How affiliate marketing helps you to grow your business ?

As an entrepreneur or a marketer, the risk for you to use affiliate marketing is extremely low and the reward is high. You only need to pay affiliates when a customer converts, not when they drive people to your website.

What is affiliate marketing?

Affiliate marketing is a tactic used by brands to drive sales. It often words in tandem with other marketing tactics as part of a larger campaign.

This tactic typically involves a partnership between an affiliate and a retailer to promote the sale of their product on a commission-based model. The affiliate will promote the product using a unique link that drives trackable traffic to the company’s website. If a consumer makes a purchase through the affiliate link, the affiliate is paid a percentage of the sale.

How affiliate marketing works:

1. Affiliate is assigned a tracking URL:
   This is to track which affiliates are driving your traffic.
2. Affiliate markets your company:
   Affiliates can promote your company through several different ways: paid traffic (like Google Ads), a YouTube video of the product and link to it with the affiliate ID, email blast, blog post, reviewing products, etc. The possibilities are endless. When you sign up affiliates, you should also limit how they can promote it.
3. Customers or leads are acquired:
   This is when the visitor purchases the product or signs up.
4. Affiliate receives a commission:
   When the affiliate drives you a customer or lead, you pay them out.

Something to know is that affiliate marketing and referral programs are different. Referral programs are great for people who are already customers. For example, if a company had a referral program, and a current customer tells his or her friend about the product, the customer can receive some sort of reward through the referral program.

The benefits of affiliate marketing

Low start up costs

When starting up your affiliate program, you don’t have to buy ad space or get a creative team together to make ad visuals. Instead, you rely on affiliates to make great content. Aside from the initial push to find and vet affiliates, time and effort costs are also fairly low in this stage.

Low ongoing costs

As the program moves forward, affiliates take it from there. Your brand only pays out when the affiliate makes a sale, meaning costs are manageable, expected and do not interrupt cash flow. This differs from marketing tactics like PPC advertising where you pay every time someone clicks through to your site. With affiliate marketing, you only pay when a conversion occurs.

Low risk

With low costs comes low risk. You know exactly what sales percentage you will be paying out when the conversion occurs and don’t have to worry about last-minute or unexpected costs.

Targeted traffic

Because the affiliates that represent your brand are selected and approved by your company, you can hone in the traffic you’re driving to your site. Chances are if you handpick affiliates that resonate with your brand, then their followers will, too.

User generated content

Affiliate posts advertising your product double as free user generated content for you to use in your content marketing! Put the best affiliate photos on your social media feeds and blogs to boost your organic visuals.

Grow brand awareness

Affiliate marketing is an easy way to build valuable partnerships and get your brand name out into the world with hand-selected qualified individuals. You’re accessing their followers to benefit your own company and spread the word about your products. Not only that, but their followers are hearing about your product from someone they trust. This is an excellent way to acquire new customers!

Flexibility

An affiliate marketing program can be as big or as small as you make it. It’s easy to scale and you can grow it or shrink it depending on what works best for your brand. Zooming out to the bigger picture, it’s also an easy way to scale business as a whole without a lot of time and money cost.

High ROI

Because of the low start up costs, affiliate marketing tends to have a higher ROI than other marketing tactics. Conversions are higher because the audience is hearing about your products from affiliates they trust, and an affiliate marketing software platform can minimize time costs.

So Join ThemeDev Affiliate Marketing and earn money.