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According to one report, the total sales amount generated through affiliate networks in 2006 was £2.16 billion in the United Kingdom alone. Marketing Sherpa's research team estimated that, in 2006, affiliates worldwide earned US.5 billion in bounty and commissions from a variety of sources in retail, personal finance, gaming and gambling, travel, telecom, education, publishing, and forms of lead generation other than contextual advertising programs.Soon after these sectors came the entertainment (particularly gaming) and Internet-related services (particularly broadband) sectors.Affiliate marketing is a type of performance-based marketing in which a business rewards one or more affiliates for each visitor or customer brought by the affiliate's own marketing efforts.The industry has four core players: the merchant (also known as 'retailer' or 'brand'), the network (that contains offers for the affiliate to choose from and also takes care of the payments), the publisher (also known as 'the affiliate'), and the customer.

These websites could also offer a link that would take visitors directly to CDNow to purchase the albums.When visitors clicked from the associate's website to Amazon and purchased a book, the associate received a commission.Amazon was not the first merchant to offer an affiliate program, but its program was the first to become widely known and serve as a model for subsequent programs. The patent application was submitted in June 1997, which predates most affiliate programs, but not PC Flowers & (October 1994), Auto (October 1995), Kbkids.com/Brain (January 1996), EPage (April 1996), and several others.Still, affiliates continue to play a significant role in e-retailers' marketing strategies.The concept of revenue sharing—paying commission for referred business—predates affiliate marketing and the Internet.




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