When a friend or family member asks you: “So, what exactly is it that you do for living?” what do you reply? How do you explain affiliate marketing to someone who has never heard of it?
I love how Eric Nagel puts it in the header of his blog: defining “affiliate marketer” as one who “makes money by making other companies money.” Eloquent and so true!
One of my personal favorite analogies is an ice cream truck one:
You’re a kid. It’s a hot summer day. You know that an ice-cream truck passes your neighborhood, but stops on a street just around the corner. You work out a deal with the ice-cream truck driver where he would pay you a 20% commission of every ice-cream sold to the kids that you bring to him. You’re an affiliate/performance marketer now.
You’re a kid. It’s a hot summer day. You both possess the knowledge of the ice-cream truck’s route, and have access to and means of influencing the ice-cream truck’s primary target audience. You agree with the ice-cream truck’s driver on a remuneration he would pay you 20% of every sale for every customer you refer to him. The guy is interested in growing his business even more, and agrees to pay you a 30% commission if your monthly referred sales exceed 20, and 40% if you send more than 50 sales/month… So there you have it. We’ve also covered an example of a performance-based incentive.
How do you explain affiliate marketing to friends, family, or someone who has never heard of it?