What is an insurance affiliate program? It is a marketing device that works in three simple steps, which we will outline below. Some say the online affiliate process began when Amazon.com found that you used your advertising dollars more efficiently if you only paid when a sale was made. With this in mind they began an affiliate program where individual website owners were paid commissions only when customers clicked through their websites to Amazon's website and then bought something.
Many other industries and companies have followed suit and the insurance industry was no exception with many insurance affiliate programs sprouting up.
The three-step process:
- The merchant supplies the product or service and pays commissions on sales generated. The merchant handles all the order processing, shipping and customer service.
- The affiliate, which has also been called the publisher, refers customers to the merchant through his website and then gets his commission.
- The third party is an entity that processes and tracks the activity between the merchant and the affiliate and pays commissions on behalf of the merchant.
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