What is an external/affiliate products?

An affiliate or external product in e-commerce refers to a product listing where the retailer acts as an affiliate for another seller or vendor. Instead of selling the product directly, the retailer directs customers to an external website where the product is available for purchase. In this model, the retailer earns a commission for each sale made through their referral link.

Let’s say you have a lifestyle blog where you frequently feature handmade goods from various artisans. You come across a unique handmade jewelry piece on an artisan marketplace like Etsy. Instead of purchasing the jewelry piece wholesale and selling it directly on your website, you decide to list it as an affiliate or external product.

When a visitor clicks on the “Shop Now” button for the handmade jewelry piece on your website, they are redirected to the product page on Etsy. If the visitor makes a purchase on Etsy, you earn a commission for the referral.

In this scenario:

• You don’t handle inventory or shipping for the handmade jewelry piece.
• You earn a commission for each sale made through your referral link.
• The customer purchases the product directly from the external seller (Etsy in this case).

By promoting handmade goods as affiliate or external products, you can support independent artisans while earning a commission for referring customers to their products. This model allows you to monetize your content without the hassle of managing inventory or fulfillment.

For more information on simple, grouped, and variable products, click on the respective links.