Promoting your new online store will require you to be creative with your marketing strategies. With a good number of businesses already having gone online and many following pursuit, you cannot be left behind. In the United States alone, businesses have been spending on affiliate marketing of an amount of over $8.2 billion. Per year, this amount is likely to cross $10 billion. All types of businesses including the biggest ones have been focusing on affiliate marketing.
7 valid reasons to develop Affiliate Marketing Program
1. Pay for performance only:
It is termed to be performance-based advertising. From marketing cost of view, businesses find this program quite lucrative. A percentage needs to be paid from the revenue once successful sale is derived by the affiliate. The latter will need to be provided commission only if someone clicks on their coupon code or links to make purchases. Also during trial return period, the customer should not claim for refunds. Thus, this program is cost-effective and result-oriented.
The fact is this advertising program is quite effective and also affordable. There is no need to invest in an ad team for managing affiliate campaigns or purchase ad space or invest in creatives. Simply develop a program, establish commission rate and attract quality affiliates/promoters from different social network Since you need to pay only on successful conversions, every amount spent will be worth the investment.
3. Affiliates help develop brand credibility:
Approximately 92% consumers consider trusting earned media like getting recommendations from family and friends besides other ad forms. You can use data analytics to enhance brand credibility. Moreover, Affiliates enjoy steady loyal fan base who are influenced strongly. Affiliates help increase awareness about a product, service or brand while developing brand credibility.
4. Affiliates enhance brand awareness:
Besides making money online, affiliates do become excellent brand ambassadors. Most affiliates like Instagram influencers have decent audience base. A mere mention of your services or products in their blog posts, newsletters or stories will increase your site traffic. Hence affiliate marketing can help increase brand awareness within a short time.
5. Quick conversions from affiliate traffic:
As affiliates promote any online store, product or service, they provide some context about it. Their fans already have developed a strong belief and hence are likely to trust your services/products. This effectively means, your visitors are halfway already into your sales funnel as they check out the affiliate link. Those past or at the sales funnel’s ‘Consideration stage’ tend to click on the links provided by the affiliate. Therefore, it offers higher conversion rates when compared to other marketing channel.
6. Derive targeted traffic:
Data analytics show that such programs do help derive targeted traffic. This is because affiliates do not waste their effort and time trying to promote non-converting or irrelevant services/products. Affiliates generally prefer to sign up to promote those companies that they are confident about promoting. They also do not want to lose their hard-earned visitor base. They are quite aware that once they mention your services/products and provide a link, their audience is likely to click them.
7. Boost revenue:
Making money online becomes much easier for any business, irrespective of any domain or size. The affiliates’ efforts are likely to make their visitors and followers to get into the funnel bottom. This means, you can expect them to purchase your products or services. Thus, your business can enjoy increased revenue from the program.
Create more affiliates
Without your knowing your Affiliate Marketing Program might only be creating more affiliates. Your customers will only bring more customers to your business thus increasing revenue.