How do merchants track affiliate sales?

Merchants track affiliate sales through various methods, depending on their affiliate program setup and the technology used. Here's an overview of the typical process:

1. **Affiliate Tracking Links**: Each affiliate is provided with unique tracking links that contain special tracking codes or parameters. When a user clicks on an affiliate's tracking link and makes a purchase or completes a desired action on the merchant's website, the tracking code allows the merchant to attribute that sale or action to the specific affiliate.

2. **Cookies**: When a user clicks on an affiliate link, a tracking cookie is usually stored in the user's browser. This cookie contains information identifying the affiliate who referred the user. If the user makes a purchase within a certain timeframe (the cookie duration), the cookie is read by the merchant's website, and the sale is attributed to the corresponding affiliate.

3. **Referral Codes**: In addition to tracking links, some affiliate programs use referral codes or coupon codes assigned to each affiliate. When a user enters a referral code or uses a coupon code provided by an affiliate during the checkout process, the sale is attributed to that affiliate.

4. **Affiliate Dashboards**: Merchants typically provide affiliates with access to an affiliate dashboard or portal where they can track their performance, including clicks, sales, commissions earned, and other relevant metrics. Affiliates can monitor their activity and earnings in real-time through these dashboards.

5. **Affiliate Tracking Software**: Many merchants use affiliate tracking software or affiliate networks to manage their affiliate programs. These platforms offer advanced tracking and reporting capabilities, including tracking link generation, cookie tracking, real-time reporting, and commission calculations. Affiliates and merchants can rely on these platforms to accurately track affiliate sales and commissions.

By utilizing these tracking methods and technologies, merchants can effectively monitor and attribute sales generated by their affiliate partners, enabling them to calculate commissions accurately and compensate affiliates for their marketing efforts.