Common Affiliate Marketing Terms: Things You Must Know

Affiliate Marketing Business Terminologies

ARE YOU NEW? .. If you’re new to affiliate marketing, you may find yourself overwhelmed with the terminology used in the industry. From CPC to EPC, it can be hard to keep up with all the jargon.

That’s why we’ve compiled a list of the most common affiliate marketing terms that you need to know in order to successfully navigate this field.

Whether you’re a merchant or an affiliate, understanding these terms will help you communicate effectively, optimize your campaigns, and maximize your earnings.

Affiliate Marketing Business Terminologies

Here is a list of the top 50 common terms that you need to know about the affiliate marketing business

Affiliate Marketing
Affiliate
Merchant
Advertiser
Publisher
Affiliate Network
Commission
Cost per Action (CPA)
Cost per Click (CPC)
Cost per Lead (CPL)
Cost per Mille (CPM)
Click-Through Rate (CTR)
Conversion Rate
Earnings per Click (EPC)
Return on Investment (ROI)
Landing Page
Call to Action (CTA)
Traffic
Impressions
Clicks
Sales
Cookies
Tracking Code
Performance Marketing
Affiliate Manager
Payment Threshold
Affiliate Disclosure
Sub-Affiliate
Two-Tier Affiliate Program
Multi-Tier Affiliate Program
Pay per Click (PPC)
Pay per Lead (PPL)
Pay per Sale (PPS)
Pay per Call (PPC)
Hybrid Commission Model
Revenue Share
Coupon Affiliate
Content Affiliate
Niche Affiliate
Email Marketing
Search Engine Optimization (SEO)
Social Media Marketing
Banner Ads
Text Links
Display Ads
Native Ads
In-Text Ads
Video Ads
Affiliate Link
Affiliate Website

AGAIN! .. If you’re new to the affiliate market, please DO NOT skip these. It may take some time, but it’s a must that you understand before moving forward.

So .. let’s dive into the world of affiliate marketing terminology!

1. Affiliate Marketing

Affiliate marketing is a marketing strategy in which a business rewards affiliates for each customer or visitor brought to their website through the affiliate’s marketing efforts.

Affiliate marketing is a type of online marketing where a business rewards affiliates for promoting their products or services.
The affiliates are given a unique link or code to promote the products, and they earn a commission for every sale or lead they generate through their promotion efforts.
It is a performance-based marketing strategy where both the merchant and the affiliate benefit from the sales generated through the affiliate’s efforts.
Affiliates can be individuals, companies, or other entities that have an audience or a platform to promote the merchant’s products.
Merchants can be online businesses, retailers, or service providers who want to expand their reach and increase their sales by partnering with affiliates.
Affiliate marketing is a low-risk, low-cost marketing strategy for merchants, as they only pay the affiliates when they generate sales or leads.
Affiliates can promote the merchant’s products through various channels, such as websites, social media, email marketing, and paid advertising.
Affiliate marketing has become a popular and effective way for businesses to increase their sales and reach new customers, and for affiliates to earn extra income or even build a full-time business.

2. Affiliate

An affiliate is a person or entity that promotes the products or services of a merchant in exchange for a commission.
Affiliates can be individuals, companies, or any other entities with an audience or platform to promote the merchant’s products.
Affiliates earn a commission when a sale or a lead is generated through their promotional efforts.
The commission can be a percentage of the sale value or a fixed amount, depending on the terms of the affiliate agreement between the merchant and the affiliate.
Affiliates play a crucial role in the performance marketing industry and help businesses to expand their reach and increase their sales.
The success of an affiliate marketing program often depends on the quality of the affiliates and their ability to promote the merchant’s products effectively.
The best affiliates are those who have a strong online presence, relevant content, and a loyal audience.
The affiliate model is a win-win situation for both the merchant and the affiliate, as the merchant can expand their sales reach and the affiliate can earn a commission for promoting the products or services they believe in.
Affiliates can promote products or services through a variety of channels, including websites, blogs, social media, email, and paid advertising.
The affiliate model has become a popular and effective way for businesses of all sizes to increase their sales and grow their brand awareness.

3. Merchant

A merchant is a person or company that sells products or services.
Merchants offer an affiliate program to promote and sell their products or services.
Merchants are also known as advertisers because they advertise their products through the affiliate program.
Merchants can be online businesses, retailers, or service providers who want to expand their reach and increase their sales by partnering with affiliates.
Merchants offer commissions to affiliates for promoting and selling their products or services.
Merchants provide the necessary tools and resources to help affiliates promote their products effectively.
Merchants benefit from increased sales and brand exposure through their affiliate program.
Merchants can track the performance of their affiliates and adjust their affiliate program accordingly.
Merchants can set the commission rate and other terms of the affiliate program.
Merchants can choose to manage their affiliate program in-house or use an affiliate network to manage it for them.

