Unlock the world of affiliate marketing with our comprehensive glossary of essential terms. Whether you’re new to the industry or looking to enhance your knowledge, this guide will familiarize you with key terms and concepts used in affiliate marketing.
List of Top 50 Affiliate Marketing Terms
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1. Affiliate
An individual or entity that promotes products or services of another company and earns a commission for each sale or action generated through their promotional efforts.
2. Affiliate Link
A unique URL provided to affiliates that track their referrals and commissions.
3. Affiliate Manager
A person responsible for managing and supporting affiliates within an affiliate program or network. They provide guidance, resources, and support to affiliates.
4. Affiliate Network
An intermediary platform that connects affiliates with multiple advertisers, offering a wide range of affiliate programs.
5. Advertiser
The company or business that promotes its products or services through an affiliate program.
6. Ad Campaign
A marketing campaign created by an advertiser to promote their products or services through various channels.
7. API (Application Programming Interface)
A set of protocols and tools that allow different software applications to communicate and exchange data with each other.
8. Attribution
The process of assigning credit to different marketing channels or touchpoints that contribute to a conversion or sale.
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9. Banner Ad
A graphical advertisement displayed on a website or digital platform to promote a product or service.
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10. Click-Through Rate (CTR)
The percentage of people who click on an affiliate link or ad compared to the total number of people who view it. It measures the effectiveness of a campaign in generating clicks.
11. Commission
The percentage or fixed amount an affiliate earns for each successful referral or sale.
12. Conversion
When a visitor takes a desired action, such as purchasing, signing up for a newsletter, or filling out a form due to an affiliate’s marketing efforts.
13. Conversion Rate
The percentage of visitors who complete a desired action, such as making a purchase or filling out a form, out of the total number of visitors to a website or landing page. It measures the effectiveness of converting visitors into customers.
14. Cookie Duration
The length of time a tracking cookie remains active on a user’s device after they click on an affiliate link. It determines how long the affiliate can earn a commission for any subsequent purchases the user makes.
15. Cost Per Action (CPA)
A pricing model where the affiliate receives a commission when a specific action is completed by a referred customer, such as signing up for a trial or downloading an app.
16. Cost Per Click (CPC)
The amount paid by the advertiser to the affiliate for each click on their link. This is often used in pay-per-click (PPC) advertising campaigns.
17. Cost Per Lead (CPL)
A pricing model where the affiliate earns a commission for each qualified lead they generate for the advertiser. The lead typically involves contact information or other specific details the referred customer provides.
18. Cost Per Sale (CPS)
A pricing model where the affiliate earns a commission for each successful sale generated through their referral. It is one of the most common commission structures in affiliate marketing.
19. Click Fraud
Artificially generating clicks on affiliate links to fraudulently inflate commissions or sabotage competitors.
20. Content Marketing
A strategic marketing approach that involves creating and distributing valuable, relevant, and informative content to attract and engage a target audience.
21. CPM (Cost Per Mille)
A pricing model where advertisers pay for every thousand impressions of their ad.
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22. Deep Linking
A technique where affiliates link directly to a specific product or page within the merchant’s website, bypassing the homepage. This allows for more targeted and relevant promotions.
23. Deep Learning
A subfield of machine learning that uses artificial neural networks to analyze and process complex patterns and data.
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24. Earnings Per Click (EPC)
The average amount of money an affiliate earns for each click on their affiliate links.
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25. Fraud Detection
Identifying and preventing fraudulent activities, such as fake clicks, false leads, or fraudulent transactions, within affiliate marketing campaigns.
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26. Geo-Targeting
The practice of delivering content or ads based on the user’s geographical location. It allows affiliates to target specific regions or countries with relevant offers.
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27. Influencer Marketing
A form of marketing where individuals with a solid online presence and a dedicated following promote products or services to their audience.
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28. Keyword Research
The process of identifying and analyzing relevant keywords that have the potential to drive organic search traffic to a website or landing page.
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29. Landing Page
A specific webpage designed to convert visitors into customers is often used by affiliates to drive traffic and promote products.
30. Link Cloaking
Disguising or shortening affiliate links to make them more user-friendly and visually appealing. It also helps prevent link theft or manipulation.
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31. Merchant
The company or business that owns the products or services being promoted by affiliates.
32. Multi-Tier Affiliate Marketing
A structure where affiliates can earn additional commissions by referring other affiliates to the program. They earn a percentage of the referred affiliate’s commissions.
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33. Niche
A specific topic, market, or industry affiliates focus on for their promotional activities.
34. Native Advertising
An advertising format that blends in with the surrounding content, providing a seamless and non-disruptive user experience.
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35. Payout Threshold
The minimum amount of commission an affiliate must earn before requesting a payout or receiving their earnings.
36. Performance Marketing
A marketing strategy where affiliates are rewarded based on the performance or results they generate, such as sales, leads, or clicks.
37. Pay Per Click (PPC)
An advertising model where advertisers pay a fee each time their ad is clicked.
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38. Recurring Commission
A commission structure where affiliates earn ongoing commissions for recurring payments or subscriptions from their referred customers.
39. Return on Investment (ROI)
A measure of the profitability of an affiliate marketing campaign, calculated by comparing the revenue generated against the costs incurred.
40. Remarketing
A strategy that involves targeting users who have previously interacted with a website or shown interest in a product or service to re-engage and convert them.
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41. Sub-Affiliate
An affiliate who signs up under another affiliate and earns a commission based on the referred sales or actions they generate.
42. Split Testing
A method of comparing different variations of an element or campaign to determine which performs better regarding conversions or engagement.
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43. Tracking Cookie
A small piece of data stored on a user’s device that helps track and attribute affiliate referrals, even if the purchase is made later.
44. Traffic
The visitors or users are directed to a website or landing page through various marketing channels, including affiliate links.
45. Two-Tier Affiliate Program
Similar to multi-tier marketing, this program offers commissions for direct sales and referrals of other affiliates. However, it only extends beyond the second level of referrals.
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46. Upsell
The practice of offering additional products or upgrades to a customer who is already purchasing to increase the overall value of the transaction.
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47. Vanity Code
A unique code or identifier provided to affiliates for tracking purposes. It helps affiliates understand which marketing efforts are driving the most conversions.
48. Vertical
A specific industry or market segment that affiliates specialize in, such as fashion, health, technology, or travel.
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49. White label
A product or service rebranded by an affiliate and sold under its brand name or identity.
50. White Hat Affiliate Marketing
Ethical and legitimate practices followed by affiliates, adhering to the terms and guidelines set by the advertisers and affiliate programs.
Furthermore, before starting with affiliate marketing, we recommend you check out these fantastic affiliate marketing books that will introduce you to the affiliate world and help you learn about its works.
