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An affiliate marketing agency is an online sales tactic that lets a product owner increase sales by allowing others targeting the same audience—“affiliates”—to earn a commission by recommending the product to others. At the same time, it makes it possible for affiliates to earn money on product sales without creating products of their own.

Simply put, affiliate marketing involves referring a product or service by sharing it on a blog, social media platform, or website. The affiliate earns a commission each time someone makes a purchase through the unique link associated with their recommendation. Done well, this performance-based opportunity can become an important part of your business by netting you a healthy income.

How does affiliate marketing work?

To participate in an affiliate marketing program, You require these following steps:

Find and join an affiliate program

Choose which offers to promote

Obtain a unique affiliate link for each offer

Share those links on your blog, social media platforms, or website

Collect a commission anytime someone uses your links to make a purchase

Commission rates vary dramatically, depending on the company and the offer. On the low end, you’ll earn about 5% of the sale but, with some arrangements, you can earn as much as 50%, usually when promoting a class or event. There are also affiliate marketing programs that provide a flat rate per sale instead of a percentage.

Affiliate marketing agency offers several benefits to affiliates (i.e., you), one of which is its ease. Your side of the equation simply involves handling the “marketing” side of building and selling a product—educating customers. You don’t have to worry about the harder tasks, like developing, supporting, or fulfilling the offer.