4. Advertiser

An advertiser is a person or company that promotes and sells products or services to consumers.
In affiliate marketing, the term “advertiser” is often used interchangeably with “merchant” to describe the business that has an affiliate program.
The advertiser provides the products or services that affiliates promote and sell to their audiences.
Advertisers use various marketing channels to attract customers and generate sales, including social media, email marketing, content marketing, and paid advertising.
Advertisers offer commissions to affiliates for promoting their products or services and driving sales or leads to their website.
Advertisers often provide affiliates with marketing materials such as banners, text links, and product images to use in their promotions.
Advertisers track and manage affiliate sales and commissions through an affiliate network or an in-house affiliate program.
Advertisers benefit from affiliate marketing by reaching a wider audience and generating more sales without having to invest in traditional advertising channels.

5. Publisher – This’s You!

A publisher is an individual or company that promotes the products or services of a merchant through their website, blog, social media, or other online channels.
Publishers are also known as affiliates because they are affiliated with the merchant’s affiliate program.
Publishers earn a commission when a sale or a lead is generated through their promotional efforts.
Publishers can choose which merchants they want to promote and which products or services they want to advertise.
Publishers can use a variety of marketing strategies to promote the merchant’s products, such as banner ads, text links, product reviews, and email marketing.
Publishers can track their performance and earnings through the affiliate program’s dashboard.
Publishers can optimize their promotional efforts to maximize their earnings and improve their conversion rates.
Publishers can participate in multiple affiliate programs and promote products or services from different merchants.
Publishers can range from individual bloggers to large media companies with significant online audiences.

6. Affiliate Network

Affiliate Network is a platform that connects advertisers with publishers who are willing to promote their products or services in exchange for a commission.

An affiliate network is a third-party platform that connects merchants and publishers.
Affiliate networks act as intermediaries between merchants and publishers, facilitating affiliate partnerships and tracking commissions.
Affiliate networks offer a variety of merchants and products for publishers to promote and earn commissions from.
Affiliate networks typically provide publishers with tools and resources to help them promote merchants’ products effectively, such as banners, text links, and reporting dashboards.
Affiliate networks also provide merchants with a platform to manage their affiliate program, track conversions and sales, and pay out commissions.
Affiliate networks often charge a fee to merchants for the use of their platform, and may take a percentage of the commission earned by publishers as well.
Affiliate networks offer benefits such as a large pool of potential publishers, streamlined management of affiliate programs, and access to performance data and analytics.
Affiliate networks can help merchants and publishers expand their reach and increase their revenue through affiliate marketing.
Popular affiliate networks include Amazon Associates, ShareASale, ClickBank, Rakuten Marketing, CJ Affiliate, Awin, Impact, Partnerize, Skimlinks, and FlexOffers.

7. Commission – “The Higher, The Better!”

Commission refers to a percentage or a fixed amount of money paid to an individual or a company for selling products or services on behalf of another party.

A commission is a percentage or a flat rate that is paid to the affiliate by the merchant for each sale, lead, or action generated through the affiliate’s promotional efforts.
The commission rate is determined by the merchant and can vary depending on the product or service being promoted, the level of competition, and other factors.
Commission rates can range from a few percent to as high as 50% or more, depending on the affiliate program.
The commission is only paid to the affiliate when a sale or a lead is generated through their promotional efforts, and the transaction is completed.
The commission is usually paid on a regular basis, such as monthly, and can be paid through various methods, such as direct deposit, PayPal, or check.
Affiliates can track their earnings and commission payments through the affiliate program’s dashboard.
Commission is a primary incentive for affiliates to promote the merchant’s products or services and can be a significant source of income for successful affiliates.
Commission can also be referred to as “affiliate earnings,” “affiliate revenue,” or “affiliate income” in the context of affiliate marketing.

8. Cost per Action (CPA)

Cost per Action (CPA) is an online advertising pricing model where the advertiser pays only for a specified action taken by a user after clicking on an ad.

CPA is a performance-based advertising model.
Advertisers only pay when a specific action is completed by the user, such as filling out a form or making a purchase.
CPA can be more cost-effective than other advertising models because advertisers only pay for the desired action, not just for impressions or clicks.
CPA campaigns typically require careful targeting and optimization to achieve the desired results.
Common types of CPA offers include lead generation, trial offers, and e-commerce transactions.

9. Cost per Click (CPC)

Cost per Click (CPC) is an online advertising model used to direct traffic to websites, in which an advertiser pays a publisher (typically a search engine, website owner, or a network of websites) when the ad is clicked.

