Affiliate Marketing
Affiliate marketing is a performance-based marketing model in which a business pays external partners a commission for each customer or sale they refer.
Affiliate marketing aligns incentives by paying only for results. A merchant defines what counts as a conversion (a sale, lead, signup, or subscription) and the commission for each, then recruits affiliates who promote the offer to their audiences using tracked links and codes.
Because spend is tied directly to outcomes, affiliate marketing typically has a predictable, measurable return on investment compared with channels billed by impressions or clicks. It powers everything from creator-driven e-commerce to large B2B SaaS partner programs.
See also
- Affiliate
An affiliate is an individual or company that promotes another business's products in exchange for a commission on the sales or actions they generate.
- Merchant
A merchant is the business that owns the product and runs an affiliate program, paying partners a commission for the customers they refer.
- Conversion
A conversion is the qualifying action — such as a sale, signup, lead, or subscription — that triggers an affiliate commission.
- Commission
A commission is the payment an affiliate earns for each qualifying conversion they drive, set as a percentage of the sale or a fixed amount per action.
Turn the theory into a live program
Afflio handles tracking, commissions, and payouts so you can run the program these terms describe — start free in an afternoon.
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