Affiliate marketing is often a good solution to help monetize your website. It is also a good way to sell your products online, since you only pay a commission when a sale is made. It is cheaper than paying a full time sales person when you have a small company since you don't have to worry about benefits, recruiting, etc. A company can set up in-house affiliate marketing programs or join an affiliate marketing network.
From a website or blog owner in-house affiliate marketing programs can be good since they will often pay higher commissions. From a merchant's perspective in-house affiliate marketing programs can be good since it means they don't have to pay fees to a network.
The negative view for a website owner is that he or she will be paid one check or deposit (if available) per marketing program, so he or she will have to spend some time making sure they were paid instead of one check or deposit per network which is easier to keep track of.
The negative view for a merchant is that someone at the company has to manage the in-house program and somone has to keep track of payments to each associate and someone has to actually make the payments. Marketing networks allow them to pay for every commission with one payment made to the network. The network later distributes the payment to each associate.
It is difficult to say which is a better choice. Both affiliate marketing networks and In-house affiliate marketing programs have their pros and cons.
If you are a website owner and you are interested in advertising a specific merchant's products via an affiliate program, check their website and check the affiliate networks to compare their offers. If the in-house program offer is the same then the network is likely a better choice.
A merchant deciding between offering in-house affiliate marketing programs and joining an affiliate network, should determine which will have a lower cost and higher returns. They should compare fees against costs of managing a program.
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