Ever since the pandemic struck, affiliate marketers took a big blow. They are still living the after-effects of Covid but it also opened the doors to so many opportunities. With pandemic, started the rise of the eCommerce industry. People started buying online and all these shoppers are highly relying on their affiliates to help them through these purchases. According to research, at the start of the pandemic, 25% of shoppers were there due to t their affiliates. This number has now increased to almost one-third of shoppers.
Traditional advertising isn’t doing much for the eCommerce industry anymore. This is the world of social media and affiliate markets are here to enjoy all of it. This article will help you tap into this opportunity by walking you through the basics of affiliate marketing and the ways you can grow your network.
What is Affiliate Marketing Program?
Affiliate marketing is a type of marketing where marketers introduce new people to the industry who promote the products in exchange for a commission. Customers or even the people you know become your advocates and send more people to your eCommerce store through their referral and the sale you make through them will earn them a reward or a commission.
The reward can be a flat amount for every purchase or a percentage of the sale they make. It can also be the products that may be free or discounted. In any case, both parties get a win.
Both business-to-consumer (B2C) and business-to-business (B2B) campaigns make use of affiliate marketing. In fact, sectors like retail and travel mostly depend on affiliate marketing. Today, over 80% of brands use affiliate marketing.
Should you use affiliate marketing for your business?
Affiliate marketing is not meant for every business. If your business makes small profits, affiliate marketing will only hurt those profits. In this case, you’ll have to both pay affiliates and still be left with large profits.
With affiliate marketing, a portion of the sale or a fixed amount has to be paid. You can check if this is the right model for you by comparing your marketing campaigns with the competitors.
We suggest if you are still keeping 80% of the profits while keeping your affiliates happy, then this is the right network for you.
A step-by-step guide to making an affiliate program
If you have chosen that affiliate marketing is the right choice for your business, read this article further to know how you can create your own affiliate network.
There are many networks in the industry like algo affiliates that can you create a great affiliate network too but let’s go through some strategies first:
1. Choose high-value products to promote
The right product to promote is the first step you will take when starting your own affiliate program. You might have lots of products but using them all in the program will not help you at all. Instead, choose products that have higher profit returns and give you better ROI when added to the affiliate program.
For example, a 7% cut on a $100 product or a 10% cut on a $10 one? Which one will you choose?
You need to inform your affiliates which products you want in the campaign and how they can market them. Little tips from you will increase your sales too.
2. Affiliate pricing and commission
You have now a product that you are putting for affiliate marketing. The next step is the commission you are going to offer to the network. It can neither be too low that your affiliates lose interest nor too high that you make a low profit out of the sales.
You need to decide how you are going to reward them. Is it going to be cash, free products, or a discount? If it is going to be cash, are you going to give them a fixed amount or a percentage of their sales You can check this free proxy list and make use of them to see how people in similar fields charge for their affiliate program.
Just remember, make it clear to your affiliates that you can always change the commission and make it higher or lower.
3. Choose an affiliate management app
An affiliate management app like Algo Affiliates can really help you manage all your affiliate operations in one place. Using this app, your affiliates can choose the product of their choice and earn commissions from it. You can publish your product and affiliates from anywhere around the world will sign up to Algo Affiliates and start promoting your product.
4. Recruit your affiliates
If the apps are not your style, you can recruit affiliates yourself. You’ll need the right army that will help you advertise your product and gain profits. The recruitment needs to be airtight to ensure doing that. To attract these affiliates, here are a few ways:
Use the power of social media to tell everyone the products you want to sell and the profits that affiliates will gain from it. Use Facebook, Instagram, or even LinkedIn to find the right people.
Build an email list of your own satisfied customers, people in the field of marketing, or anyone who’d be a perfect match for the seller. Request them to be apart and tell them about all the perks.
The people who have already visited your website know what products you are selling. You can promote your affiliate marketing program there to make a list of potential candidates. Create a landing page, and banners, or you can even add the announcement to the footer of your website.
Be a part of affiliate sites that help you promote your product like Algo Affiliates which already has an army of affiliates for you to take advantage of. They are all set to drive customers to your brand.
5. Manage affiliates
Once you have an army of affiliates at your disposal, you’d have to manage them as well. Keep a tab on all of the affiliates by either a group communication channel or individual check-ins to ensure the right performance.