CPC is a way for advertisers to only pay when someone clicks on their ad, rather than just displaying the ad with no guarantee of interaction.
The cost per click can vary depending on the competition for the specific keywords or audience targeted by the ad.
CPC is often used in search engine advertising (such as Google Ads) and social media advertising (such as Facebook Ads).
CPC can be an effective way to drive targeted traffic to a website, but it’s important to carefully manage and optimize campaigns to ensure a positive return on investment (ROI).

10. Cost per Lead (CPL)

Cost per Lead (CPL) is a pricing model used in online advertising and affiliate marketing, where the advertiser pays for every lead generated by a publisher.

Cost per Lead (CPL) is a digital marketing pricing model where advertisers pay for each potential customer or lead generated from an advertising campaign.
The cost of a lead is calculated by dividing the total advertising campaign cost by the number of leads generated.
CPL is commonly used in affiliate marketing and performance-based advertising campaigns.
CPL campaigns often require the lead to perform a specific action, such as filling out a form or subscribing to a service, before being counted as a lead.
CPL is often considered a more cost-effective advertising model compared to Cost per Click (CPC) or Cost per Impression (CPM) as it directly ties advertising spend to lead generation.

11. Cost per Mille (CPM)

Cost per Mille (CPM) is a digital advertising pricing model where advertisers pay for every thousand impressions of their ad that are displayed to users on a website or app.

Cost per Mille (CPM) is a type of online advertising pricing model.
CPM is based on the number of impressions (views) an ad receives.
The term “mille” refers to one thousand impressions.
Advertisers pay a set rate for every one thousand impressions their ad receives.
CPM is often used in display advertising, such as banner ads or pop-ups.

12. Click-Through Rate (CTR)

Click-Through Rate (CTR) is a digital marketing metric that measures the ratio of clicks to impressions or the number of times a user clicks on a specific link, advertisement or webpage.

CTR is a way to measure the effectiveness of online advertising campaigns.
It is calculated by dividing the number of clicks by the number of impressions (views) of an advertisement.
CTR is expressed as a percentage, with a higher percentage indicating a more successful ad campaign.
A low CTR may indicate that the ad is not relevant or engaging to the target audience, or that the ad placement is not effective.
Advertisers can use CTR to evaluate the performance of different ads, and make changes to improve their campaigns.

13. Conversion Rate

Conversion rate is a metric used in digital marketing and e-commerce to measure the effectiveness of a website or marketing campaign in converting visitors into customers.

Conversion rate is the percentage of visitors who take a desired action on a website or landing page, such as making a purchase, filling out a form, or subscribing to a newsletter.
It is calculated by dividing the number of conversions by the number of visitors, and multiplying by 100 to get a percentage.
Conversion rate is an important metric because it indicates how well a website or marketing campaign is performing in terms of achieving its goals.
A high conversion rate means that a larger percentage of visitors are taking the desired action, which can lead to increased revenue, customer acquisition, and other benefits.
Conversion rate optimization (CRO) is the process of improving conversion rates by testing and optimizing various elements of a website or marketing campaign, such as headlines, images, calls to action, and checkout processes.

14. Earnings per Click (EPC)

Earnings per Click (EPC) is a term commonly used in online marketing that measures the average earnings generated per click on a particular advertisement or link.

EPC is calculated by dividing the total earnings generated by the total number of clicks on an ad or link.
It is an important metric for affiliate marketers as it helps them to gauge the effectiveness of their marketing campaigns and the profitability of the offers they promote.
A higher EPC indicates that the campaign is generating more revenue per click, whereas a lower EPC suggests that the campaign may need to be improved.
EPC can vary depending on various factors such as the type of product or service being advertised, the quality of traffic, and the targeting methods used.

15. Return on Investment (ROI)

In affiliate marketing business, Return on Investment (ROI) refers to the amount of revenue generated by an affiliate’s marketing efforts compared to the cost of those efforts.

ROI in affiliate marketing is the ratio of the revenue generated by the affiliate’s marketing efforts to the cost of those efforts.
It is expressed as a percentage or a decimal fraction.
The higher the ROI percentage, the better the affiliate’s marketing efforts are performing.
Affiliates use ROI to evaluate the profitability of their marketing campaigns and make informed decisions about which campaigns to continue and which to discontinue.
ROI can help affiliates optimize their marketing efforts and maximize their earnings in the affiliate marketing business.

16. Landing Page

A landing page is a web page designed specifically to capture the attention of visitors and encourage them to take a specific action.

A landing page is a single web page designed for a specific purpose, usually to promote a product or service, or to capture leads.
It is often used in digital marketing campaigns, such as pay-per-click advertising, email marketing, or social media marketing.
The goal of a landing page is to convert visitors into leads or customers by encouraging them to take a specific action, such as filling out a form, making a purchase, or subscribing to a newsletter.
A landing page is designed to be simple and focused, with a clear and compelling call-to-action that guides visitors towards the desired action.
A landing page may include elements such as headlines, images, videos, testimonials, and social proof, all of which are intended to build trust and credibility with the visitor and increase the chances of conversion.
A well-designed landing page can be an effective tool for increasing conversion rates and maximizing the return on investment (ROI) of a marketing campaign.

