What is affiliate marketing? Business owners that have products to sell, add what’s called affiliate program software to their website. An affiliate program is basically a server-side software that keeps track of affiliate sales and payments.

Affiliate programs therefore, allow business owners to sell more of their products using the help of affiliates. The program allows average people to join and get paid a percentage based on their advertising. Each member receives a special link that has a unique code. An affiliate promotes their affiliate link in their advertising to get paid for sales made from their efforts.

Affiliate marketing is basically the same as any other type of Internet marketing, such as network marketing. Although, there may be slight differences in approach. You may find that cold calling prospects and face to face selling may be preferred in certain network marketing programs. Whereas, affiliate marketing hardly ever requires affiliates to approach people in order to sell products.

Affiliate marketing is unique in its approach, taking out the element of traditional face-to-face selling. That is why this method appeals to many people who have never had any previous sales training. Besides not needing to call people on the phone or meet them in person, affiliate marketing can be much cheaper to tryout than network marketing opportunities.

This method of marketing is also attractive to newbie’s because members can scale-up their sales once they feel more comfortable with their learned marketing skills. Once that has been achieved, they may go on to promote additional affiliate links that give them even more ways to make money.

Affiliate marketing is one of the easiest programs to test out. However, it has a few drawbacks. Like network marketing opportunities, also called work at home opportunities, affiliate programs pay members a percentage of each sale. Some programs can pay as high as 75% of each sale. The tricky part is, the product might only cost $9.99. In order to make good money, the affiliate would need to sell a truck load.

There are several network marketing opportunities that pay higher percentages than affiliate programs. But the cost to operate the business would be much higher. Many Network marketing programs (MLM) require members to pay for monthly volume of products in order to be eligible to get paid a commission.

While it’s true that affiliate programs may be the new persons, or non-professionals best friend, there’s only one way to cash in on a higher scale of profits online… creating their own products. That’s right! For those who can create and market their own products will have a better chance at striking it big online.