How money is made on the Web?

Hi everyone and for any first time visitors to my Blog welcome! This post is mostly aimed at those who don’t quite understand how money is made online and I’ll do my best at keeping it as simple as possible. 
I find a lot times that even some of the web publishers I meet also don’t know how to generate money with their blog or website, along with not knowing what affiliate marketing is and how it works.
Here’s a graph that shows how the money is exchanged through people’s hands online.

 

It’s looks simple enough but to somebody that you explain this to they are confused by the fact that some of the links on the ads that visitors click into or they themselves have clicked into are offering something that seems to be free of cost to the customer.

For the most part the link that offers some service or product for free is really free, but the immediate question arises “If what’s being offered is free, then how does the merchant make money to pay a commission to the affiliate and what the hell is an affiliate?

 

An Affiliate is someone who has a website or has the knowledge of how to promote a product online. They in turn are affiliated with a network like 7Reach Media where has one of their members (Affiliates) can choose from variety of ads with different advertisers and promote those ads online.

The Affiliate network get’s all the ads for the affiliate and pays the affiliate for their work all in one large payment via check, bank wire transfer and payment systems like Paypall, Xoom,  etc…

 

How money is made from something that seems to be free is somewhat confusing with reason and here’s a fast explanation. There’s two ways’ that a banner (advertisement on a website) will pay a affiliate (web publisher) for web users that click on it. The first way is very simple; the visitor to the affiliate website will click on the ad and buy something on the web site that follows the ad that he clicked on.
The other way is the user clicked on the ad and filled out a registration form and didn’t pay anything but yet the affiliate got paid for it. The question is why the advertiser is willing to pay for something like that?

 

The answer is cost per action advertizing also known as C.P.A marketing. The objective of the advertiser is not to sell something right away but instead increase it’s on visitors to its website were once the web user is there the advertiser has already things in place to generate money from their own visitors.

That’s basically it, they give you something for free to keep you coming back to their website and in turn increasing their chances for their visitors to click on the ads they offer or upgrades to the free service they provide.

I hope this post has answered your questions and if you have a website fell free to apply at 7Reach.com, just follow the links and instructions bellow.

Good luck and success!