17. Call to Action (CTA)

A Call to Action (CTA) is a marketing term used to encourage a target audience to take a specific action.

A CTA is a statement or message that encourages a target audience to take a specific action, such as signing up for a newsletter, making a purchase, or clicking a link.
It is usually presented as a button, hyperlink, or other clickable element.
CTAs are important in marketing because they guide a potential customer toward the desired action and help to drive conversions.
Effective CTAs are clear, concise, and specific about the action that is being encouraged.
They are often placed in prominent locations on a website, email, or other marketing materials to increase visibility and encourage engagement.
CTAs are a key element of any marketing campaign and can be used to increase engagement, leads, and sales.

18. Traffic – “No Traffic, No Money!”

In the context of the internet and websites, traffic refers to the number of visitors or users who access a website or web page.

Traffic is the volume of users or visitors that access a website or web page.
It is commonly measured in terms of the number of visits or page views per unit of time.
Traffic is a key metric for website owners and digital marketers as it indicates the popularity and reach of a website.
Different types of traffic include organic traffic, which comes from search engines, direct traffic, which comes from users typing a website’s URL into their browser, and referral traffic, which comes from links on other websites.
High traffic can indicate a successful website or marketing campaign, but it is important to also consider the quality and engagement of the traffic.
Understanding traffic patterns and sources can help website owners and digital marketers make informed decisions about content, advertising, and user experience to improve their website’s performance.

19. Impressions

In the context of digital marketing, impressions refer to the number of times an ad or piece of content is displayed to a user.

Impressions are a metric used to measure the reach of an ad or content piece.
They represent the number of times an ad or content piece has been displayed to a user, regardless of whether the user has interacted with it.
Impressions can be tracked across different digital channels, such as social media, search engines, and display advertising networks.
They are often used in conjunction with other metrics, such as click-through rates (CTR), to evaluate the effectiveness of an ad or content piece.
Impressions are a useful metric for advertisers and content creators to evaluate the reach of their marketing efforts and make informed decisions about their digital marketing strategies.

20. Clicks

In the context of affiliate marketing, clicks refer to the number of times a user clicks on an affiliate’s unique tracking link that leads to a merchant’s website.

Clicks are a metric used to measure the performance of an affiliate’s marketing efforts.
They represent the number of times a user clicks on the affiliate’s unique tracking link that leads to the merchant’s website.
Clicks are tracked and recorded by affiliate networks or tracking software and are used to calculate commissions owed to the affiliate.
Click-through rates (CTR) can be calculated by dividing the number of clicks by the number of impressions to measure the effectiveness of an affiliate’s marketing campaigns.
Clicks are a key metric in affiliate marketing as they directly impact an affiliate’s earnings and can help affiliates optimize their marketing efforts to maximize their earnings.

21. Sales

Sales refer to the number of transactions that result from an affiliate’s marketing efforts.

Sales in affiliate marketing represent the number of times a customer makes a purchase through an affiliate’s unique referral link.
Affiliates earn a commission on each sale they refer, which is a percentage of the sale amount.
Sales are a critical metric for affiliates to track, as they directly impact their earnings.
Affiliates can use various marketing techniques to drive sales, such as social media marketing, email marketing, and content marketing.
Successful affiliates focus on generating high-quality sales by targeting the right audience and promoting products that align with their audience’s interests and needs.

22. Cookies

In the context of affiliate marketing, cookies refer to small text files stored on a user’s device that track their activity on a website.

Cookies are used in affiliate marketing to track user activity on a website and attribute sales or conversions to the appropriate affiliate.
When a user clicks on an affiliate link, a cookie is placed on their device that contains information about the affiliate and the link they clicked on.
The cookie allows the affiliate network to track the user’s activity on the website and determine if they make a purchase or complete a desired action.
Cookies have a limited lifespan and will expire after a certain period of time, typically 30-90 days.
If a user makes a purchase or completes a desired action within the lifespan of the cookie, the affiliate who referred them will receive credit for the sale or conversion.
Cookies are an essential part of the affiliate marketing ecosystem and enable affiliates to earn commissions for driving sales and conversions.

23. Tracking Code – IMPORTANT!

A tracking code is a unique identifier that tracks user activity and attributes sales or conversions to the appropriate affiliate.

