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Most of people consider ‘affiliate marketing’ and ‘referral marketing’, are practically similar, but there are striking differences. There is only one similarity – Objectives. Both drives new customers, increase business revenues and provide great ROI on marketing investments.

Affiliate Marketing

Affiliate marketing is a way where one earns money by promoting someone else’s products in exchange for certain types of benefits. There are 3 kinds of people involved in this marketing:

Advertiser (Merchant), Publisher (Affiliate), and Customer.

Read This Post – Want to Have More Appealing Affiliate Marketing?

Referral Marketing

The Greatest Form of Flattery is Referral.”

Referral marketing is thus defined as a process where a person aware of a good service will refer the same to his/her friends, family, colleague etc. This is sometimes due to goodwill and sometimes due to some benefit the referee is gaining from this strategy.

Read This Post – Shhh..Listen! Do You Hear The Sound of Referral Marketing?

Both forms of marketing – affiliate and referral — are powerful. Understand the uniqueness of both approaches and add in your marketing strategy to reap rewards from both strategies. It is important for business owner to give both approaches a chance.

Check out the Infographic – Comparison between Affiliate Marketing (AM) and Referral marketing (RM).


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