An overview of Web affiliate programs

Web-based affiliate programs give independent publishers a low-cost, low-impact way of earning money by featuring ads or products from third-party vendors on their sites.

Affiliate/associate programs (the terms are interchangeable) are, at their heart, nothing more than mutually beneficial business relationships between merchants and affiliates. A merchant recruits affiliates to sell their products and in return, the affiliates earn a percentage of the profits. The merchant benefits from increased exposure to more customers and the affiliate benefits from a cut of the sales. This cut ranges, but generally it falls between 3 percent and 20 percent of the total sale.

There are thousands of Web-based affiliate programs catering to almost every subject. Some merchants run their own in-house programs while others use companies like Commission Junction or LinkShare to handle their affiliate efforts.

Becoming an affiliate is easy; usually all it requires is filling out an online form then waiting for approval. If your site is relevant to the merchant's products and mainstream in its content approach -- meaning, it doesn't dabble in pornography or other topics people might deem unseemly -- there's a good chance you'll be accepted into the affiliate program.

The hard part is determining which programs to join. It's tempting to join every affiliate program you see and clutter up your site with a variety of products and services. This technique rarely pans out. Instead, what you should do is work backwards from your content. Ask yourself: What do you cover on a day-to-day basis? What are the relevant products associated with your topic (or topics)? If you were a visitor to your site, what would you be interested in buying?

Answering these questions will narrow your affiliate programs down to those with the best potential to convert visitors into buyers. Remember, the Web already has its superstores -- your best bet for making money is to avoid general merchandise and always keep your specific visitors in mind.

Ways of linking in products

Once you are accepted into an affiliate program, you'll need to determine how to integrate a merchant's products into your site. A quick solution often offered by merchants are pre-made ad banners that can be posted on your site. When a visitor to your site clicks on one of these banners, a cookie is created on the visitor's computer that tracks the referral from your Web site. If that visitor makes a purchase on the merchant's site, you get a cut.

Banners are easy to implement, but they're not particularly adept at converting visitors into customers. Often, merchant banners have general messages that aren't relevant or timely (example: a merchant selling movie posters might have a banner showcasing new movies, but in time these movies won't be so new anymore). General messages rarely inspire visitors to click a banner, let alone buy something.

A more viable (and more labor intensive) affiliate technique is to use Web site content to soften visitors up for a sale by "recommending" a product. You've probably seen sites that do this; a writer will go on about a particular topic -- such as "making money on the Web" -- and amidst discussing the various points and counterpoints, the writer will insert links to recommended products. Often, these links are associated with affiliate programs. If a reader clicks on a link and makes a purchase at the linked-to site, the original content site gets a cut.

Kind of sneaky, right? It certainly can be, especially if a site claims to be a content site and doesn't make it known that some articles may have affiliate links embedded within the editorial. An independent publisher can certainly employ this technique and achieve good results, but the long-term prospects for a content site could be diminished because visitors may not appreciate the bait and switch.

Fortunately, there's an affiliate alternative that doesn't slosh around in this ethical gray area. An independent publisher can create specific "sponsor" areas on their pages. These sponsor areas can contain links to products and services related to the articles, but the links do not appear within the articles. These sponsor slots could also feature a link to a "What's This?" page that explains the site's affiliate and advertising relationships.

I use sponsor boxes on my other site, Filmfodder. At the bottom of Filmfodder's pages you'll see a "Filmfodder Store" box that includes affiliate products. This box -- and similar Filmfodder Store boxes -- are always clearly marked and they are always kept separate from the site's content. I never embed affiliate links within Filmfodder's editorial.

Personally, I determine the placement of affiliate links by looking at a site's ultimate purpose. For example, visitors to Filmfodder expect to find movie news and reviews. Visitors do not expect to find affiliate links and advertising within the content. However, on sites that aim to be pure revenue generators, I see no problem embedding links if this practice is acknowledged somewhere on the site -- perhaps in the footer or on the "about this site" page. The key is to be open about your business practices.

Note: This affiliate overview is only an introduction to affiliate programs. Becoming a successful affiliate requires a lot of research. A great place to begin is the Advertising Sales and Affiliates Programs Forum at WebmasterWorld. This forum is frequented by many independent publishers who are happy to share their tips and techniques. And just in case you're wondering, I have no affiliate relationship with WebmasterWorld and I'll make absolutely no money if you click on that link.

Related links

Name	Type	Notes
Commission Junction	Affiliate Network	Commission Junction has relationships with hundreds of merchants in a wide array of categories. The company's Web-based management tools are robust and easy to use.
LinkShare	Affiliate Network	LinkShare provides publishers with affiliate connections to many online vendors.
Webmaster World	Resource	An excellent resource for any publisher interested in online advertising or affiliate programs. Be sure to consult WebmasterWorld's FAQ before posting.
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