A tracking code is a unique identifier that is associated with an affiliate’s account.
When an affiliate promotes a product or service, they include a tracking code in the affiliate link or banner ad.
The tracking code allows the affiliate network to track user activity and attribute sales or conversions to the appropriate affiliate.
When a user clicks on an affiliate link or banner ad with a tracking code, the affiliate network places a cookie on the user’s device that tracks their activity on the website.
If the user makes a purchase or completes a desired action within the lifespan of the cookie, the affiliate who referred them will receive credit for the sale or conversion.
Tracking codes are an essential part of the affiliate marketing ecosystem and enable affiliates to earn commissions for driving sales and conversions.

24. Performance Marketing

In the context of affiliate marketing, performance marketing refers to a model where affiliates are compensated based on their performance or results.

Performance marketing is a type of affiliate marketing where affiliates are paid based on the results they generate.
The most common form of performance marketing is cost per action (CPA), where affiliates are paid a commission for each sale or conversion they drive.
Other performance-based models include cost per click (CPC), where affiliates are paid based on the number of clicks they generate, and cost per lead (CPL), where affiliates are paid for each qualified lead they generate.
Performance marketing is a win-win for both merchants and affiliates, as merchants only pay for results and affiliates have the potential to earn more money for their efforts.
Performance marketing requires a strong focus on metrics and analytics, as affiliates must track their performance and optimize their campaigns to maximize their earnings.
Performance marketing is a rapidly growing industry and is becoming an increasingly popular way for businesses to acquire new customers and generate revenue.

25. Affiliate Manager

An Affiliate Manager is a person or team responsible for managing the relationships between advertisers and affiliates.

An Affiliate Manager is responsible for recruiting, onboarding, and supporting affiliates in an affiliate program.
They are also responsible for managing the relationships between advertisers and affiliates, and ensuring that both parties are satisfied with the partnership.
An Affiliate Manager may provide affiliates with marketing materials, tracking links, and other resources to help them promote the advertiser’s products or services.
They may also provide performance reports and analytics to help affiliates optimize their marketing efforts and maximize their earnings.
An Affiliate Manager is typically employed by an affiliate network or an advertiser with an in-house affiliate program.
They play a crucial role in the success of an affiliate program and are responsible for ensuring that both advertisers and affiliates achieve their desired outcomes.

26. Payment Threshold

The payment threshold refers to the minimum amount of commission earnings an affiliate must accumulate before they can receive a payment from the affiliate network.

Payment threshold is set by the affiliate network and varies depending on the network’s policies.
It is usually expressed as a dollar amount or a percentage of commission earnings.
Once an affiliate’s earnings reach the payment threshold, they can request a payment from the affiliate network.
If an affiliate’s earnings are below the payment threshold, they will not receive a payment until their earnings exceed the threshold.
Payment threshold is designed to prevent affiliates from requesting frequent small payments and to reduce transaction fees for the affiliate network.
Payment threshold is an important consideration for affiliates when choosing an affiliate network, as it can affect how frequently they receive payments for their marketing efforts.

27. Affiliate Disclosure

An affiliate disclosure refers to the practice of disclosing to the user that the content they are consuming includes affiliate links.

Affiliate disclosure is a legal requirement in many countries to protect consumers from deceptive advertising practices.
It is a way for affiliates to be transparent with their audience about their financial relationship with the products or services they are promoting.
Affiliate disclosure can take many forms, such as a statement on the website, a banner, or a disclaimer within the content.
The disclosure should be clear and conspicuous, and not hidden or buried in the website or content.
Affiliate disclosure builds trust with the audience and can help affiliates maintain a positive reputation in the industry.
Failure to disclose affiliate relationships can result in legal penalties, loss of credibility, and damage to the affiliate’s reputation.

28. Sub-affiliate

A sub-affiliate is an individual or company who is recruited by an existing affiliate to promote a product or service.

A sub-affiliate is also referred to as a “second-tier affiliate“.
They are recruited by an existing affiliate to promote a product or service.
The sub-affiliate uses their own marketing channels to drive traffic to the product or service.
When a sale is made, both the existing affiliate and the sub-affiliate receive a commission, with the existing affiliate receiving a percentage of the sub-affiliate’s commission.
The sub-affiliate relationship can be beneficial for both parties, as the existing affiliate can earn additional commissions without doing additional work, while the sub-affiliate can earn commissions by promoting an established product or service.

29. Two-Tier Affiliate Program

A Two-Tier Affiliate Program is a program in which an existing affiliate recruits new affiliates to promote a product or service.

A Two-Tier Affiliate Program is also known as a multi-level marketing (MLM) program.
Existing affiliates recruit new affiliates to promote the same product or service.
When the new affiliate makes a sale, the existing affiliate who recruited them earns a commission.
The commission earned by the existing affiliate is typically a percentage of the commission earned by the new affiliate.
Two-Tier Affiliate Programs are a way for existing affiliates to earn additional commissions without directly promoting the product or service themselves.
They can be beneficial for both the existing affiliate and the new affiliate, as the existing affiliate can earn additional commissions without doing additional work, while the new affiliate can benefit from the mentorship and support of an experienced affiliate.

