Networks of people are everywhere. They go to church, cut hair, sell homes and babysit children. This may not seem like a big deal unless you own a business, are in sales or another field that requires lots of people, but in fact many never realize what these contacts can do for them. Word of mouth advertising is one of the most important for a business. A customer/client that has a positive experience can advertise to their family and friends without even realizing it. In fact, every time they have a conversation and talk about their experience it is an automatic commercial for the business!
Affiliate marketing is the way to network through the online business experience. These affiliates are individuals or groups of sites that allow banners or other forms of advertisement on their site. They are compensated for this advertisement in either a percentage of traffic directed to the merchant or a percentage of the sales that they directed. Really the affiliate is doing no more than allowing advertising on their site, through a type of paid advertisement. This is a good relationship for both the merchant and affiliate because they are both maximizing their earning potential and online exposure.
Even online companies that are using affiliate marketing to build their business can become an affiliate themselves. They can allow others to advertise on their website because it not only adds links, but also helps improve page rank through the search engines. Now the merchant can put on the affiliates hat as well and make money from other sites sales or click through visitors.