What if we told you that all you needed to make money online was a website? You don’t have to create or produce your own products or offer a service. Sounds interesting? Welcome to the world of affiliate marketing.
According to Statista, companies’ spending on affiliate marketing has already hit $8.2 billion in the U.S in 2022. Moreover, Influencer Marketing Hub indicates that the industry will more likely grow to $15.7 billion by 2024-28.
Start today, and you will be in a prime position to take advantage of that. How? Let us elaborate.
What Is Affiliate Marketing?
Affiliate marketing means sharing a special link to someone else’s product or service. If someone clicks your website’s link and buys something, you earn a small fee. This fee can be a portion or percentage of the price or a set amount.
For example, if you click and buy the hardcover book for $33.25, the business will make about $1.50.
Is Affiliate Marketing Real?
Yes, it’s real. It’s not a trick.
Affiliate Marketing is allowed by law (as long as you follow your country’s rules).
It’s fair (as long as you tell people you’re sharing affiliate links and only talk about stuff you trust).
Why Try Affiliate Marketing?
Here are four reasons why people give it a shot:
1. Not expensive to begin
Starting a regular business can cost a lot. You need to buy things, pay for a place, and maybe hire people. With affiliate marketing, all you need is a simple website. If things don’t go well, you’ve only used some time and a bit of cash.
2. Earn while you sleep
A regular job pays you for the hours you work. Affiliate marketing lets you earn money as long as people visit your site and click your links—even if you’re not awake.
3. Work from anywhere
You can do this work from your house, a coffee shop, or even while traveling—just have Internet and access to your website.
4. You’re not stuck with one product
Unlike a store worker who sells only one brand, you can talk about many products from different companies and get paid for each one.
How does affiliate marketing work?
Once you sign up for an affiliate program, they give you a special link that has a tracking code.
Anatomy of an affiliate link
When someone clicks your link, their device saves a tiny file called a “cookie.” This file helps track the sale, even if they don’t buy right away. Here’s how it works with Amazon:
- Someone reads your post about winter jackets.
- They click your Amazon link for one of them.
- They get busy and close the tab.
- The next day, they came back and bought that jacket and some ski gear.
- Because of the saved cookie, you earn a fee for both.
How Much Money Can You Make?
A survey from Authority Hacker showed the average affiliate marketer makes $8,038 each month. But if you’re new (less than a year in), the average is closer to $636 a month. Don’t expect to make big money right away. Most people start slow, with small checks like this. It takes time and effort. But if others have done it, so can you.
How to become an affiliate marketer
An affiliate marketer is just someone who does this kind of work.
So if you follow the steps below, build a site, bring in readers, and add affiliate links, you’re already one.
Step 1: Pick a topic
This is what you’ll write or talk about.
Try to be specific. Instead of choosing something broad like “food,” go for something like “grilling.” That helps you build a focused group of readers and may help with search engines, too.
Ask yourself:
- What am I good at?
- What do I enjoy?
- What am I curious about?
- What do people say I do well?
Pick something you care about. You’ll need to create a lot of posts or videos, and it’s easier if you actually like the subject.
My first site was about breakdancing, which I enjoyed. Even without any experience, I grew it to around 2,000 visitors a month.
Step 2: Pick a content platform
You can do affiliate marketing on:
- A website
- YouTube
- Social media like Instagram or TikTok
- A newsletter
- A podcast
What you pick depends on what you like and what your topic fits best with. For example, breakdancing is better shown through videos, so YouTube might work better than a blog.
Still, we suggest starting with a website and using search engine tricks (SEO) to get regular visitors.
TIP:
Wherever you post affiliate links, let people know you’re doing it. That’s the rule from the FTC. You can add this to a website footer or on a separate page. On YouTube, put it in the video description.
Step 3: Join affiliate programs
There are three main types:
- High pay, fewer buyers – Like business software. Fewer people buy, but you earn more when they do.
- Low pay, lots of buyers – Like video games. You earn a small amount, but can get many buyers.
- High pay, lots of buyers – Like credit cards. These are harder to get into and need more skill.
Which one fits you best depends on your topic and experience.
To find programs, use Google. Or copy a successful site’s affiliate links using a tool like Ahrefs.
