Posts Tagged ‘Fraudsters’

Increasing Online sales Through Affiliate Marketing

March 15th, 2010 by admin | No Comments | Filed in Affiliate Marketing

One of the most tried, trusted, and beneficial ways of increasing online sales through marketing and advertising is affiliate marketing. This is basically a revenue share sort of system, where an affiliate is given a form of commission from a merchant, based on how many sales the affiliate has generated through advertising on his/her site. Affiliate marketing began just four years after the world-wide web was launched, and many successful e-commerce sites owe much to this simple yet effective method.

There are three types of affiliate marketing methods of payment either pay-per-click (generated by actual clicks or referrals to the merchant from the affiliates site), pay-per-action or pay-per-sale (very similar, in that the affiliate receives payment, either a fixed amount or commission, based on the sales or subscriptions that have come through referrals or adverts on the affiliates site.) The last two methods of payment are generally preferred by merchants, due to many fraudsters taking advantage of the click system and setting up sites with forced clicks, pop-ups, adware, spam, false advertising and many other black hat techniques.

Affiliate marketing is not limited to only display-adverts on an affiliate site, but also comes in the form of email, blogs, rss feeds, content and niche sites, loyalty sites, comparison sites or shopping directories, and other forms. It is an extremely low cost, but highly effective form of marketing and advertising, presenting little to no risk for both the merchant and the affiliate.

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Affiliate Marketing- the Stepchild of Online Marketing

March 14th, 2010 by admin | No Comments | Filed in Affiliate Marketing

The real step-child of online marketing is affiliate marketing, a tried and trusted method for creating sales and advertising websites or products online. Many e-commerce sites owe a great deal to affiliate marketing methods namely Amazon.com and CDNOWs WebBuy system. Affiliate marketing is a highly efficient way to create brand awareness and generate leads and business.

Affiliate marketing encourages affiliates to sell or advertise a merchants products by means of a revenue share or commission system. In the early days of the web when affiliate marketing started (about late 1994) most merchants made use of a Cost-Per-Click system (known as CPC or CPM) where an affiliate made money from every click to the merchants website generated from the affiliates site. Because of bad management and many fraudsters taking advantage of this system in various ways, only about 1% of affiliate marketing is now done this way. 80% of affiliate marketing is now on a cost-per-sale basis, where the affiliate receives commission for every actual SALE generated on the merchants site that is due to a referral from the affiliate and the last 19% of affiliate marketing is on a cost-per-action basis, where the affiliate receives a revenue-share if the person referred from their site actually subscribes or registers with the merchants website.

Affiliate marketing is done through different types of techniques or publisher websites – blogs and RSS feeds becoming quite a predominant method, as well as shopping and comparison websites, loyalty websites and others.

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Affiliate Marketing-Consistent And Profitable

March 12th, 2010 by admin | 1 Comment | Filed in Affiliate Marketing

In November 1994, just after the world wide web was born, a company called CDNOW came up with an online way of selling called BuyWeb a click through purchasing set-up that functioned independently from the storefront. This was the first profitable form of affiliate marketing, and many other online and e-commerce sites soon followed suite with similar programs (Amazon.com being an example.) Affiliate Marketing has now become a consistent method of advertising and selling, and now forms a large part of many companys marketing strategies. It is cheap, effective, and has little to no risk for all involved.

Traditionally, affiliate marketing functioned on cost-per-click systems, which means that the affiliate was paid for every advert or email clicked on or from their website. However, due to many fraudsters taking advantage of this system by using spam techniques, doing false advertising, creating ad-ware, using forced click techniques, doing SEO keyword stuffing, using tracking cookies and many similar techniques, the cost-per click system is not as popular as it once was. Merchants now rather use CPA (Cost-per-action) or CPS (cost-per-sale) techniques both being very similar in that an affiliate receives commission or a revenue share when a person subscribes to the merchant or buys a product from them from being referred by the affiliates site. These methods present little to no risk for both the merchant and the affiliate, and are therefore preferred. However, Googles new Latent Semantic Indexing could mean that CPS will become risk free as well (Latent Semantic Indexing will automatically fish out websites with nonsensical content, or that have keyword stuffing or are advertising sites that are not comparison or shopping sites.)

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