30. Multi-Tier Affiliate Program

A Multi-Tier Affiliate Program, similar with the “Two-Tier Affiliate Program”, is a program that allows affiliates to earn commissions not only from their own sales, but also from the sales of affiliates they recruit.

A Multi-Tier Affiliate Program is also known as a multi-level marketing (MLM) program.
It allows affiliates to earn commissions not only from their own sales, but also from the sales of affiliates they recruit.
Affiliates who recruit other affiliates are known as “upline” affiliates, while those who are recruited are known as “downline” affiliates.
The commission structure for a Multi-Tier Affiliate Program can vary, but typically involves a percentage of the sales made by downline affiliates.
Multi-Tier Affiliate Programs can be a lucrative way for affiliates to earn additional income by recruiting and mentoring other affiliates.
However, they can also be controversial and some people view them as a form of pyramid scheme.

31. Pay per Click (PPC) – It’s POPULAR!

Pay per Click (PPC) refers to a model of online advertising where advertisers pay a fee each time a user clicks on one of their ads.

PPC is a type of online advertising used by advertisers to drive traffic to their website or product.
Advertisers bid on specific keywords or phrases related to their product or service, and their ads are displayed when a user searches for those keywords or phrases.
Advertisers only pay when a user clicks on one of their ads, hence the name “pay-per-click.”
PPC is commonly used in search engine advertising platforms such as Google Ads and Bing Ads.
In affiliate marketing, publishers can earn commissions by driving traffic to an advertiser’s website through PPC advertising.
PPC advertising can be a highly effective way to drive targeted traffic to a website or product, but it requires careful planning and management to ensure a positive return on investment.

32. Pay per Lead (PPL)

Pay per Lead (PPL) is a commission model where an affiliate earns a commission for generating a lead for a product or service.

PPL is a commission model used in affiliate marketing.
The affiliate earns a commission for each lead they generate for the advertiser.
A lead is typically defined as a potential customer who has provided their contact information or taken some other action that indicates interest in the product or service.
PPL commissions are typically lower than commissions for sales, but the conversion rate may be higher because the required action is less involved.
PPL can be a useful model for affiliates who specialize in lead generation, as it allows them to earn commissions for generating leads without having to make sales.
Advertisers benefit from PPL because it allows them to generate leads without having to do the marketing themselves.

33. Pay per Sale (PPS) – It’s POPULAR!

Pay per Sale (PPS) is a commission model in which an affiliate earns a commission for each sale generated through their unique affiliate link.

PPS is a commission model used in affiliate marketing.
Under this model, an affiliate earns a commission for each sale that is made through their unique affiliate link.
The commission amount is typically a percentage of the sale value and is predetermined by the merchant or advertiser.
PPS is considered a performance-based commission model, as the affiliate only earns a commission when a sale is made.
PPS is a popular commission model in affiliate marketing, as it incentivizes affiliates to promote the product or service effectively and generate sales for the merchant or advertiser.

34. Pay per Call (PPC)

Pay per Call (PPC) is a pricing model in which advertisers pay affiliates a commission for each phone call generated by their marketing efforts.

PPC is a pricing model used in affiliate marketing to pay affiliates for generating phone calls to an advertiser.
Advertisers set a commission rate for each phone call generated by an affiliate’s marketing efforts.
Affiliates promote the advertiser’s phone number through various marketing channels, such as search engines, social media, and display ads.
When a user clicks on the phone number and makes a call, the affiliate receives a commission based on the commission rate set by the advertiser.
PPC is often used for high-value products or services that require a more personal touch, such as financial services or home services.
PPC is a useful model for affiliates who have strong phone sales skills and can generate high-quality leads for advertisers.

35. Hybrid Commission Model

In affiliate marketing, a Hybrid Commission Model is a pricing model that combines two or more commission structures to incentivize different types of actions from the affiliate.

A Hybrid Commission Model is a pricing structure that combines two or more commission models in affiliate marketing.
The commission models can be different, such as Pay per Click (PPC), Pay per Sale (PPS), or Pay per Lead (PPL).
The goal of a Hybrid Commission Model is to incentivize different types of actions from the affiliate, such as generating clicks, sales, or leads.
The commission rate for each action is set by the advertiser and can vary based on factors such as product type, target audience, and conversion rate.
A Hybrid Commission Model can be beneficial for both the advertiser and the affiliate, as it allows for a more tailored and flexible pricing structure based on specific marketing goals and performance metrics.
Hybrid Commission Models can be complex to set up and manage, but can offer significant benefits for advertisers and affiliates who are willing to invest the time and effort to optimize them.

