Illustration of affiliate marketing

Say, for example, a company manufactures Product X and that company has a website and affiliate program. You like the look of the product and are interested in promoting it

You build a content rich website about some related matter, apply to the company’s affiliate program and get an affiliate link.

The link given to you is unique to you and contains your affiliate ID [a number or your affiliate name]. The link allows the merchant to track sales generated from your visitors so that you get your commission for sales generated via that link.

You then place this link on your site in an appropriate place and drive traffic to it. Every time someone clicks on that link on your website it takes them to product X's webpage. If the visitor buys product X, you get a commission

Cookies Explained

It gets better!

With some reputable affiliate programs, the person does not actually have to buy during that click.

So say Jim landed on your website, clicked on your affiliate link to product X on your website

He gets taken to product X's site, looks at the sales page and then goes off without purchasing.

During that click a cookie is placed on Jim's computer.

This cookie is just a bit of code that says that the computer has viewed product X on a specified date.

It also has a record of who referred Jim to the Product X site i.e. you

A week later, Jim remembers product X, remembers the URL of product X's website and types it into the web browser of his computer.

He does not use your affiliate link on this occasion. He goes directly to Product X's webpage and decides that he would like to buy it after all.

He whips out his credit card and makes the purchase

When Jim went back to Product X's webpage, the cookie left on his desktop kicked in.

The webpage recognizes Jim as being refered by you.

What does this mean?

You get your commission.

Cookies could be valid for as little as one day to 60 days. There are even some cookies that are lifetime cookies.

As long as the purchase is made from the computer where the cookie is stored, within the time limit of the cookie, and Jim hasn't encountered other marketers cookies since using yours, you get your commission.

Word of caution: Cookies vary in their duration so read the companies affiliate agreement carefully to find out the life span of their cookie. A 3 month cookie is more desirable that a one week cookie, for example.