What is affiliate marketing?

7 min read
What is affiliate marketing

TLDR 

Affiliate marketing is a performance-based marketing strategy where individuals or businesses (affiliates) earn commissions by promoting other companies’ products or services. Using platforms such as blogs, social media, or affiliate networks: affiliates drive traffic to a merchant’s site via unique links. When a customer makes a purchase through one of these links, the affiliate earns a cut.  

What is affiliate marketing? 

Affiliate marketing is a type of digital marketing where people earn money by promoting someone else’s product or service. Think of it as a virtual handshake between a brand and a promoter: the brand gets more customers, and the promoter (or affiliate) gets paid for bringing them in. 

If you’ve ever read a blog and seen a product recommendation with a link, or followed a creator on TikTok who says, “use my link for 10% off”. You’ve witnessed affiliate marketing in action. Major platforms like Awin, Rakuten and Impact.com have entire ecosystems built around these partnerships. 

It’s all about an affiliate sharing a product they believe in with an audience who trusts their opinion. When that audience clicks the special link and makes a purchase, the affiliate will earn a commission. Simple in theory, powerful in practice. 

How does affiliate marketing work? 

Affiliate marketing may appear effortless, but it relies on a structured system with a few essential roles working together behind the scenes. 

The merchant – This is the company or brand that owns the product or service being promoted. Think ASOS, Office Shoes, or software brands. Any business with something to sell. 

The affiliate – This is the individual or business promoting the merchant’s product. They could be bloggers, influencers, content creators, or even cashback sites like TopCashback. 

The consumer – Everyday shoppers who click on affiliate links and (hopefully) make purchases. 

The affiliate network – Often acting as the go-between, platforms like CJ, Impact, and Awin help merchants and affiliates find each other. They also provide the technology to track performance like clicks, sales, commissions, and more. 

Here’s how it plays out in real life: Let’s say you’re looking for a new pair of Birkenstocks. You visit TopCashback, search for the brand, click a link, and get taken to a shoe website. You make a purchase, and that entire journey is tracked via a unique affiliate link. Once the purchase is validated (typically after any return windows have closed), TopCashback earns a commission from the completed purchase, and the consumer gets a little cashback bonus too. Everyone wins. 

These links work through cookies and redirects, helping to ensure the affiliate gets properly credited for the referral. 

Benefits of affiliate marketing 

Affiliate marketing is popular for a reason. Because it brings real advantages for everyone involved. 

For brands, it’s a cost-effective way to market. Because it’s performance-based, they only pay when a sale is made. It also opens up visibility to new, hard-to-reach audiences through established platforms like Blue Light Card or UNiDAYS. 

For affiliates, the barrier to entry is low. You don’t need to create a product, just a platform and an audience. It’s scalable just start with one brand or build out a portfolio. If you’ve got a niche blog, a YouTube channel, or a decent following on Instagram, you’re in business. It also has the potential for passive income. Once content is live, it can generate sales long after you’ve hit publish. 

For customers, it’s often about added value. Whether it’s cashback, exclusive discount codes, or free gifts, affiliate links can make purchases more rewarding. Customers feel like they’re winning too, especially with referral deals like “get £10 when you spend £90” or “your friend gets 25% off, and so do you.” 

Even affiliate networks benefit by earning a slice of the commission via fees known as overrides. They also help streamline the relationship between brands and affiliates, acting as a trusted infrastructure for tracking, reporting, and payments. 

Common affiliate marketing channels 

Affiliate marketing isn’t just about blogs anymore. While those still play a huge role (especially in niche areas), today’s affiliates use a whole toolbox of platforms to reach their audiences. 

Social media is one of the biggest. TikTok, Instagram, and Pinterest are now buzzing with affiliate links, often hidden behind “link in bio” tools. Micro-influencers can be particularly effective, offering relatability and trust that big celebrities sometimes lack. 

YouTube is also a powerhouse, especially for product reviews and how-to content. Content like unboxings, tech tutorials, fashion hauls are all great places to include affiliate links. 

Email marketing continues to drive engagement, especially for those with a loyal subscriber base. Then there are referral programs (like “share with a friend” deals), discount or voucher code platforms, content publishers like The Independentor Hello!, and even on-site tech features like exit-intent popups. 

Some affiliate programs are tightly targeted, offering discounts to key groups like NHS staff, students, or carers through platforms that require login credentials. These exclusive environments are a goldmine for brands aiming to reach specific demographics. 

Popular affiliate programs & networks 

If you’re looking to get involved in affiliate marketing, there are several platforms worth checking out. Some of the big names include: 

  • Awin – Popular across retail, fashion, and travel.
  • CJ Affiliate (formerly Commission Junction) – Great for global brands and diverse verticals.
  • Rakuten Advertising – Strong in tech and retail. 
  • Impact.com – A modern, user-friendly platform trusted by many.
  • Webgains also deserve a mention for their ease of use and network size. 

Beyond the big networks, many brands also run their own niche-specific affiliate programs. Whether you’re into fashion, software, or sustainable living, there’s a program out there for you. 

How to get started as an affiliate 

If you’re an aspiring affiliate, the first step is choosing your niche. Focus on an area you’re genuinely passionate about and where you can offer real value. Whether it’s fashion, food, tech, or fitness. Building a trusted voice is key. 

Next, choose your platform. That could be a blog, a YouTube channel, TikTok account, or an Instagram page. Start building content and growing your audience. 

Then, sign up to an affiliate network (like Awin, CJ, or Impact), choose the brands you want to promote, and start sharing your unique affiliate links. Just remember to follow ASA guidelines, transparency is everything. If you’re getting paid or earning commission, you need to disclose it. 

Getting started for brands 

The process starts with joining an affiliate network and setting up your program. You’ll need to define your commission structure and start inviting publishers to join. Whether you manage it in-house or with the help of an agency, a strong affiliate program can massively amplify your digital marketing efforts, especially when you partner with the right creators. 

Affiliate reporting with ASK BOSCO® 

Affiliate marketing might be a performance-based model, but measuring success requires smart tracking and clean data. That’s where ASK BOSCO® comes in.  

ASK BOSCO® allows you to combine your affiliate network data with your GA4 data into one centralized, easy-to-use dashboard. Instead of flipping between multiple platforms, you can view, compare, and report on performance all in one place. Whether you’re an affiliate manager, a brand owner, or part of an agency, it simplifies reporting and speeds up analysis, which is particularly useful when compiling monthly or quarterly updates.  

For more information on affiliate marketing, or for support with ASK BOSCO®, please get in contact with our team, team@askbosco.com 

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