
When an affiliate joins in with an e-commerce merchant of some sort (be it a subscription service, a shopping site etc) payment is received through referrals done from the affiliate's website, done through the following methods
1) Pay-per click systems basically.
the affiliate displays adverts on their site and is paid when a customer or internet user clicks on that website
2) RSS feeds or blogs.

3) Comparison sites and shopping directories.
such as review sites or legit advertising sites
4) Loyalty sites.
this is when a reward system is in place via a cash back or points back system (or charitable donations)
5) Coupon sites that focus strictly on marketing and promotions.
6) Email lists.
legit email lists to subscribers of the affiliate's website etc. NOT spam
7) A registration path.

8) Networks.
there are many affiliate marketing networks. Some even function on a multi-tier or multi-level marketing sort of set up.
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