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Affiliate Marketing Glossary

  • Advertiser: The business or company that creates products or services and uses affiliate marketers to promote them in exchange for a commission
  • Affiliate: An individual or company that promotes products or services from advertisers in exchange for a commission
  • Affiliate Manager: The person responsible for overseeing the affiliate program, recruiting affiliates, and providing support
  • Affiliate Marketing: A performance-based marketing strategy where affiliates promote products or services and earn a commission for each sale or lead generated
  • Affiliate Network: An online platform that connects advertisers with affiliates and manages tracking and payment processes
  • Banner Ad: An image-based advertisement used by affiliates to promote products or services
  • Click-Through Rate (CTR): The percentage of people who click on an affiliate link compared to the total number of people who view the link
  • Commission: The amount of money paid to an affiliate for each sale or lead generated through their promotional efforts
  • Conversion Rate: The percentage of people who complete a desired action, such as making a purchase, after clicking on an affiliate link
  • Cookie: A small file stored on a user’s computer that tracks their interactions with affiliate links and helps attribute sales to the correct affiliate
  • Cost Per Action (CPA): An affiliate marketing payment model where affiliates are paid for a specific action, such as a sale or lead
  • Cost Per Click (CPC): An affiliate marketing payment model where affiliates are paid a commission for each click on their affiliate link
  • Cost Per Mille (CPM): An affiliate marketing payment model where affiliates are paid a set amount for every 1,000 impressions of their affiliate link
  • Deep Linking: Directing users to a specific page within an advertiser’s website, rather than the homepage, to increase the chances of conversion
  • Earnings Per Click (EPC): The average amount of money earned by an affiliate for each click on their affiliate links
  • Landing Page: The web page users are directed to after clicking on an affiliate link, designed to encourage them to take a specific action
  • Lead: A potential customer who has shown interest in a product or service, often by providing contact information
  • Merchant: Another term for advertiser, referring to the business or company offering products or services through an affiliate program
  • Niche: A specific market segment or audience that affiliates target with their promotional efforts
  • Pay Per Click (PPC): An affiliate marketing payment model where affiliates are paid a commission for each click on their affiliate link
  • Pay Per Lead (PPL): An affiliate marketing payment model where affiliates are paid for generating leads, such as sign-ups or inquiries
  • Pay Per Sale (PPS): An affiliate marketing payment model where affiliates are paid a commission for each sale generated through their promotional efforts
  • Performance Marketing: Another term for affiliate marketing, focusing on paying affiliates based on the results they achieve
  • Product Feed: A data file provided by advertisers to affiliates containing information about their products, prices, and availability
  • Publisher: Another term for affiliate, referring to the individual or company promoting products or services through affiliate marketing
  • Recurring Commission: A commission structure where affiliates earn a commission for each recurring payment made by customers they refer
  • Retention Rate: The percentage of customers who continue to make purchases from an advertiser after the initial sale generated by an affiliate
  • Return on Investment (ROI): The ratio of the profit generated from affiliate marketing efforts compared to the cost of promoting products or services
  • Search Engine Optimization (SEO): Strategies used to increase the visibility of a website or webpage in search engine results, improving organic traffic
  • Sub-Affiliate: An affiliate recruited by another affiliate to promote products or services, earning a commission on their referrals
  • Super Affiliate: An affiliate who generates a significant amount of sales or leads for advertisers and often has a large following or customer base
  • Tracking Link: A unique URL given to affiliates to track the performance of their promotional efforts and attribute sales or leads
  • Two-Tier Affiliate Program: An affiliate program where affiliates earn a commission for their referrals’ sales and additional commissions for recruiting new affiliates
  • Upsell: Offering customers a higher-priced or complementary product or service after they have made a purchase, increasing the overall order value
  • Vertical Marketing: Focusing on promoting products or services within a specific industry or niche, targeting a more defined audience
  • White Label: A product or service offered under a brand or label not associated with the original provider, often rebranded by affiliates for promotion.
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