36. Revenue Share

The revenue share is a pricing model in which affiliates receive a percentage of the revenue generated by their marketing efforts.

Revenue share is a pricing model used in affiliate marketing to pay affiliates a percentage of the revenue generated by their marketing efforts.
Advertisers set a commission rate for each sale or conversion generated by an affiliate’s marketing efforts.
The affiliate receives a percentage of the revenue generated by the sale or conversion, based on the commission rate set by the advertiser.
Revenue share is a common pricing model in affiliate marketing, particularly for online retailers and e-commerce businesses.
The revenue share model can be beneficial for both advertisers and affiliates, as advertisers can generate more sales and affiliates can earn commissions based on the revenue generated by their marketing efforts.

37. Coupon Affiliate

A coupon affiliate is an affiliate who promotes a merchant’s products or services through the use of coupons or discount codes.

A coupon affiliate is an affiliate who promotes a merchant’s products or services through the use of coupons or discount codes.
Coupon affiliates often have a dedicated website or blog that provides users with coupons and discount codes for various products and services.
When a user clicks on a coupon or discount code and makes a purchase, the coupon affiliate receives a commission from the merchant.
Coupon affiliates can generate high volumes of traffic and sales by offering exclusive or highly discounted coupons and deals.
Coupon affiliate marketing can be a win-win for both the merchant and the affiliate, as the merchant can drive more sales through the use of coupons, while the affiliate can earn commissions by promoting the coupons to their audience.

38. Content Affiliate – It’s POPULAR!

A content affiliate is a type of affiliate who creates and shares content to promote products or services.

A content affiliate is an affiliate who creates and shares content to promote products or services.
Content affiliates use various types of content, such as blog posts, articles, reviews, and videos, to promote products or services.
They typically have a niche or area of expertise and create content that is relevant to their audience and the products or services they are promoting.
Content affiliates often use affiliate links within their content to earn commissions when users make a purchase through their links.
Content affiliates can be bloggers, YouTubers, social media influencers, or other types of content creators.
Content affiliates can be highly effective at driving traffic and sales for advertisers, as their audience trusts their recommendations and views them as an authority in their niche.

39. Niche Affiliate – It is a MUST for a BEGINNER!

A niche affiliate is an affiliate who promotes products or services within a specific niche or industry.

A niche affiliate is an affiliate who focuses on promoting products or services within a specific niche or industry.
They have expertise in a particular topic or market and can provide valuable insights to their audience.
Niche affiliates often have a smaller audience but a higher conversion rate due to their expertise and targeted marketing efforts.
They promote products or services that are relevant to their niche and audience, increasing the likelihood of sales and conversions.
Niche affiliates can be highly successful by building a loyal following within their niche and establishing themselves as a trusted authority.

40. Email Marketing

An email marketing is the practice of promoting products or services through email campaigns.

Email marketing is a digital marketing strategy used in affiliate marketing to promote products or services through email campaigns.
Affiliates collect email addresses from their audience or customers and use them to send promotional emails.
Emails can contain information about new products, sales, or special promotions, and include affiliate links to drive traffic and sales.
Email marketing campaigns can be automated using email service providers and can be personalized based on the recipient’s interests and behaviors.
Email marketing is a cost-effective way to reach a targeted audience and can be highly effective in driving sales and conversions.
Affiliates must ensure that their email campaigns comply with anti-spam laws and include opt-out options for recipients.

41. Search Engine Optimization (SEO) – VERY IMPORTANT !!!

Search Engine Optimization (SEO) is the process of optimizing a website or content to rank higher in search engine results pages (SERPs).

SEO is the process of optimizing a website or content to rank higher in search engine results pages (SERPs).
The goal of SEO is to improve the visibility and traffic to a website through organic search results.
SEO involves various techniques such as keyword research, on-page optimization, and link building.
Keyword research involves identifying the search terms and phrases that users are using to find products or services within a specific niche.
On-page optimization involves optimizing the content and structure of a website to make it more search engine-friendly.
Link building involves acquiring high-quality links from other websites to improve the authority and relevance of a website.
SEO is an essential aspect of affiliate marketing as it can drive organic traffic to an affiliate’s website and increase the likelihood of conversions and sales.

NOTE! .. It is necessary to learn more about the topic of SEO and to have a thorough understanding of how to utilize this knowledge effectively.

42. Social Media Marketing

In affiliate marketing, social media marketing is the practice of promoting products or services through social media platforms.

