Web 2.0 Marketing An Effective Tool For Affiliate Marketing

Monday, 30 July 2007

Internet is no more just a place to seek information; it has become much more interactive with the rise in blogging, other interactive services and emerging technologies like Web 2.0 marketing. Interactive websites and services based on the concept of Web 2.0 marketing have influenced the affiliate-marketing world as well. This new media allows web marketers to get closer to their affiliates and get to know each other better. Affiliate marketing using the Web 2.0 marketing tool can effectively send customers all over the world to one particular site rather than another site.

How the system works:
In affiliate marketing, each visitor who buys something from a site or signs up to be contacted by a salesperson, is paid for it. Web 2.0 marketing plays an important role in it as it integrates independent Webmasters and unrelated people to market for a product, as they become the affiliates. One problem faced in this kind of Web 2.0 marketing, is the quality of the visitors the site receives. Thousands of websites are set up for the sole purpose of extracting commission revenue from the system, without actually doing any background check regarding the customers they are sending.

In this affiliate marketing system, Web 2.0 marketing can be used to draw up serious customers through interaction with people who have similar interests and need for the products. This can be done by using blogs, video streams, debating, posting reviews etc. The super affiliates make more than $1 million each year in commissions. This market has got potential. Though affiliate marketing is still in its naïve state, it will take lot of Web 2.0 marketing style to take it to the mainstream.

An Example Of The System:

To understand, how the Web 2.0 affiliate marketing system works, let us take an example. Sites such as MyFICO and ArcaMax place an interactive form on the internet webpage to be filled out by the visitors. It then sends the credit score and sells the data to credit bureaus--as they will ask how much mortgage loan you require. Then they will sell this information to LeadPoint. The mortgage makers, who have given highest 2-3 bids to LeadPoint, will receive the information. The mortgage makers now send competitive bids to the original visitor; it is up to him to decide now. LeadPoint makes money by getting $50 per live referral to the mortgage makers. MyFICO and ArcaMax also receive commission in this process, if the visitor referred by them finalizes the deal.

Thus, we see that Web 2.0 marketing is an effective system contributing hugely to affiliate marketing by helping in making forums, creating interest in the products and services, getting the companies and their affiliates closer and getting real customers for the companies. The latest buzzword of Web 2.0 marketing is making waves in the cyber world, it is up to the internet marketers to tap its potential and make full use of the features.

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