Affiliate marketing is a performance-based advertising option that is growing rapidly and the nearly 12 billion dollar industry is projected to not slow down in the years to come. While we continue to face a year filled with many uncertainties, it has been proven that affiliate marketing only continues to produce results and benefit all that are involved. Take a deeper dive with us into the world of affiliate marketing to see if it is a right fit for your brand!
Affiliate Marketing Explained
This unique marketing technique is based around the idea of revenue sharing. There are three parties involved in the affiliate marketing process:
- The Vendor: The business owner looking to promote a product or service
- The Affiliate: The influencer or publisher who advertises the vendor’s products and receives a share of each sale they help generate
- The Consumer: A shopper who discovered the vendor’s product through the affiliate’s content
The idea behind affiliate marketing is to leverage brand exposure with new audiences and generate sales through the same efforts. Many affiliates are required to disclose that they will receive compensation for any of the products they promote, which can often be found in the fine print above an article or using the hashtag, #ad, in their content. The consumer is not required to pay more for the product purchasing through an affiliate link as opposed to purchasing directly from the vendor.
Successful Affiliate Marketing Strategies in 2020
While there are a variety of affiliate strategies to choose from, these tactics are the most successful we have seen this year!
Influencers that have a prominent following on social media have been extremely popular among brands of all sizes. Influencers on Instagram and TikTok are focused on regularly engaging with their audience and creating content promoting products they recommend. Their loyal community of followers trust their opinion, leading them to purchase products regularly.
The best part about teaming up with a social media influencer is that a brand’s product link can be included right within their Stories or post, allowing consumers to swipe up and shop right within the app instantaneously.
Affiliate Media Publications
Another tried and true form of affiliate marketing is partnering with an affiliate publication. When editors include product recommendations in their content, the publication is often compensated for the recommendation. However, their recommendations often make consumers feel informed rather than being sold to.
This is an excellent tactic for brands that are looking to gain exposure on products that people do not typically search for or are up against a lot of competition. For example, your brand sells melatonin vitamins with hundreds of competitors. If you partner with Buzzfeed, an affiliate publication, the editors will often feature the product with an intriguing angle that draws the reader in to learn more, such as “Five Ways to Sleep Through the Night.” The eye-catching headline grabs the reader’s attention and allows them to learn more about the product. The reader can then click the link for the product and purchase. From there, the publication will receive a percentage of the revenue from you, the vendor. Partnering with an affiliate publication is an excellent way to increase your brand awareness while driving online sales through trusted sources.
Millions of consumers are on the lookout for ways to shop smarter. While there are many different rebate affiliates, Rakuten is one of the most popular. Rakuten, formerly known as Ebates, offers cashback deals from thousands of brands. Rakuten shares a deal with shoppers and receives a commission for driving traffic to brands’ online stores. The affiliate then shares a part of the commission with shoppers by sending a check in the mail or payment through PayPal. If your brand frequently offers deals and discounts you want consumers to know about, this may be an excellent strategy to increase your online sales.
Affiliate marketing is growing and increasing in popularity as years go by with no signs of stopping. If you are on the lookout for a solution to increase brand awareness and drive online sales, affiliate marketing is one of many options to help deliver your results!