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| Concept & Opportunity |
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Revenue sharing, by its definition, refers to the sharing of and losses among various groups. On the Internet, revenue sharing is known as Cost per Sale (CPS), which approximately accounts for 80% of affiliate compensation programs. E-commerce website operators using revenue sharing pay affiliates a certain percentage of sales revenues generated by customers whom the affiliate refers via various advertising channels. Whether there’s downturn in global economy, as a marketer of a prestigious brand, it is imperative to think through how to spend advertising money more wisely, how to increase sales by optimizing the Internet tools and best utilize the online revenue sharing model to maximize its profitability in the end. With that in mind, we cannot overemphasize the fact that Affiliate Marketing is a quantized marketing tool (money in, money out) and is by far recognized to be the most effective low-risk marketing tool with high reward.
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