How Affiliate Marketing Works Step by Step

How Affiliate Marketing Works Step By Step

So you are here to find out how affiliate marketing works but first of all let’s just understand what affiliate marketing is, I’m sure most of you do already,but for those who don’t….

Affiliate Marketing is the promotion of a product or service in exchange for a commission. You could market such a product or service in a variety of ways, you might have a website to promote the product or you might promote it on social media. The way that you make a commission is to deliver a customer to the website selling the product or service through a unique link that identifies you as the person responsible for sending them there, that way if they make a purchase, you are paid the commission.

A great bonus is that they don’t have to buy right there and then, they could come back days later to complete the sale and you still get the commission. With some sellers you get paid the commission for any product the visitor buys, not just the one that you were promoting. Another great thing about affiliate marketing is that you don’t handle to dispatch side of the process, this means that you can run an affiliate marketing business from absolutely anywhere.

Affiliate marketing is easy…..easy if you can get the product in front of enough people, that is the more difficult side of affiliate marketing.

A website needs lots of regular visitors to produce enough sales, for every 100 visitors to your web page, you might just make 1 sale. If the sale earns you $10 and you need to earn $3000 a month then the math tells you that you need 300 sales a month, so that is 30,000 (300 x 100) unique visitors a month, where are you going to get them from?

Social media needs a lot of followers to produce enough sales because you might have 30,000 followers and say 300 of them buy the product, what next? Do you need another 30,000 followers to get the next 300 sales? or do you hope that next month a different 300 from your 30,0000 buy the product and so on each month.

But maybe you don’t have 30,000 followers, maybe you only have 2000? If the conversion rate is the same 1% then instead of 300 sale yo only get 20, so that’s $200 not $3000. Now an extra $200 is welcome any month, but it’s not enough to give the day job up for.

So to be successful in affiliate marketing the most important factor is getting in front of enough eyes. You might consider paying for ads, but if the conversion rate is just 1%, you will be spending more on advertising that you will be making in commission, a lot more.

This is why a lot of people start affiliate marketing but soon give up because they aren’t making the sales. So is affiliate marketing worth it? Is affilate marketing profitable?

The answer is yes….. if you go about it in the right way. You need to look at affiliate marketing as a long term strategy, not a quick get rich thing. Plan it out, not expecting to make money from day 1. In fact you should expect to put in at least 3 months of time and effort before you see anything, but if you can do that, you can build an amazing passive income that is there for the rest of your life.

Right from the beginning the two questions that you need to get your head around are What products are you going to be promoting? and How are you going to find enough people to promote them to? So now we have a little background in place lets take a closer look at how affiliate marketing works, step by step.

HOW Affiliate Marketing WORKS – Step 1 – Choose a Niche

The first step is to decide on the area, category or type of products that you are going to promote. In affiliate marketing this is known as your niche. It can be a very specialist niche or something wider but generally speaking it is best to choose something that you are interested in, and already quite knowledgeable in. When you are promoting and recommending products to others who is going to take any notice of your recommendation if you don’t appear to know what you are talking about.

In affiliate marketing you can’t just say ‘go buy this’ and just expect people to do so. You have to be able to recommend something with an air of expertise and knowledge. Let’s say you have an interest in food and cookery so you are going to find your niche somewhere relating to that subject.

When you are thinking about this niche or speciality, think about how online sellers like Amazon categorize things. They have about 20 or so main categories, like Computers, Pet Supplies, Home and Kitchen etc. One of these could be your niche, but in reality it is too broad you can’t be an expert in everything within those broad categories, so narrow it down.

Within Home & Kitchen there is Kitchen & Dining, this is still to broad a topic, so narrow it down further. Within Kitchen & Dining there is Kitchen Utensils & Gadgets, now you are getting closer, this could be your niche, or you could narrow down even further. Within Kitchen Utensil and Gadgets there is Barbecue Tools.

That would make a great niche because you can become an expert on this area quite quickly and learn a lot, and it is closely related to your interest in food and cookery. It also allows you to create add on products that are related to your niche, so once you have covered all of those different barbecue tools you could talk about the best gas barbecues, you could talk about the best barbecue recipes or outdoor dining furniture. You see you create a tight specialist niche that still allows you to expand at a later date.

