So, probably you have noticed that many different words are used when referring to Internet Marketing: Affiliate Marketing, Referral Marketing, and Joint Venture.

Many times they are used as synonyms, they are not because they refer specifically to a given business model.

Let’s dig deeper to learn the differences.

Affiliate Marketing

Is the internet business model where a Marketer drives leads or customers to a Brand or Retailer, as a result he gets a commission from certain purchases made by the client.

The bond between the Marketer and the Brand is not strong; it depends on many things so it can change rapidly over time.

Joint Ventures

JVs can be pointed out to two meanings; one is the classical concept of two or more companies joining efforts and capital on the same goal to offer a product or service.

On the Internet Marketing ground is used when two or more businesses work together, offering a product or service in exchange for a benefit.

Joint Ventures take more time and normally includes a certain level of cooperation between both companies.

Referral Marketing

People normally confuse Affiliate with Referral Marketing. They are similar but not the same. We´ve found this as the reason why people confuse them, from Wikipedia:

“Affiliate marketing is commonly confused with referral marketing, as both forms of marketing use third parties to drive sales to the retailer. However, both are distinct forms of marketing and the main difference between them is that affiliate marketing relies purely on financial motivations to drive sales while referral marketing relies on trust and personal relationships to drive sales.”

Referral Marketing is more personal is a marketing arrangement where a person may refer a product or service to their friends, clients or contacts.

It is used by companies to get new clients and use the help of others to get their objectives. The person referring not always gets a direct benefit.

Internet Marketing

So, what is Internet Marketing anyway?

This is the definition according to Search Engine Journal:

“Also called online marketing, it is the process of promoting a brand, products or services over the Internet. Its broad scope includes email marketing, electronic customer relationship management and any promotional activities that are done via wireless media.”

IM is a broader definition; it includes all the different ways of marketing over the internet. Many times is used to refer to Affiliate or Referral Marketing. Actually is the sum of all of them. Once more Wikipedia enlightens us with this explanation:

“Affiliate marketing overlaps with other Internet marketing methods to some degree because affiliates often use regular advertising methods. Those methods include organic search engine optimization (SEO), paid search engine marketing (PPC - Pay Per Click), e-mail marketing, content marketing and in some sense display advertising. On the other hand, affiliates sometimes use less orthodox techniques, such as publishing reviews of products or services offered by a partner.”

So you have a clearer image of what these words mean, but the important thing is what they mean to you.

Learn more about Joint Ventures and Launches downloading JVStation, the app we create for people like you.

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