Appendixes

1. Glossary

Term	Description
Affiliate Program (AP)	Affiliate/associate program is a cost effective way to promote products/services/ideas or information by means of sharing profit with promoters (affiliates).
AP Organizer	Person or organization which implement the AP
Affiliate	A participant of AP to whom the Organizer pays for the promotions.
Affiliate's ID	Unique identification of an affiliate
Reference's ID	ID of the old affiliate which referred a new affiliate to the AP
Sales/leads generated by an affiliate	Sales/leads to customers referenced by the affiliate
Sub affiliate (1^st level sub affiliate)	An affiliate that joins the AP on reference/recommendation of the affiliate
n^th level sub affiliate	A sub affiliate of (n-1)^th level sub affiliate
1^st level sub net of an affiliate	All sub affiliates of the affiliate
n^th level sub net of an affiliate	All m^th level sub affiliates of the affiliate, m=1,...n

Affiliate 1 (ID1)

Refers/recommends to an AP

Affiliate 2 (ID2)

FIG.1

Affiliate 1 with ID=ID1 recommends a new person to the AP. This person becomes the new affiliate with ID=ID2. In this case, Affiliate 2 is a sub affiliate of affiliate 1. ID1 is a reference's ID for the Affiliate 2.

2. Quick overview of an Affiliate Program (AP) business cycle

Research the needs

You create AP not for yourself but for the affiliates; therefore you should know what they want. To do this you should:

Design a questionnaire

Ask affiliates

Collect answers

Analyze the responses

Determine the needs

Design the AP

The next your step should be to design the AP. The main steps of this stage are:

Analyze the needs

Make decisions on type of AP

Type of reference (advertisement, for example click; registration of user-lead; sale)

Type of payment (fixed amount of money,% of sale)

Rewarding scale (number of levels, amount on each level)

Implementation issues. (Periodicity of payments, minimal limit, unit of payment, and the like).

Announce the AP

There are many ways to announce about your AP, some of which are:

Registration in AP directories

Presentations

Publish in the press

Publish on the Net

Messages distribution

Manage the AP

These are the every day’s tasks for managing the AP:

Generate reports

Reward affiliates

Communicate with the affiliates

Analyze trends and performance

Make decisions

Copyright © 2001 Apfa Group Last modified: March 09, 2001

Copyright © 2001 Apfa Group
Last modified: March 09, 2001