Affiliate MarketingAffiliate marketing is a popular method of promoting web business where an affiliate is compensated for each visitor, subscriber and/or customer provided through their efforts. This is a modern variant of the practice of paying finder's fees for introducing new customers to a company. Compensation can be made based on a certain value for each visit (Pay-per-click), registrant (Pay-per-lead) or a commission for each customer or sale (Pay-per-Sale)¡¨ (Affiliate Marketing , 2006). According to Harwood (2005), to get paid the affiliate does not just generate traffic. Most affiliate networks are operated on a CPS (cost per action) basis, so the customer may need to make a purchase or sign up for a service. ¡§ There are a number of affiliate network providers, including TradeDoubler, DGM, Commission Junction, Affiliate Window and Affiliate Future, who sit between the advertiser and affiliate by providing the underlying technology. This includes tracking and reporting on sales made through affiliate programs. The network also receives a commission on a CPA basis. The benefit of running an affiliate program is that it is a cost-effective way to acquire customers, while also allowing smaller web publishers to monetize their sites. Affiliates can be of any size but tend to be experts in online marketing and customer acquisition, particularly in the field of search engine marketing. Affiliates will optimize their sites and use paid search to gain traffic, which they will then pass on to the merchant (Harwood, 2005, p.24). E-Marketing Affiliates Various large e-marketing affiliates such as Commission Junction, LinkShare, and AssocTrac provide e-marketing and revenue potential for both advertisers and online publishers. Each company is summarized below. " also offers e-marketing tools to increase sales and leads. The company offers a suite of marketing products and multi-channel online marketing solutions that help advertisers achieve their revenue goals. Advertisers only pay for positive responses and that means the risk is low. Advertisers can also increase or decrease their payment rates. Publishers earn by placing on their site, which are used to maximize revenue.„X LinkShare (www.linkshre.com). provides a suite of web-based tools and services and a pay-for-performance program. Linkshare provides access to a large number of advertisers who offer programs to affiliates.
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