Introduction to Affiliate Marketing
Affiliate Marketing is a performance-based marketing strategy where individuals (affiliates) earn a commission by promoting products or services of other companies. Affiliates use unique tracking links, and when a sale or lead is generated, they receive a commission.
How Does Affiliate Marketing Work?
1️⃣ Affiliate Joins a Program – The affiliate signs up for an affiliate program of a company (e.g., Amazon Associates, ShareASale).
2️⃣ Gets a Unique Tracking Link – The company provides a unique affiliate link.
3️⃣ Promotes the Product/Service – The affiliate shares the link through blogs, YouTube, social media, or websites.
4️⃣ User Clicks & Buys – A visitor clicks the link and completes a purchase or action.
5️⃣ Affiliate Earns a Commission – The affiliate receives a percentage of the sale.

Feature | Affiliate Marketing | Dropshipping |
---|---|---|
Investment | Low (No inventory needed) | Moderate (Handles order fulfillment) |
Earnings | Commission per sale | Profit margin per product |
Control | Limited (Depends on merchant policies) | Full control over pricing & branding |
Risk | Low | Higher (Customer service, refunds) |
Best For | Bloggers, influencers, content creators | Entrepreneurs wanting to sell products |