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All the terms to know when you're just getting started with affiliate marketing
Published on April 21, 2026
These are the foundational ideas of how affiliate marketing works.
Affiliate Marketing - A performance-based marketing model where individuals (affiliates) earn a commission by promoting a company’s products or services.
Program template - A set of rules/settings such as commission percentage, custom commission rules for certain products or collections, coupon system, program progression or even turning it into a MLM program
Affiliate Network - A platform that connects businesses (merchants) with affiliates and manages tracking, reporting, and payments.
Merchant (Advertiser) - The business that creates and owns the product or service being promoted.
Affiliate - An individual or company that promotes a merchant’s product or service in exchange for a commission.
How performance is measured and credited.
Affiliate Link - A unique tracking URL assigned to an affiliate to monitor traffic and conversions.
Cookie Duration - The time period during which an affiliate can earn commission after a user clicks their link.
Tools and systems that enable affiliate marketing.
Affiliate Network - A platform that connects businesses (merchants) with affiliates and manages tracking, reporting, and payments.
Affiliate Software - Software used by companies to run and manage their own affiliate programs without a third-party network.
Affiliate Marketplace - A centralized platform or section within a platform where affiliates can browse, compare, and join multiple affiliate programs.
How success and effectiveness are measured.
EPC (Earnings Per Click) - A metric that shows the average earnings generated per click on an affiliate link.
CTR (Click-Through Rate) - The percentage of users who click on an affiliate link compared to how many people saw it.
Elements that directly impact whether traffic turns into revenue.
Commission Structure - The way affiliates are paid for their performance.
Landing Page - A standalone webpage designed to convert visitors into customers or leads.
Royalty mode (Revenue Share) - A commission model where affiliates earn ongoing payments for as long as a referred customer continues to generate revenue.