Affiliate Marketing is a performance based advertising strategy in which advertisers pay earned commissions to publishers for promoting their services, products, or website.
Publishers are given banner ads, buttons, and text links to embed on their websites. All sales, leads, and clicks are tracked via the network. When the customer has clicked the affiliate link and makes a purchase, opts-in, etc, on the advertiser’s site Publishers receive a commission or referral fee for conversions (sales).
Many advertisers prefer affiliate marketing as a means to promote their products because they only pay for advertising that converts to actual sales.