One of the most profitable forms of search engine affiliate marketing (or affiliate SEM). Well, here's a clip I found on YouTube that sums up how search arbitrage works. The narrator is actually warning viewers that search arbitrage still exists, but the fact of the matter is it's evolving into the mainstream. Basically, it is now common practice for vertical search engines to buy sponsored listings on top-tier search engines.

For instance, eBay and Monster Marketplace are probably two of the most notable search arbitrage success stories. to warn you against search arbitrage affiliate marketers. You'll often find sponsored results for both eBay and Monster Marketplace on just about any keyword. When you click on the sponsored result, the landing page is the eBay or Monster Marketplace homepage. In other words, these guys are buying search engine traffic for their own vertical search engines.

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