An Internet-based customer referral system enables individuals and other
business entities ("associates") to refer customers to a merchant's web
site in return for compensation, such as commissions on resulting sales.
Entities initially register with the merchant web site as associates, and
are provided with instructions for creating links to the merchant web
site. An associate may, for example, set up an associate web site (or
other information dissemination system) with reviews, recommendations,
and/or editorials of specific products in the merchant's online catalog,
together with links to associated pages in the catalog. When a user
follows such a link and then makes a purchase (as tracked by the merchant
web site), the system preferably awards a commission to the associate.
The system also preferably generates feedback reports that provide each
associate with data regarding the effectiveness of each link provided by
that associate.