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To promote Web businesses, affiliate marketing is used. The Web sites that offers different products or services of other web sites are known as affiliates. Such affiliates find new customers and increase revenues of business firms.

Affiliate marketing is the best way to advertise products at lower costs that results in saving your time and money. Affiliate marketing is a joint effort or relationship between a business firm and affiliates. The affiliate charges a commission, known as affiliate commission on overall profits.

There are many advantages of affiliate marketing. In affiliate marketing business there is no boss and no one will tell you what to do. It is an easier way to earn continuous money. Affiliate marketing helps businesses to earn more profits by offering their products to more websites that in turn create more sales. Such marketing business is also beneficial for customers as they get better products on cheap rates. The biggest advantage of this business goes to advertisers because they will get high commissions along with maintenance fees.

The important thing to remember is that what type of affiliate marketing is the best. The affiliate marketing fall under two main categories: pay-per-click (PPC) and pay-per-performance (PPP). PPC is common type of affiliate marketing and the affiliate gets commission from merchant whenever a new visitor is introduced means click on the merchant's sign or advertisements.

In PPP affiliate marketing program, the affiliates get commission whenever the customer actions takes the real form means when the visitor buys something from the merchant's site. PPP affiliate marketing can also be divided into two different parts: pay-per-sales (PPS) and pay-per-lead (PPL). Under PPS, the affiliate is only paid when the customer referred by him buys something from site. Under this the affiliates will get some commission based on sales or a fixed fee. PPL is mainly used by insurance and finance companies. In this type of affiliate marketing, the affiliate is only paid when the visitor fills an application form of the company.