Are you new to affiliate marketing? If so, then being here is very important to you. Because in this article I will share a complete basic knowledge of Affiliate Marketing or affiliate marketers. You can join certain affiliate programs and apply digital marketing strategy, then you will be successful and earn lots of affiliate commissions.
Before you get too far in running an affiliate program or becoming an affiliate marketing, you should understand some of the terms below, because the general instances that I will explain below you will definitely encounter in the affiliate marketer world.
And don’t forget to bookmark this page because, who knows, you might need it when you encounter a term that you don’t understand and come back to this page to find answers to terms that exist in affiliate marketing.
Affiliate Marketing Terminology
Affiliates or Affiliate : Marketers who are paid by a company to promote products or services for that brand.
Affiliate Agreement : The agreement between the advertiser and the affiliate regarding the terms of service that defines the relationship. This includes commissions, conversions, and payment terms. Affiliate marketers must read the agreement carefully to understand what metrics they are trying to achieve such as sales, clicks, or other metrics.
Affiliate Links : A link that acts as a unique identifier with a special code to help track affiliate activity and user conversions.
Affiliates use affiliate links in any promotional efforts for a brand ranging from blog posts promoting the brand’s products or services, to placing banner ads on your affiliate site, or status on social media.
Affiliate Marketing: an advertising model in which brands pay commissions to affiliates based on the desired outcome of the goal. For example, a brand might pay affiliates a percentage for each referral they make for a purchase.
Affiliate Network: Affiliate networks are made up of companies or brands that offer compatible or complementary products that you can promote for money.
Affiliate Program: When a brand offers a product to offer in exchange for a commission for promoting their product. For example, Bluehost Affiliate is bluehost Affiliate program, where marketers can promote their hosting services.
Affiliate Tracking: Affiliate tracking refers to the tracking and measurement provided of affiliate link results, enabling marketers to track and monitor the number of sales, clicks or leads they generate and determine the payouts accordingly.
Banner ads: Graphic ad or banner ad used to attract visitors to a company website.
Click ID : After the visitor clicks on the affiliate link, a unique number or Click ID will be generated. It is used as an identification method to track potential customers coming from affiliate properties.
Click-Through Rate (CTR): Percentage of website visitors who saw and clicked on your ad or affiliate link.
Commission: Money you pay after a sale, lead, or desired action. These terms are usually predefined in the affiliate agreement.
Contextual Links: Clickable text that is located within a web page or blog post. These editorial links can improve your SEO, increase traffic, and improve site rankings.
Conversion: A high-value act for a brand. This can be the act of converting a visitor into a paying customer, but there are also lighter conversions like an ebook download, or filling out a lead form.
Conversion Rate: The percentage of people who have clicked on your affiliate link, and have also completed the desired action or conversion.
Cookies: Data that tracks user activity, and session information. This allows the affiliate program to track users back to affiliate efforts. In many affiliate program providers, each affiliate link includes a tracking cookie of at least 3 months. This means that if a user clicks on your affiliate link, you will be credited as a referral, as long as the user is registered and makes a purchase within 3 months.
Cost Per Acquisition (CPA): In Affiliate Marketing, CPA means cost per action. CPA is the commission that the company pays for certain actions.
Cost Per Click (CPC): In affiliate marketing, CPC means the cost per click or CPC. This is the commission the brand pays for every click on your ad or affiliate link.
Cost Per Lead (CPL): In Affiliate Marketing, CPL is the cost per lead. The CPL is the commission the brand pays for each lead you generate.
Cost per 1000 Impressions (CPM): In Affiliate Marketing, CPM is the commission the brand pays for 1000 impressions on your affiliate link or ad.
Cost per Sale (CPS): In Affiliate Marketing, CPS means cost per sale. CPS is the amount of commission the company pays to the affiliate for each sale.
Cost per View (CPV): In Affiliate Marketing, CPV means cost per view. CPV is the amount of commission a brand spends on getting a single view or impression on your affiliate links or advertisements.
Deep linking: Affiliates that link to a specific product page or within a page. Because that’s the name, deep linking.
Disclosure: A notification on your website or email that notifies visitors that you may be paid or compensated for promoting a product or service.
Hyperlink: Often referred to as simply a “link,” is an element in an HTML document that links to other parts of the document or to other documents at once.
Impression: The number of times the ad has been shown.
Keywords: Certain keywords that users type on a search engine through their browser to find information online.
Payment Threshold: The minimum amount of commission an affiliate must receive before they can receive a payment from the Affiliate program.
Payout: The amount of money that Affiliate Marketing receives for each conversion.
Postback: The target URL used by the affiliate network platform to track conversions.
Referral: When someone clicks on an affiliate link, they are “referred” by that affiliate. Referrals are a way for marketers to track who sent traffic, clicks or conversions to a particular product or service.
Search Engine Optimization (SEO): Actions that make it easier for search engines to find your website (and thus your product or service) by increasing visibility on Search Engine Results Pages (SERPS).
Search Engine Results Page (SERP): A group of results on a search engine based on a search query.
Social Media Marketing: Often used by affiliates and other marketers to promote offers and distribute content to their audience. It is the use of social media to increase awareness of a brand, product or service.
Subdomain: Part of the DNS (Domain Name System). The primary domain is referred to as the “root domain” while the subdomain is part of the primary domain. For example, at https://demo.verandalounge.co.uk/, verandalounge.co.uk is the root domain, while “demo.verandalounge.co.uk” is a subdomain.
Tracking Code: ID attached to the affiliate link that allows you to track the traffic sent to the brand’s product or service.
Traffic: Total visitors to a website or page, usually tracked in a tool like Google Analytics.
Unique Click / Unique Conversion: The number of times a link is clicked on or leads to a conversion by an individual or unique person.
Unique User: One visitor counted as one user regardless of how many times they visited the site.
Universal Resource Locator (URL): Web address, for example https://www.verandalounge.co.uk/contact/
Viral Marketing: A type of marketing that encourages users to pass information on to others, often with rapid growth and popularity.
Web hosting: Services that enable organizations and individuals tohosting website or web page on the internet.
And those are some of the terms that you will encounter when joining or running an affiliate program, the terms above are very important for you to know so that it is easy to understand each affiliate program that you participate in.