Affiliate programs are a popular way to monetize your blog or website traffic. When someone clicks through to your site and signs up for a free account, you earn money by referring them to products and services that you believe will benefit them.
Affiliate programs vary widely in terms of payouts, commission rates, and requirements. To succeed, you must carefully choose affiliates and products that align with your audience.
Payout structure: Make sure you know exactly how much you’ll earn before you start promoting. Payouts range from $5-$50 per referral, depending on the product and service being promoted. Many affiliate networks pay out monthly or bimonthly. Others pay out quarterly.
Commission rate: This refers to how much you’re paid for each sale made by the person you referred to the affiliate network. Commission rates range from 5%-40%. There are some affiliate networks that pay less than 5%, whereas others pay well over 40%.
Requirements: Some affiliate networks require certain minimum payout thresholds. The threshold depends on the affiliate network and varies from $10-$100. In addition, some networks require users to reach certain purchase amounts or spend a certain amount in order to qualify.
Referral link: Every affiliate network requires a unique URL that points back to your own site. That means you won’t be able to refer to any other affiliate sites. You can create this URL yourself or use a third party tool.