Do you want to increase sales in your online store? Making sure you have eyeballs on your brand is essential to your long-term success.
Enter affiliate marketing.
Affiliate marketing happens when you get different websites and different content creators to promote your products to their audience. In the industry, those websites and content creators are called affiliates.
If the ally succeeds in referring someone to your store (eg someone buys something via their referral link or using a voucher code you gave them), you reward the affiliate who referred them with a commission on the sale.
In order to effectively track these sales, it is wise to use affiliate tracking software so that you can see which affiliates are generating revenue. Links are generated automatically and it’s easy to set coupon codes.
Benefits of Affiliate Marketing
There are many benefits to affiliate marketing – increasing revenue is perhaps the most important when it comes to getting results and growing your business. However, it’s just more than that – you pay for performance, you get a higher return on ad spend (ROAS), you can reach a new audience, increase your conversion rate, increase brand awareness, and increase the value of your order.
Pay for performance:
With so many traditional marketing channels, you have to pay without any performance required. Take paid search for example. With that you often pay per click, but that doesn’t mean someone will keep buying something. However, with affiliate marketing, you only pay if the affiliate refers someone who buys from your store. So if a partner does not work, they will not earn any commission and you will not run out of pocket. This is one of the biggest benefits of having an affiliate program.
Targeted and unique promotions:
When marketing your brand, sometimes the options are limited. Take paid advertising on Facebook – there are many rules about what you can and cannot do to promote your brand. Affiliate marketing has much more options when it comes to promoting your brand. There are many different types of affiliate companies that provide their audiences with different types of content. Blog posts, banners, testimonials, social media posts, and video are some of the ways you can work with affiliates to promote your products.
Increase your conversion rate:
You may have already seen the stats regarding word of mouth marketing, but here are a few to get you interested. 90% of people trust a brand recommendation, even from a stranger. Word of mouth is more effective than paid advertising. And that’s exactly what affiliate marketing is, word of mouth marketing. When people see your brand recommended on a website, they will be more willing to buy than anyone who comes to your site through other channels.
Since people are more willing to buy from verbal recommendation, it can help increase your earnings. Working with other websites and content creators who recommend your brand to others will increase your profits because you bring your brand to their audience, and there is no limit to the number of affiliates you can work with.
Get a new audience:
As a brand, it is necessary to find more people who might be interested to buy from you. Working with different types of websites and content creators will help you stand out to new audiences because they are already built in. For example, working with a comparison website or a cashback website may attract new buyers who would not have come across your brand before in a more traditional environment.
Brand awareness raising:
Brand awareness is the key to having a successful brand. If no one knows about you, no one can buy from you. You can have the best website in the world, but if no one knows about it, monetization will be difficult.
Whether you are a small to medium sized business or a large online store, you can use affiliate marketing to gain brand awareness.
If you work with different websites and content creators and they promote you in their built-in audience, people will start to know who you are and get to know your brand.
Increase the value of your order:
If you work strategically, you can easily increase your average order value using affiliate marketing. If you know that, on average, people spend $50 each time they buy on your site, you can work with affiliates to achieve that total using coupons or special promotions. For example, with a coupon, you can issue one to your affiliates at $5 off spending $60. Promotion may be free shipping when you spend over $60. After that, you pay the average order value up.
You are in control of:
You have to choose who you work with to promote your brand. If you want to work with influencers only, this is possible. If you want to work with a mix of different types of affiliate companies, that’s fine too. You can also work with your happy customers! Your world is an oyster.
All these benefits can help you grow your brand quickly Remember, you only pay for performance, affiliate program will help you generate more revenue and increase conversion rates.
Now you know why it is necessary to have an affiliate program and what are the benefits, how do you get started? The first step is to choose the right partner tracking software to make it easier to spend time on other things. Having a ready-made affiliate tracking solution will help you automate affiliate links and track your real revenue from your affiliates. Once you have that, it’s time to prepare and hire affiliates to promote your brand.