How does affiliate marketing work?
Affiliate marketing means that your customer is recommended by other websites and on popular online channels. If such a recommendation leads to a sale, a predetermined percentage of the sales amount is paid to the person who recommended, that is, the person who is an affiliate with your customer's business.
A practical example of how to work with affiliate marketing:
Your customer runs a shoe store and is trying to reach more customers throughout Sweden. A popular beauty blog with many readers becomes an affiliate and starts recommending your customer's shoes. When readers on the blog click on links or use special bonus codes to shop, a certain percentage of the payment for the shoes will go to the beauty blog that made the tip.
How can affiliate marketing be an effective marketing method?
So far there are no strange things. Affiliate marketing is not a new concept. But many media agencies miss the power of this marketing. When you work with advertisements, TV commercials, radio commercials and advertising columns, the idea is that this should be seen and cement the brand in people's minds.
Affiliate marketing can do this in a very effective way. Unlike TV commercials and advertisements, the advertisement will only be seen where the current target group is active. This is somewhat similar to the ads that can be purchased from Google and on specific forums.
What happens with affiliate marketing is:
- The customer's brand and products reach the right audience.
- The message spreads quickly via social media and niche websites.
- The right type of affiliate marketing can also become viral and widely shared on mobile phones. For example, film clips that are interesting, funny and original.
- It is possible to cooperate with many different affiliates to reach many segments and gain wide distribution.
Best of all, the cost is minimal compared to classic advertising. Many times, no effort is even required. Whoever acts as an affiliate has a personal interest in selling more because this brings income.
How do you implement affiliate marketing in practical terms?
The easiest thing is to work with an affiliate network like addrevenue.io where everything is gathered in one place. This makes it easier to analyze how affiliate marketing works. In addition, it becomes smoother with payments when this is handled by an affiliate network. Especially when the customer can benefit from several partners.
Some important things to consider when working with an affiliate network
To succeed, you must choose the right affiliates
Choose websites and social media channels that match well with the customer's business. It is not only good with traffic to the website that should recommend that applies. Look at things like quality and of course target group.
Sometimes it's about choosing affiliates that generate content for the target group that the customer is already addressing. Sometimes it can be the case that affiliate collaborations open the door to new target groups. Thus, it is important to think a little outside the box and realize how different types of sites and online projects could contribute to more business for your customer.
Create creative collaborations
The simplest form of affiliate marketing is when a website has affiliate links that point to your customer's online store. With these, it's easy to see when clicks lead to purchases. But it is possible to do much more than that.
With creative collaborations, you can increase the customer's exposure. This may mean that an affiliate should receive products or test services. A person who has a popular video channel can create video material that is better than professional TV advertising.
This is simply because it is about personal recommendations. Those who read the blog or watch the videos have confidence in the person who recommends. This is something you can never get in the same way with regular advertising. Not even when it's a celebrity who figures in the pictures.
Think about how you can make an affiliate feel motivated. It's not always the money that drives the most. An influencer in natural skin care and similar topics will see great joy in discovering new products and services that promote this lifestyle.
Find a good entry point for cooperation and see how this leads to very positive efforts by affiliates.
Keep track of how your affiliates are doing
Should you have a select few affiliates or a whole army of people recommending the customer's business? Either way, it's important to keep an eye on the results. Sometimes it can come as a surprise how a smaller channel can sell more than a giant site with lots of traffic.
When this is discovered, there is good reason to invest a little more in the collaboration with the smaller channel. Keep an eye on the statistics that you easily get via our network. Analyze and develop collaborations that clearly produce good results!
Don't miss trends in the affiliate industry
In recent years, a lot has happened in the affiliate industry. The person who a few years ago dealt with affiliate marketing on blogs is now also active on channels such as Instagram and TikTok. Find out what's hot right now to find new ways to reach more consumers.
The basis of affiliate marketing remains the same, but it is wise to be open to new angles to the method. If you have your finger on the pulse of the affiliate, you can make a big difference to your customer with marketing that is fast, effective and very rewarding.
Summary of how you can scale up your client's affiliate marketing campaigns
In addition to advertising in TV, newspapers and online ads, it is smart to work with affiliate marketing. This can spread a brand and bring more sales quickly and at minimal cost. Affiliate marketing is therefore incredibly important to include in the basket of effective advertising methods for small and large businesses.