Affiliate marketing is one of the most popular ways to earn money online. Many have heard of it, but few truly understand how it works. Some believe it’s only for influencers with thousands of followers, while others think it’s impossible to succeed without significant investments.
To clear up the confusion, I invited Max, an experienced affiliate marketer, to break it down in simple terms. In a casual conversation, we discussed how affiliate marketing works, traffic generation methods, and where beginners should start.
If you’ve ever considered getting into affiliate marketing but weren’t sure how—this guide will help you understand the basics and choose your direction. Let’s dive in! 🚀
Affiliate Marketing explained
🗣 Olga: Hi, Max! I’ve heard about affiliate marketing for a long time, but I never really understood it. Some say it’s easy money, others claim you need a big budget and experience. What is it really?
Max: Hey, Olga! Let’s break it down. In short, affiliate marketing is when you promote other companies’ products or services and earn a commission for each sale made through your recommendation. Sounds simple, right?
🗣 Olga: It does, but can you explain it in a more practical way?
Max: Think of it like this—before the internet, people recommended products to their friends, and some companies would reward them with discounts or commissions. Affiliate marketing is the same, but online. You get a special referral link, share it on social media, a blog, or even in messages, and if someone buys through your link, you earn a percentage.
🗣 Olga: So it’s like a referral program? But I always thought you needed a blog or followers to make money this way.
Max: That’s a common myth! You don’t need a blog or an audience. Let’s say you booked a great vacation, wrote a review including your referral link, and someone later books a trip through your link—boom, you earn a commission! You can promote affiliate links in forums, chat groups, social media communities, or even create review content.
🗣 Olga: So, just one good link could pay for my entire vacation? That sounds tempting! But where do I get these links?
Max: No need to search for referral links yourself. Many affiliate networks offer thousands of offers (or “offers” in affiliate marketing terms) across different industries, from e-commerce to crypto trading. You register, pick an offer, get your unique link, and start earning!
What are Offers in Affiliate Marketing?
🗣 Olga: What exactly is an “offer”?
Max: An offer is a specific deal from an advertiser that you promote. It can be a product or service, and you get a commission for driving traffic that converts.
🗣 Olga: Why call it an “offer” instead of just a “product” or “service”?
Max: Because an offer is more than just a product—it includes all the conditions, like commission rates, target countries, restrictions, and landing pages.
🗣 Olga: What’s a landing page?
Max: A landing page is the website users visit through your affiliate link. It presents the product and encourages them to take action. The offer includes both the landing page and all associated terms.
🗣 Olga: So, the landing page is like a store window, and the offer is the entire deal, including the terms?
Max: Exactly!
The evolution of Affiliate Marketing
🗣 Olga: When did affiliate marketing start? I feel like I only recently started hearing about it.
Max: Affiliate marketing has been around since the 1990s. One of the first major programs was launched by Amazon, which paid users for referring customers through special links. Over time, affiliate networks, CPA (Cost Per Action) models, and various industry verticals emerged.
🗣 Olga: So, this isn’t some new trend—it’s been around for decades!
Max: Exactly, and it’s growing every year. Digital marketing evolves, but affiliate marketing remains a stable income source for many.
Traffic Arbitrage vs. Affiliate Marketing
🗣 Olga: I’ve heard people mention “traffic arbitrage” as part of affiliate marketing. What does that mean?
Max: Traffic arbitrage is when affiliates buy ads at a low price and direct traffic to an offer, earning money from the conversion difference. It’s similar to financial arbitrage, where traders buy low and sell high.
🗣 Olga: So, arbitrage affiliates actually buy traffic instead of just sharing links?
Max: Exactly! They work with ad networks, test ad creatives, analyze performance, and optimize campaigns to stay profitable. It’s a more advanced branch of affiliate marketing.
Industry niches (verticals) in Affiliate Marketing
🗣 Olga: What are “verticals”? It sounds like different categories.
Max: That’s right! Verticals are niches or industries in affiliate marketing. Some examples:
✔ Finance – banks, loans, investment offers
✔ E-commerce – online stores, product promotions
✔ Nutraceuticals (Nutra) – health supplements, weight-loss products
✔ Gaming – online casinos, mobile games
✔ Dating – matchmaking platforms
✔ mVAS – mobile subscriptions and digital content
🗣 Olga: Which vertical is the most profitable?
💡 Max: It depends on trends. Nutra is always in demand (especially supplements and weight loss). mVAS is a stable long-term niche with recurring revenue from mobile subscriptions. iGaming and dating are also highly profitable, as people always seek entertainment and connection.
How to get started with Affiliate Marketing?
🗣 Olga: If I want to start today, what’s the first step?
💡 Max: First, choose a vertical and master its specifics. Then, learn about traffic generation methods:
🚀 Paid Ads – Running ads on Facebook, TikTok, Google, etc.
🌍 SEO – Optimizing websites to rank in search engines.
📢 Social Media & Content – Blogging, YouTube videos, or Instagram posts.
💬 Forums & Chat Groups – Sharing recommendations in relevant discussions.
📩 Email Marketing – Sending affiliate offers to a subscriber list.
🎯 Traffic Arbitrage – Buying and reselling ad traffic for profit.
Can you start without a website or blog?
🗣 Olga: Do I need a website or a big social media following to succeed?
Max: No! Many affiliates start by promoting offers in forums, Facebook groups, or niche communities. The key is to provide value instead of spamming links.
🗣 Olga: That makes sense. If I just post links everywhere, people will ignore them.
Max: Exactly! Engagement and trust are crucial. People are more likely to click a link from someone they trust.
🗣 Olga: Wow, I had no idea affiliate marketing was this broad. I used to think it was just about influencers sharing referral links!
Max: It’s a huge industry with many income opportunities. Whether you run paid ads, create content, or engage in social communities, there’s a strategy for everyone.
🗣 Olga: I’m definitely interested in getting started! What’s the next step?
Max: In our next discussion, we’ll dive into different roles in affiliate marketing and how much you can earn in each one!
Want to start earning in affiliate marketing? Register now at Affiliate Dragons and get access to top mVAS offers!🚀
🔗 Sign up here