Affiliate marketing is when you promote other companies’ products. When someone buys through your affiliate link, you get a commission.
As an affiliate, you’re a salesperson for the company. You help to make a sale, the company rewards you.
A typical salesperson only sells products from one company. As an affiliate marketer, you can promote products from many different companies and earn commissions from all of them and you can get sales during your sleep.
The merchant gives each affiliate a unique link so they can track who was responsible for a sale. The link will usually look something like this:
Each affiliate has it's own affiliate unique code, when someone clicks that link, a small file called a cookie gets stored on their device.
- It helps the merchant attribute the sale back to the right person.
- It holds an expiration date, so you get paid even if the buyer delays their purchase.
Here is a small example showing you how the process works as an affiliate:
The simple answer is that there is no limit. It depends on your niche and the amount of work you put in.
The most successful affiliate marketers make six or seven figures a month.
For example, Pat Flynn from Smart Passive Income made over $100,000 in affiliate commissions in December 2017.
Recently STM forum conducted a poll where they asked about affiliates’ annual income. And you can see the results in the chart below:
- Total beginners, who are only losing money at the moment;
- Low-level affiliates, who earn up to $300/day;
- Intermediate affiliates, who earn from $300/day up to $3,000/day;
- High-level affiliates, who earn above $3,000/day;
- Super affiliates or, as you can often find them being called, “gurus of affiliate marketing,” who make more than $10,000/day.
This is one of the most profitable affiliate programs, the software and web hosting providers. Here the commission may be up to 30% on each payment.
Being one of the most attractive, it is also one of the most competitive. Probably not for a total beginner.
In the travel niche, most affiliates get their income from travel agencies, airlines, booking aggregators, reviews sites, and travel goods.
The commission depends on the brand you work with. If you work with the market leader, you can earn a great deal from commissions. For example, from 25% to 40% commission with Booking.com, 50% of the gross revenue generated with Tripadvisor, from 30% to 60% with Agoda, 5,5% for travel apparel and accessories and 7% for hiking or camping items with Amazon.
But the competition there is fierce. Working with smaller brands will give you a commission of something around 2-3%. If you invoke 20 sales a month, you can earn around $100-150.
Let’s take an example of Amazon, where you can earn from 4% to 8.5% commission on sales. But as all these are mainly B2C sales, where the check amount is comparatively low. But with a big audience and enough effort you can earn at least $1,000 with near 20-40 hours of monthly work.
In the Dating niche, affiliate commissions may look like this: up to $12 per lead, up to 5$ for referral commission, and up to $500 for the first order.
If an affiliate program has a loyalty (bonus) program, your commission can increase after a certain amount of sign-ups.
Loans form a niche where companies are fiercely competing for clients, and you can earn a decent income from this affiliate niche as well.
According to High Paying Affiliate Programs Loans affiliate programs, affiliate marketers can earn from $1 up to $5000 depending on loan size.
The topic of a healthy lifestyle has been one of the most-talked-about for quite a while. And it’s continuously growing. Promoting fitness and health products, you can earn up to 15-40% commission from every supplement sale.
Usually, it takes from 6 months to several years to start making profits with affiliate marketing.
More precise timing and your overall success depend on your ability to create quality content, optimize for SEO, drive traffic, and promote your affiliate products.
Don’t forget about the active usage of social media and email marketing. You will not skyrocket overnight. But by being consistent in the promotion of affiliate products, having the right marketing strategy will bring you to your desired income.