Glossary

Affiliate marketing

Affiliate marketing is a performance-based marketing model where businesses reward partners for driving traffic, leads, or sales. These partners, known as affiliates, promote a company’s products or services and receive a commission when a specific action takes place.

The action is usually a sale, but it can also be a sign-up, download, or other measurable conversion.

Affiliate marketing allows businesses to expand their reach by working with individuals, publishers, or organisations that already have an audience.

How affiliate marketing works

Affiliate marketing typically follows a simple structure.

  1. A business creates an affiliate programme.
  2. Affiliates join the programme and receive a unique tracking link.
  3. The affiliate promotes the product or service through content, websites, email, or social media.
  4. When someone clicks the link and completes a desired action, the affiliate earns a commission.

Tracking technology ensures that the sale or lead is attributed to the correct affiliate.

Types of affiliates

Affiliates can come from a range of backgrounds and platforms.

Content creators
Bloggers, YouTubers, or influencers who recommend products within their content.

Review and comparison sites
Websites that compare products and include affiliate links.

Publishers and media sites
Online publications that promote products to their readers.

Email marketers
Individuals or businesses with email lists that share recommendations.

Each type of affiliate connects with audiences in a different way.

Benefits of affiliate marketing

Affiliate marketing is attractive for many businesses because it is based on performance. Companies usually only pay when a measurable result occurs.

Common benefits include:

  • Expanding reach through external partners
  • Lower upfront marketing costs
  • Access to new audiences
  • Scalable growth opportunities

Because affiliates often have established audiences, they can introduce products to people who may not otherwise discover the brand.

Affiliate marketing and tracking

Affiliate programmes rely on tracking tools to measure performance. These tools monitor clicks, conversions, and commissions.

Tracking usually works through unique links, cookies, or affiliate platforms that record when a user completes an action after clicking an affiliate link.

This system ensures that commissions are fairly attributed.

Affiliate marketing in digital strategy

Affiliate marketing often sits alongside other digital channels such as paid advertising, content marketing, and social media.

When managed well, it can become a steady source of traffic and revenue while helping brands build relationships with creators and publishers.

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