Affiliate marketing provides benefits to all parties involved. The process involves a merchant getting affiliates to let them set up links to their sites in order that they will get more interest. By doing this everyone is supposed to earn a little extra money. Here are the benefits to both the merchant and the affiliate.

As said, the main benefit to the merchant will be the fact that they will get a lot more interest to their website by introducing ads to their own sites and products through other peoples websites. If they can, they will set up dozens of links to lots of popular sites that will help them to generate larger sales.

In addition to this, the merchant will be able to get repeat sales from those who have been interested by one of the products. If they are very happy, they will even refer the site on and therefore further sales may well be generated. All this is done through the simple and cost effective strategy of just placing ads onto other peoples sites.

So what is it that the people who run these sites get out of this arrangement? well, as an affiliate, they will be entitled to a commission for each and every sale that is made from a link on their site. This commission will have to be agreed at between the two parties, but for the affiliate it is a no risk way of generating extra income.

If they are concerned that having ads and banners from other websites all over their own will degrade their site in any way, then they need not worry. Research has shown that many people actually welcome all of these ads as it allows them to do a little shopping whilst looking through their favorite sites.

As a result of affiliate marketing, both parties are able to make a bit of money and profit. If the affiliate makes money and chooses to re-invest it into their site then this can only be a good thing as it will attract even greater interest to their site, as well as allowing more people to take a look at the merchants ad as well.