What is affiliate marketing in regards to SEO

Do you really know what affiliate marketing is an net based marketing strategy and practice in which a comany rewards affiliate for each visitor, lead, or customer brought about by the affiliates marketing efforts.  The affiliate marketing world has 3 core players at its center.  The brand, the affiliate and the client / customer.  The market has grown in complexity to warrant secondary players, like affiliate management agents, super affiliates and 3rd party vendors.  This kind of net marketing overlaps other net tools such as seo, paid search marketing, email marketing, and some display ads.  It is using one site to drive traffic to another site.

Web 2.0 is impacting affiliate marketing as well, the new media has allowed merchants to become closer to their affiliates and is improving communication between them, new developments have made it more difficult for unscrupulous affiliates to make and earn money.  Emerging black sheep are detected and made know to the affiliate marketing companies and world with much faster speed and efficiency.

Predominant compensation methods approach is that 80 percent of affiliate programs today use rev sharing or a cost per sale as the compensation method, 19 percent use a cost per action approach, and the remaining use a cost per click methodology.

Diminished compensation methods like a cpc or cost per click is now less than one percent, but these methods are used alot in paid search programs. cpc was very common in the early days of affiliate marketing but has vanished due to the amount of click fraud which is very similar to the click fraud issues going on in paid search programs today. 

Performance marketing whom some consider  as affiliate marketing is a sales method in which the referred visitors does more than visit the site in order for the affiliate to earn money, it can be to purchase something or fill out a lead form. It is very much so like a general sales position of a commision type structure.

Why should you focus on affiliate marketing

Types of Affiliate Sites. Pay Per Click, comparison shopping sites, directories, loyalty sites that offer cash back, crm sites that offer donations, coupon and rebate sites, niche market sites that offer product reviews, personal websites, weblogs, website feeds, email list affiliates and newsletters, registration paths and coreg affiliates, shopping directories, cost per action networks, adbars like adsense.

Past and Current Problems or Issues that hinder the affiliate industry are issues such as spam, false ads, forced clicks, tracking cookies, adware, force traffic driving, email spam, search engine spam