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Affiliate marketing programs has never been as popular before as it is today. Why? There may be a number of reasons. The most likely reason, however, could the fact that the benefits of affiliate marketing have become clearer to a lot of people now than they were before.

Today, both the merchants and the affiliates can see clearly that affiliate marketing can work for both of them. The merchant sees affiliate marketing today as the chance to advertise their products at lower costs. The affiliates, on the other hand, sees affiliate marketing as an easy way to earn profits online by doing what they prefer, and that is by creating websites.

Just as the popularity of affiliate marketing has shifted into greater heights, so the people have changed the outlook about it. It is not more affiliate marketing today is to promote as an alternative method for the merchant, its products, or as an additional source of income for the affiliates. For merchants and affiliates alike, affiliate marketing is now not considered as a major source of profits and gains.

So the question now is what type of affiliate marketing will work best for you? Are all affiliate marketing programs the same? Are the benefits the same? Or are there affiliate marketing programs that work better than others?

There are actually different types or classes of affiliate marketing, and on the number of species, as they are from a classification. The simplest affiliate marketing programs, however, falls under two categories: pay-per-click (PPC) and Pay-per-performance (PPP).

• Pay-Per-Click (PPC)

PPC is the most popular type of affiliate marketing for partners with small websites, and probably the easiest way for them to earn money. In this affiliate marketing type, the merchant pays his affiliate when a visitor to his website, that when someone clicks that is designated by the merchant banner or text ads. The Affiliate will be paid a certain amount even if the visitor he referred does not purchase anything from the merchant site. However, typical fees for PPC affiliate programs small, usually no more than a dollar for every click.

• Pay Per Performance (PPP)

PPP affiliate marketing is the most popular among merchant and is also the most lucrative type for the affiliates. In this type of affiliate program, the merchant only pays the affiliate when its recommendation leads to an action, that is, if the visitor he has referred actually something the dealer purchased locally or if the visitor to a lead. That means a lot of savings for the retailer. On the other hand, it is the most lucrative type for the dedicated partner for commissions in PPP affiliate marketing usually comes in the range 15% to 20% of the actual product sales.

Pay-per-sales (PPS) and pay-per-lead (PPL): Pay-per-performance affiliate marketing can be classified into two popular types.

o Pay Per Sale (PPS)

In a pay-per-sale type of affiliate marketing, the merchants pay the affiliate a certain fee if the visitor he has referred to the merchant site actually buys something the merchant site. Affiliates are often paid on a commission basis, although other merchants choose to pay a fixed fee. But no matter what is the basis of compensation, it is usually higher than the fee paid to affiliates in a pay-per-click affiliate program.

o Pay Per Lead (PPL)

The pay-per-lead type of affiliate marketing is a slight variation of the PPS type and is often different from insurance and finance companies and businesses that are growing on a leash for their businesses depend. In this type of affiliate marketing, the affiliate is paid if the visitor he referred to the merchant site fills an application form or similar form in connection with the business of the company. Compensation for this type of affiliate marketing is a fixed fee whose rates approximate that of the fixed fee in the PPS type.

Apart from these three specific types of affiliate marketing, a lot of other affiliate marketing types exist. If the classification is based on the depth of the affiliate network, it can be classified as single-tier, two-tier and multi-tier affiliate marketing. There is also another type of affiliate marketing that pays the affiliate each time a customer buys something, he was expelled from the merchant side.

• Single-Tier, Two-Tier and Multi-Tier Affiliate Marketing

These types of affiliate marketing are at different levels or tiers in the affiliate network, were made by the payments. In a single-tier affiliate marketing program, the partners are only on the direct sales or traffic he has referred to the dealer paid off. All the previously mentioned affiliate marketing types (ie PPS <PPL, and PPC) fall under the single-tier classification.

• In two-tier affiliate marketing programs, the affiliate paid not only for the direct traffic or sales that he refers to the merchant site itself, but also to all traffic and sales of various other partners, the affiliate program denotes joined by his recommendation. Multi-tier affiliate marketing works the same way, although the affiliate gets additional commission for a larger number of affiliates in different tiers in the affiliate network.

• Residual Income Affiliate Marketing

In residual income affiliate marketing, the affiliate receives not only once for every customer he has referred to the merchant site paid off. Rather, the affiliate is also paid when the referred customer returns to the site he has and buying another product. Compensation for this type of affiliate marketing is to sales percentage commission or fixed fee two basis.

The different affiliate marketing types would virtually work differently for merchants and partners alike, and each would generally own list of benefits. Which type of affiliate marketing will work best for you? It's not really for me to tell. Rather, it is for you to choose which type of affiliate marketing program will fit your needs and characteristics best.

Related posts:

1. An Affiliate Marketing Glossary
2. Why you should promote residual affiliate programs
3. Sales Commission in Affiliate Marketing
4. Setting up an affiliate marketing system
5. Affiliate Marketing What It’s All About

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