Social media marketing is the practice of promoting products or services through social media platforms, such as Facebook, Twitter, and Instagram.
Affiliates use social media to reach their audience and promote products or services through various types of content, such as posts, videos, and stories.
Social media marketing can be highly effective in reaching a large audience and building a following.
Affiliates can use social media analytics to track engagement and conversions and optimize their marketing efforts.
Social media marketing can be used in conjunction with other affiliate marketing strategies, such as email marketing and content marketing, to create a comprehensive marketing plan.
Social media marketing is a constantly evolving field, with new platforms and trends emerging regularly, making it essential for affiliates to stay up-to-date with the latest trends and strategies.
The effective social media platforms for affiliate marketing are Facebook, Instagram, YouTube, Pinterest, Twitter, TikTok, and more.

43. Banner Ads

The banner ads are graphical advertisements that are placed on a website or social media platform to promote a product or service.

Banner ads are graphical advertisements that are used to promote a product or service in affiliate marketing.
They are typically displayed on websites or social media platforms, often in the form of a rectangular or square image.
Banner ads contain a call-to-action (CTA) that encourages users to click on the ad and visit the advertiser’s website.
They can be created in different sizes and formats, such as static images, animated gifs, or HTML5 files.
Banner ads can be targeted to specific audiences based on demographics, interests, or behavior, increasing the likelihood of conversions.
Banner ads are a popular marketing tool for affiliates as they are visually appealing and can generate a high volume of clicks and conversions.

44. Text Links

Text links are hyperlinks that are embedded within text and direct users to a product or service.

Text links are a common type of affiliate link used in online marketing.
They are hyperlinks embedded within text that direct users to a product or service.
Text links can be used in various types of content, such as blog posts, articles, and social media posts.
Text links are an effective way to promote products or services without disrupting the user experience.
They are often used in combination with other types of content, such as product reviews or recommendations.
Text links can be customized with unique tracking codes that allow affiliates to track clicks and conversions.

45. Display Ads

The display ads are graphical ads that are displayed on websites or social media platforms.

Display ads are graphical ads that are used in affiliate marketing to promote products or services.
They are typically placed on websites, social media platforms, or other digital channels.
Display ads can come in various formats, such as static images, animated GIFs, or videos.
They are designed to catch the user’s attention and encourage them to click on the ad and visit the advertiser’s website.
Display ads can be targeted based on factors such as demographics, interests, and browsing behavior, allowing for more effective and efficient advertising.
Display ads are a common form of affiliate marketing and can be an effective way to generate traffic and sales for advertisers.

46. Native Ads

In affiliate marketing, native ads are advertisements that blend in with the content of a website or platform.

Native ads are a type of advertisement that matches the form and function of the platform on which they appear.
They blend in with the content of a website or platform and appear as though they are part of the content.
Native ads can take many forms, such as sponsored content, recommended articles, or in-feed ads.
They are designed to be less intrusive than traditional ads and provide a better user experience.
Native ads can be effective in affiliate marketing because they are less likely to be perceived as advertisements and can generate higher engagement and conversion rates.
Native ads require careful consideration and planning to ensure that they align with the platform’s guidelines and provide value to the audience.

47. In-text Ads

In-text ads are a type of online advertising used in affiliate marketing.

They are ads that are placed within the content of a website or blog post.
These ads are usually hyperlinks that lead to a product or service that is being promoted.
In-text ads are designed to blend in with the surrounding content, making them less intrusive than other forms of advertising.
They are often used to promote products or services that are related to the content of the website or blog post.
When a user clicks on an in-text ad and makes a purchase, the website owner or blogger who posted the ad receives a commission from the advertiser.

48. Video Ads

Video ads are a type of online advertisement that uses video content to promote a product or service.
In affiliate marketing, video ads can be used to promote affiliate products or services and drive traffic to affiliate links.
Video ads can be displayed on various platforms, such as social media, YouTube, or websites.
Video ads can be created using different formats, such as short clips, product demos, reviews, or tutorials.
Video ads can be targeted to specific audiences based on demographics, interests, or behaviors to increase their effectiveness.

49. Affiliate Link – IMPORTANT!

An affiliate link is a unique URL that includes a special tracking code.
The code allows the affiliate program to track clicks and sales generated by the affiliate.
Affiliates share their unique affiliate link with their audience.
When someone clicks on the affiliate link and makes a purchase, the affiliate earns a commission on the sale.
The commission rate and terms may vary depending on the affiliate program.

50. Affiliate Website

An affiliate website is a website that promotes products or services through affiliate links.
The website is usually created by an affiliate marketer to generate traffic and earn commissions.
Affiliate websites can be focused on a specific niche or industry.
The website may include product reviews, comparisons, and recommendations with affiliate links embedded in the content.
Some affiliate websites also use display ads and other forms of advertising to generate additional revenue.

CONCLUSION .. Understanding affiliate marketing terms is essential for anyone looking to succeed in this industry. By familiarizing yourself with these terms, you’ll be better equipped to navigate the world of affiliate marketing and build a successful affiliate business.

Read more useful content for the basics of affiliate marketing here.