Affiliate Marketing

Meaning 

Affiliate marketing usually involves a partnership between a business and an affiliate to help promote the sale of their product, with the retailer agreeing to pay a commission to the affiliate marketer for every sale they drive.

For online-based businesses, the affiliate uses a unique link that’s created to track traffic that’s directed to the site.

 This type of marketing involves hiring people to promote your product and rewarding them for their efforts on a commission basis—this is an effective strategy that brands employ to improve sales. Quite often, it’s better used in tandem other marketing outreach strategies. The affiliate gets a certain percentage of sales made through those links.

Importance Of Affiliate Marketing

The main advantage of having an affiliate program is that it is entirely performance-based. Because affiliates are only paid a commission once the desired action has taken place, they’re more motivated to drive the conversion you’re looking for. This mitigates any efforts that drive traffic with little to no value to your company while also ensuring that you get what you pay for.  

5 Benefits Of Affiliate Marketing




  • 1. Affiliate marketing is performance-based
  • 2. It helps broaden your audience
  • 3. Affiliates can boost your reputation
  • 4. It's cost effective
  • 5. Affiliates can rapidly scale your traffic and sales

    • Affiliate marketing can be a very effective, low-risk investment to help expand your marketing efforts beyond a small business’ traditional bandwidth. For the reasons listed here, affiliate marketing is almost always worth the investment and can take your online store to new heights.

    Are you already utilizing affiliate marketing? How is it going? Feel free to reach out in the comments below with any questions or comments.

    1. Low cost of start-up

    An affiliate program does not require that you have an advertising team for ad visuals or purchase ad space.

    Rather than that, you’ll have to depend on your affiliates to come up with their marketing content. Other than the initial effort of selecting and vetting affiliates, there’s little effort required from you to market your products, which is one of the reasons it’s become such a popular method of marketing.

    Once a company is comfortable working with an affiliate and has built a good relationship, they can for the most part let them get on with marketing your service or product.

    2. Low ongoing costs

    Since most of your marketing activities are done by affiliates, they’ll also bear the chunk of the cost attached. And since it’s a commission-based program, it means that you’ll only pay affiliates from sales they bring in.

    This marketing model makes cost easy to manage and does not interrupt your cash flow, unlike other marketing models such as PPC advertising that requires you to pay for every click leading to your website. But affiliate marketing ensures that you only part ways with your money when sales are made.

    3. Low risk

    Lost cost means low risk. There’s little risk of loss since payments are only made when there’s an actual conversion; perfect for businesses on a tight budget.

    4. Targeted Traffic

    Since the affiliates are handpicked by you, it can ensure that the traffic that comes to your site is from individuals that find your product or service useful. This is because affiliates that resonate with your brand will most likely have individuals with their area of influence that’ll find your brand useful.

    5. Flexibility

    You can easily make your affiliate program smaller or bigger at little or no cost. It also offers you a great way to scale up your business without breaking the bank.