What is Affiliate Marketing & How does It Work?

What is Affiliate Marketing & How does It Work?

February 27, 2024

There are two kinds of people in the world - ones who know about affiliate marketing and the ones who don’t. Surely, the latter ones are missing out on an opportunity to be a part of something huge. Why? Today, the affiliate marketing industry is said to be worth 8.2 billion! We know this will only lead you to one question - How to get into it or how does it work? If you want to be counted as one of the best then you should read further! Within this blog you will learn about the best way to start your own affiliate marketing and drive growth to your affiliate marketing business.

What is affiliate marketing?

In simple words, as an affiliate marketer you’ll earn a commission for marketing the products of another person. Indeed, this is a great way to monetize your web traffic and get your hands on additional income. Do you come across ads which say “Earn while you sleep”? Well, truth be told, it may not be as easy as the saying but surely you can shift things in your favour in this industry. So, if you want to generate a passive income, then you should get into it.

How does it work?

It may seem that affiliate marketing is a simple concept, but you need to know the process to start with it. In the realm of affiliate marketing, there has to be a seller who initiates an affiliate program and then further he provides affiliate marketers with a unique link. This unique link is then used to promote the seller’s products. Also, the links are unique for each and every affiliate, therefore, it is easier to track for the seller to know who made the sale. 

Let's assume someone surfing on the internet happens to click an affiliate link, a cookie is then stored on their browser. This cookie is a proof of the sale that came from that particular affiliate. Also, sometimes a consumer might not necessarily make a purchase. What if they come back 25 days later and make the purchase? Well, if the consumer makes a purchase under the 30-day or before the cookie expires, then that will be recorded as a sale. 

Main role players

You’ll find 4 main role players if you look into some of the best affiliate networks in India and across the world today! Here’s a brief idea about what they do!

Affiliates (publishers)

Many people refer to affiliates as publishers because they are the ones who publish an ad on their sites or any other resources they are in contact with. So, basically this ad is published with an advertiser’s offer which can attract traffic and at the end get commission for the users who have made a purchase! That said, affiliates can be publishers but they can also be individuals or businesses. Majority of the affiliates are content creators who are involved in the same niche of the product that they wish to promote to their target audience.

The sellers

The products and services that affiliate marketers promote are made by these sellers. For doing so, they pay affiliate commissions. A seller wouldn’t necessarily be an individual, sellers can also be a full-fledged company. They are always trying to find affiliate marketing agencies and pay them if they are able to generate affiliate sales. Most of the time they’ll also hire an agency that’s counted among the best to keep their operations up and running.


Numerous sellers choose to work with an affiliate network to deal with their affiliate marketing programs. An affiliate network is also a pro at handling third party checks and managing relationships between sellers and affiliates. There are several affiliate networks that are constantly working on growing themselves in the affiliate industry. Why wouldn’t they, after all, it is one of the most booming industries!


Consumers are the ones who’ll end up buying products and services from the affiliate links. They are the ones who make a sale successful for an affiliate marketer.

3 Ways affiliate marketers get paid

Anyone who has just started affiliate marketing would wonder about how affiliate marketers get paid for their work. Well, there are 3 ways you’ll get paid as an affiliate markerter i.e per every sale, per click, and per lead.

If you are getting paid as per the pay-per sale model then you'd be paid for every sale you generate. In the pay-per-click model, affiliates get paid for the no. of clicks that they were able to generate. It doesn’t really matter if in this case a sale was complete or not. Third, the pay-per-lead model is where affiliate marketers get paid for the leads they generate. 

Affiliate marketing channels

It’s already clear that affiliate marketers are good at bringing in traffic and making a sale in large no. of ways. But if you are beginning in the field, then it can take some time to find a channel that helps you earn best. There are some affiliate marketing channels which are more preferred than the others. Here are some of the best recommended channels if you want to fuel you earnings this year:

  • Blog/website

One of the best affiliate marketing channels for someone who believes in the power of content is a blog/website channel. Many affiliate marketers have proven this affiliate marketing channel to be one of the most successful ones. If you are someone who wants to offer valuable products and services to your audience then you should go for this. Every blog can be used in that regard too. You can then promote affiliate links on your website or blog. It’s quite simple, all you need to do is write reviews or give tutorials regarding the same. What you’ll be doing in this scenario is building trust in your audience.

  • Email marketing


If you take email marketing as a channel to reach your audience then you are a genius! Because in email marketing you don’t have to rely on other sources like ads or social media. What you have to do is, make a targeted email list and then send them personalised emails through which you can be in contact with your audience directly. You can also use several email service providers available to create and manage your email list. Moreover, you can also track your results and make data-driven decisions. 

  • Review sites


Indeed, review sites are again a fruitful affiliate marketing channel. Moreover, review sites are all about product-related reviews wherein, you can find a indepth evaluation of a product or service. When customers browse through the range of your reviews they ended up getting a general understanding of the product or service. A review can also provide important information which might help a consumer to make a purchasing decision. Majority of the customers are known to trust such reviews which making purchases online.


In conclusion, affiliate marketing presents a lucrative opportunity for individuals and businesses to tap into the booming industry, currently valued at a staggering 8.2 billion. By understanding the fundamental workings of affiliate marketing, one can embark on a journey to not only monetize web traffic but also generate a passive income stream! Whether you are a seasoned marketer or a beginner, the vast opportunities within affiliate marketing await those who are willing to dive in and harness the potential for growth and financial success.

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February 27, 2024

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