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Affiliate marketing

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Affiliate marketing is a popular method of promoting online businesses in which a website (the affiliate) is rewarded for every visitor, subscriber and/or customer provided to the sponosoring website or online business. Amazon.com was one of the first online businesses to pioneer such a practice, offering websites the ability to receive commissions on books sold to their visitors to referred to Amazon.com. It is a modern variation of the practice of paying finder's-fees for the introduction of new clients to a business. Compensation may be made based on a certain value for each visit, registration, product purchase, or any combination.

Some e-commerce sites run their own affiliate programs while other e-commerce vendors use third party services provided by intermediaries to track traffic or sales that are referred from affiliates. Merchants who are considering adding an affiliate strategy to their online sales channel should research the different technological solutions available to them. Some types of affiliate management solutions include: standalone software, hosted services, shopping carts with affiliate features, and third party affiliate networks.

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Source

Information for this entry came from the following Wikipedia entry: Affiliate marketing

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