Influencer Marketing
Affiliate Marketing
A performance model where a creator earns a commission for every sale made through their unique link or discount code, instead of (or in addition to) a flat fee.
What it means
Affiliate marketing pays a creator a percentage of revenue, or a fixed amount, for every sale attributed to their tracking link or code. Payment is tied directly to results. This shifts risk from the brand to the creator. A nano-influencer with a small but convertible audience often out-earns a bigger creator whose audience doesn't buy. Commission rates typically run 5% for physical products and 30%+ for digital products and software, where margins are higher.
Examples
- •A beauty creator earns 15% commission on every sale made through their Sephora affiliate link.
- •A software reviewer gets a recurring 20% commission for every month a referred customer stays subscribed.
- •A cooking creator's Amazon storefront links pay a small percentage on any purchase, beyond the item featured.
Use cases
- •Brands testing a new creator relationship before a paid flat-fee deal.
- •Creators monetizing older, evergreen content that keeps converting months after publishing.
- •Low-budget brands that share revenue instead of paying upfront sponsorship fees.
Why it matters
For creators, affiliate income compounds as older posts keep converting, but it's unpredictable month to month. For brands, it's the most cost-controlled way to work with creators, since spend scales directly with sales instead of reach.