What is an affiliate network?

February 20, 2023

What is an affiliate network and what types of affiliate programs do we know?

An affiliate network is a platform that connects affiliates (individuals or companies) with merchants. Affiliates use the affiliate network to find and join affiliate programs and to manage their earnings and commissions. Merchants use the affiliate network to recruit affiliates, manage their affiliate programs, and track the performance of their affiliates.

What is an affiliate network?
What is an affiliate network?

In the affiliate marketing model, affiliates earn a commission for promoting a merchant's products or services. When an affiliate promotes a merchant's products or services and a customer makes a purchase as a result, the affiliate earns a commission. The affiliate network acts as an intermediary between the affiliate and the merchant, tracking the sales and commissions and paying out the earnings to the affiliates.

What types of affiliate programs do we know?

  1. Pay-per-sale (PPS) affiliate programs:

    In this model, affiliates earn a commission for each sale they make. The merchant pays the affiliate a percentage of the sale price.

  2. Pay-per-click (PPC) affiliate programs:

    In this model, affiliates earn a commission for each click on an advertisement or link. The merchant pays the affiliate a predetermined amount for each click.

  3. Pay-per-lead (PPL) affiliate programs:

    In this model, affiliates earn a commission for each lead they generate for the merchant. A lead could be a sign-up for a newsletter, a request for more information, or a request for a quote. The merchant pays the affiliate a predetermined amount for each lead.

  4. Pay-per-install (PPI) affiliate programs:

    In this model, affiliates earn a commission for each software installation they generate for the merchant. The merchant pays the affiliate a predetermined amount for each installation.

  5. Revenue-sharing affiliate programs:

    In this model, affiliates earn a percentage of the revenue generated from sales of the merchant's products or services. The affiliate's commission is based on a percentage of the total sales made through their referral links.

  6. Cost-per-action (CPA) affiliate programs:

    In this model, affiliates earn a commission for each specific action taken by a customer. The actions could include making a purchase, filling out a form, or signing up for a service. The merchant pays the affiliate a predetermined amount for each action.

    You can track these types of affiliate programs through Nifty Stats. Buy Nifty Stats and get FREE VPS!
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