If a product doesn’t have a public program, message the company and ask if they’re open to setting one up with you.
Step 4: Make useful content
Your content needs to be helpful and natural, not just a list of links.
For example, if you’re reviewing a product, try using it yourself. Share real thoughts and stories. That’s what Wirecutter did. They tested over 50 air purifiers before picking their top choices.
Working with experts can also help, like Wirecutter did.
Step 5: Bring people to your content
Now that you’ve made great posts, it’s time to get visitors. Here are three ways:
A. Ads
You can pay for visitors through ads. It works fast, but it’s risky and costs money. If you stop paying, traffic also stops.
B. SEO (search engine tricks)
This means making your content show up on Google. It brings in readers for free over time. Basic steps include:
- Finding what your readers are searching for
Writing about those topics - Making sure Google understands your pages
- Getting other websites to link to you
C. Email list
This is where people sign up to hear from you. You can share updates, send affiliate links, and keep them coming back. Offer something free (like an eBook or mini-course) to get them to join.
Step 6: Get clicks on your links
Great content doesn’t always mean people will click your links.
A. Where are you placing links
If links are too far down, people might not see them. But if they’re everywhere, it looks spammy. Find a balance.
B. Make it natural
In a post about knives under $50, don’t just list products. Try something like:
“Here are three solid chef knives under $50: [Knife 1], [Knife 2], and [Knife 3].”
C. Use visuals
Boxes, buttons, and tables can make your links stand out and help readers decide faster, like Wirecutter or Good Housekeeping does.
Step 7: Turn clicks into sales
There are two parts here:
- Getting the click — you control this by how you write and where you put the link.
- Getting the sale, the company takes over from here.
So, pick programs that are known to sell well. Here’s how:
A. Check income posts
Search for “[product] affiliate income report” on Google to see how others are doing. If someone is making good money, the product likely sells well.
B. Ask questions
Can’t find much about a program? Contact them. Ask about average sales or what top sellers are earning.
C. Trust your gut
If something feels wrong or you wouldn’t share the product with a friend, skip it.
Affiliate Marketing Examples
Here are examples of websites that monetize via affiliate marketing:
- Wirecutter is a well-known product review website. According to Ahrefs, it ranks for 4.5 million keywords on Google and generates around 8.9 million monthly search visits. It was so successful that the New York Times bought it for $30 million in 2016.
- RTINGS.com, or “ratings,” is another product review site similar to Wirecutter, best known for its straight-to-the-point, in-depth, and data-driven reviews. It ranks for 680,000 keywords on Google and generates around 3.9 million monthly search visits, according to Ahrefs. It started by reviewing televisions, then grew into other gadgets.
- Money Saving Expert (MSE) is one of the most famous personal finance websites in the UK. Visitors trust it for its independent and detailed research on the best tips on how to save money in the UK. According to Ahrefs, it ranks for 906,000 keywords on Google and generates around 5.5 million monthly search visits.
Affiliate Marketing Software and Tools
Tools are your best allies in affiliate marketing. They enable you to do your job faster and conveniently. Here are some of our top recommended affiliate marketing tools:
- Ahrefs is an all-in-one SEO tool that will help you research keywords to target, audit your website, research your competitors, find content ideas, and much more.
- Rank Math is a well-reputed WordPress plugin that makes sure your pages have optimal on-page SEO.
- Google Search Console can find and fix technical errors on your website, submit sitemaps, see structured data issues, check your Core Web Vitals, and more.
- Google Analytics provides crucial data and analytics for your affiliate website.
- Thirsty Affiliates Affiliates keeps track of your affiliate links, sees statistics to know which links are getting the most clicks, and prevents others from easily copying your website and swapping the links with their own affiliate IDs.
Final thoughts
No affiliate marketing wheels were reinvented here. These are the basics, and applying them will get you off on the right foot. Just don’t expect roof-breaking income or the freedom to quit your 9-5 job overnight. Affiliate marketing takes time.
First, mainly focus on making your first affiliate sale. As your site grows, set new business goals and continue experimenting. This is how to build up a website that eventually generates a decent income.
Emily Roberts is a chartered accountant and financial advisor who specializes in income tax and small business compliance. She writes to simplify complex tax concepts for everyday readers.