you’ve sent customers who make purchases.

Next, you start promoting the product using the link on channels where you already have a follower base (social media, blogs, etc.).

When a potential customer clicks on the link and makes a purchase, the page where the product is located detects that the sale came from your affiliate link. With that information, the company pays you the agreed commission.

Reasons to Do Affiliate Marketing

One of the main reasons to engage in affiliate marketing is its profitability, as you don’t have to invest much time or money. You also don’t need to create a specific product or service because it’s already done.

Here’s a list of the most relevant benefits:

• Once affiliate links are set up in your channel’s content, they generate continuous income.

• You can promote products aligned with your niche and audience to increase relevance and effectiveness.

• It’s a low-risk business model.

• If you’re a social media freelancer, for example, you can monetize your expertise and audience.

• It allows for massive dissemination through various websites and social networks, where you can apply your own tactics to maximize earnings.

• You have the freedom to promote products from multiple companies, increasing your revenue.

• It’s a good option whether you’re looking for part-time jobs or full-time work.

• It allows you to diversify your income sources, which is useful when the workload is light or available projects aren’t as lucrative.

Additionally, different types of professionals can start working in affiliate marketing, even if you’re a programmer, designer, or virtual assistant without experience.

How Much Money Can You Earn in Affiliate Marketing?

Earnings can vary.

According to a study by Influence Marketing Hub, 57.55% of affiliates in these programs earn less than $10,000 annually, while around 3.78% earn more than $150,000 per year.

Most affiliates in this report fall within the mid-range, with incomes ranging from $10,000 to $50,000 annually.

However, this largely depends on how good you are, the niches you choose, and the effort you put into promoting products. It also depends on the type of promotion you choose, as there are several ways to make money with this strategy.

How Do You Make Money?

• Per Click: You get paid for each click on the ad.

• Per Action: You earn when a user performs a specific action, such as signing up or purchasing.

• Per Thousand Impressions: You get paid for every thousand views of the ad.

• Per Sale: You receive a commission only when a sale is made through the link.

What Tools Are Used in Affiliate Marketing?

Affiliate marketing can become a simpler job if you use tools to optimize your work.

Here are some indispensable tools for affiliate marketing:

• Google Search Console: Monitors and resolves technical issues on your website, improving its visibility on Google and performance.

• Thirsty Affiliates: Manages and tracks affiliate links, providing statistics on clicks and protecting your links.

• Ahrefs: Helps identify relevant keywords, analyze competitors, and optimize your content to improve search engine visibility.

• Rank Math: A WordPress plugin that optimizes the on-page SEO of your web pages, improving their ranking in search engines.

• Google Analytics: Provides detailed data on traffic and user behavior on your site.

These tools will allow you to work better and be more efficient in maximizing your success.

Top 3 Affiliate Platforms

There are many sites with affiliate programs to promote what they sell. But if you want to get started in affiliate marketing, here are three of the best options:

1. Amazon

With the Amazon affiliate marketing program, you can earn commissions on sales generated through the personalized links they provide. Besides being easy to use, registration is free. Once you sign up, you can start recommending products—just make sure they’re relevant to your niche and/or audience.

The process is open to bloggers and content creators with approved websites.

2. Hotmart

This company’s business model is based on digital products, such as courses and eBooks on various topics. Its platform has thousands of products that you can promote on your preferred channels. To do Hotmart affiliate marketing, you don’t need to invest anything—just register and promote the products. Your commission is secured when someone buys through your shared link.

This platform is accessible, offers commission options, and provides Hotmart tools to optimize performance.

3. Rakuten

The Rakuten affiliate marketing platform stands out for its advanced analytics and monetization capabilities. As an affiliate, you can leverage a wide range of analytical tools to optimize your campaigns and maximize profits. While you’ll need to reach a minimum quota of $50 to cash out, it’s popular for its ease of use and diverse list of participating companies.

These three options are attractive for anyone looking to effectively scale their income.

How to Start Working in Affiliate Marketing

If you want to work in affiliate marketing, you need to follow a strategic approach to increase your chances of success.

The basic steps to get started are:

1. Define a Niche

In a highly competitive digital environment, it’s essential to focus on a specific niche. This not only helps you stand out but also attracts a more targeted audience. Try to choose one that you like, that you’re knowledgeable about, or that you want to explore so you can create valuable content.

2. Choose a Content Platform

Decide where you will promote the products or services, as you have several options:

• Social media

• Podcasts

• YouTube

• Blogs

• Email marketing

• Website, etc.

The choice depends on your niche and personal preferences. For example, if your audience prefers visual content, a YouTube channel might be the best option.

3. Research and Know the Products

Before promoting any product or service, study it to understand what you’re recommending. Ensure that it really delivers what it promises; otherwise, you’re likely to lose followers. Knowing the products well makes your promotions more credible and effective.

4. Choose the Right Affiliate Program

Ideally, choose a program that suits your interests and skills. Suppose you’re a freelance graphic designer. It would be wise to opt for those that align with the tools and software you use in your daily work. For example, the Adobe Creative Cloud affiliate program, which you could recommend if you know and use it. Besides promoting their design tools, you’ll earn money and provide genuine value to your audience.

You should also research your options, considering the commissions offered and the relevance of the product to your niche. Likewise, check if they at least have traditional payment methods. This way, you can use your DolarApp Mastercard and save on exchange rates. Once you know which program suits you, sign up.

5. Request and Promote Your Affiliate Links

Once you’re signed up, request your affiliate links and start sharing them through your chosen channel. Keep in mind that the content should naturally include the links, be engaging, and add value to sell. That’s why it’s necessary to personalize and adapt the ads to your style and audience. This adds authenticity and makes your promotions more persuasive and trustworthy to users.

By following these basic steps, you can establish a solid foundation in affiliate marketing.

Examples of Affiliate Marketing

Now that you know the basics of affiliate marketing, we’ll show you how it works in practice.

1. Amazon/Gear Patrol

Gear Patrol is a site that creates content about technology and lifestyle products. Their guides and reviews are detailed and include affiliate links to Amazon products. So, when readers click that link and make a purchase, Gear Patrol earns a commission. This way, they monetize their content while providing value to their audience with reliable recommendations.

2. Microsoft 365

The prestige of Microsoft makes its affiliate program attractive to many companies that want to promote Microsoft 365. However, the corporation doesn’t accept just any application. Microsoft protects its image and only partners with trusted platforms.

3. NerdWallet/Credit Cards

NerdWallet offers comparisons and reviews of financial products, such as credit cards. This content includes links that direct their audience to the relevant pages, where they can apply for these cards. Of course, they earn commissions for each referred customer.

FAQs

Who are the key players in affiliate marketing?

Affiliate marketing involves affiliates, who promote the products or services. It also includes the affiliate network to facilitate collaboration and communication. Then there are the creators, who are the companies that develop the product or service and manage the affiliate program. Finally, there are the consumers—the users who make purchases.

How do you choose an affiliate marketing program?

Evaluate which one offers the best commissions and benefits. Then review the minimum sales requirements and commission limits to understand your potential earnings. Finally, opt for programs that provide good support in case you need help. Always promote products or services you know well to offer authentic and valuable content.

What types of freelancers can work with affiliate marketing?

It’s a viable option for content creators, graphic designers, writers, digital marketing consultants, or any freelancer. The most important thing is to have a solid user base or a relevant network of contacts.