Those who frequent the internet would have heard one way or another about Affiliate Marketing. This is an internet based marketing tool commonly used by online business owners to spread the word about their products or services that they offer. This is a great marketing strategy because the business can target the proper niches or the proper market and it is cost efficient as well.

Affiliate programs earn through these businesses depending on how they are able to market the business. There are three common schemes when it comes to Affiliate Marketing income.

1. Cost per Action – CPA is a method that is dependent upon how much interest it creates within the potential customer or the person who has clicked on the link directing towards the business from the affiliate website. This means that having the person visit the site isn’t enough, providing the customer with enough interest to try the product can make more money.

2. Cost per Mil – CPM on the other hand is click based which means that the business or the client website pays for each time the link created by the affiliate marketer is used. This method however, is a dying breed since there are software programs and other tactics now employed by some marketers to increase the click, but not the actual traffic.

3. Cost per Sale – This is by far the simplest method of Affiliate Marketing since it is dependent upon the actual sales that the business is able to create because of the marketer. In other words, the marketer earns on a commission basis when the business is able to sell a product or service.

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