HOW Affiliate Marketing WORKS – Step 2 – Find Your Audience

So now you have a niche in mind, you now need to look at the second step and think about how you are going to find an audience to promote it to. We have already seen that advertising is unlikely to be a viable option. One reason for this is that online advertising costs are quite high, and the second is that you are working for a commission, it might be only 8%, so you don’t have anything left to spend on advertising, you need to find a no cost audience.

You might have a couple of thousand followers on your social media channel, but how are they going to react to you suddenly talking about barbecue tools when its people who are just used to talking music, makeup and fashion with you…..or should your niche be more closely related to one of those to make it fit more closely to your current social media profile? Probably not because that audience that you have built aren’t really there to buy products from you, they are your virtual friends, not customers.

No, if you intend to promote via social media, you need to build a channel specifically to do so, a channel where your followers are following you to see content directly relevant to your niche.. Is your channel going to be video based? If so you could look at Youtube and TikTok, or for photo’s you can build something on instagram. You also need to consider how you are going to take a social media follower and direct them to a particular product or service. Most social media allows you to include a link, but not a necessarily a different link in each post.

Maybe you should be building a website around your niche, to produce your audience? it might be called or something similar, here you might write reviews of various products, or top 10’s or comparisons. Each review would have links taking your visitors to the website that is selling the product that you are promoting. Building this type of website is very easy, you can find advice and instructions on my other pages, but if you cope with Microsoft Word and Facebook then you can build a website to promote your affiliate marketing.

Every page of your website will be promoting a different product, or products, all related to each other, of course. Do it right and you will have a growing number of visitors reading your content and buying the products that you promote. Focus on building great, unique, useful content and once your website becomes established it will be bringing in new and returning visitors day after day, year after year, with minimal input from you.

In reality you should build the website and use social media to drive your followers towards it, this way you get the best of both and benefit from both.

Affiliate Marketing – Step 3 – Build an Email List

Your website should also collect visitor emails, because that becomes a second marketing channel. You had a visitor interested in barbecue tools, you offer a giveaway related to barbecues, maybe a barbecue recipe eBook in exchange for their email address and each month you email them with a round up of your latest posts, you know they are already interested in the products you promote, and every time you send an email to your growing list of email addresses you have a opportunity to see even more products to them.

Affiliate Marketing Step 4 – Rinse & Repeat

So here we have a full on affiliate marketing business, you are writing good unique website content that is liked by search engines that then deliver interested searchers to your website, you back this up with social media accounts that deliver even more visitors and you have an email marketing list that drives even more sales. A business that just keeps on growing as time goes by, but how long does it take to start making money?

Here content is king. The more unique content you have the better, don’t just copy and paste somebody else’s work. You need to allow 3 months of steady writing and social media activity to start bringing visitors.

Try to get your website, as quickly as you can, to the point where it has at least 30 reviews or articles, each one at least 1500 words long, preferably longer, aim for 2500 words if possible. This gives you at least 45,000 words of content over 30 pages, all these words potentially bringing in people looking for those words. Try to get to this point within three months if you can, it won’t be easy, because that is a new article every three days, but if you can do this you can then throttle back to just one new item a week.

At the end of the first year you will have around 70 pages each bringing in visitors each day. Imagine each article producing just one sale day earning you $5 a sale, that is $350 a day, that over $120k a year, even if it was only a quarter of this it would still be $30k a year from 3 months hard work, then gentle passive growth from there. Affilate marketing done well is very powerful.

Don’t expect google to deliver visitors any time soon in those first few months, it likes to see steady growth of useful unique content before it starts to deliver your pages in the results, this is why you build your social media at the same time to bring visitors in before Google starts to open its taps. So build multiple social media channels Instagram and Facebook work well, TikTok is great for short 60 second intro’s to your web pages. Also create a Pintrest board with lots of lovely sizzling food pics as well as product photos, each pintrest post can have a different link back to your pages.

So there you have how affiliate marketing works – step by step, do it right, follow the steps and you can build your own private pension generating cash pipeline.

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Chapter 1: Introduction to Affiliate Marketing
Chapter 2: How to Identify & Pick Hot Selling Products
Chapter 3: Using Pay-Per-Click to Promote Affiliate Products
Chapter 4: Using Search Engine Optimization to Sell Products as an Affiliate
Chapter 5: BUM Marketing Exposed for Affiliates
Chapter 6: Leveraging on FREE Reports to Increase Affiliate Sales
Chapter 7: Rising to the Super Affiliate Level
Chapter 8: Become a Supreme Affiliate Marketer Today!

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