Is Affiliate Marketing worth it in 2023 – Affiliate marketing is a digital dissemination strategy where so-called “affiliates” promote some type of product or service and receive commissions for each sale made from a disclosure action carried out by them.
It is possible for people to work as affiliates, with the aim of earning income from the internet, or else, niche companies similar to “producers” who wish to take advantage of their digital visibility to earn extra profit. But is it worth becoming an affiliate?
Even if you’ve never heard anything about it, don’t worry, Techjustify blog explains everything for you. Check this article:
- what is Affiliate Marketing?;
- which channels can be used?;
- what are the types of disclosure for affiliates?;
- is it worth being affiliated?;
- Is Affiliate Marketing Safe?
What is Affiliate Marketing?
In short, Affiliate Marketing is a commercial relationship between producer and affiliate – communication and relationship channels such as Facebook, Instagram and YouTube. The producer or company launches a product on one of the channels and in return, the affiliate earns a commission for each sale made.
How Does Affiliate Marketing Work?
Basically, affiliate marketing works as an extra sales channel for companies. In this strategy, when the producing company creates a new product to be launched on the market, it counts on the support of affiliates to boost sales through its communication channels, such as social networks.
It’s a great strategic idea for companies that want to work with online sales or already have an e-commerce. In short, it works something like this:
- the company/producer launches a product;
- looking for a digital platform — affiliate — to promote your product;
- the customer, in turn, clicks and makes the purchase on the affiliate’s platform;
- the sale link is tracked;
- the company receives the money for the sale ;
- and the affiliate for the commission.
Do you understand how it works? In addition, Affiliate Marketing brings benefits to both sides. Producers are able to have a greater impact on their customers through publicity channels and, consequently, generate more sales. And affiliates , in turn, monetize their channels through third-party sales.
Which channels can be used?
Becoming an affiliate does not necessarily require an exclusive channel for promoting third-party products and services, although it is recommended. It is the case of:
Websites and blogs
The site is a virtual showcase available 24 hours a day for anyone who wants to come in and see. The advantage of having a website is being able to customize it with your style. That is, make it unique and your way!
Unlike social networks, which follow a layout pattern and even message specification, on your blog or website you have the freedom to advertise as you wish without worrying about specific policies.
Read Also: How to Create A Website in 2023: Step by Step Beginner’s Guide
Perhaps one of the most popular channels for promoting products and services is social media. That’s because, when used correctly, they can bring amazing results. Among the main ones, maybe you can already imagine what they are:
These four are great communication channels for disclosure, each with its particularity. There are businesses that fit one better than the other.
For example, if you have a real estate business, Pinterest can be a great idea to quickly and easily showcase real estate. Now, if you want to reach potential customers through audience targeting, Facebook could be the solution.
Study your business and see which one fits best!
If you have a solid customer list, why not interact via email? The email marketing strategy is simple but very effective.
The goal is not just to sell, but also to educate your audience so that they are fully aware of your services and products.
To do this, offer quality content, such as articles, e-books , webinars, among others, to generate value for your brand. Do this and see how, consequently, your company’s sales will increase.
What are the types of disclosure for affiliates?
There are several formats, you just need to analyze and find out which one best fits your type of business and strategic objectives. Look at the difference between them:
- Cost per Click (CPC): the affiliate is paid every time someone clicks on the banner, ad, pop-up, social networks, etc. A good performance in the campaign is necessary for the affiliate to be able to profit;
- Cost per Action (CPA): the affiliate is only paid if someone takes some kind of action on the landing page, which could be a purchase, registration or even a quote request;
- Cost per Thousand Impressions (CPM): the advertiser pays a fixed amount to the affiliate when the advertisement reaches a thousand impressions. A great strategy for those who already have many hits on their pages;
- Cost per Sale (CPV): the affiliate is only paid when the link shared by him generates sales.
Is Affiliate Marketing Worth it?
If you are in doubt if Affiliate Marketing is worth it, we have selected some benefits that can bring a great return.
1. Impulse purchase
Currently, it is difficult to find a brand that is not advertising on communication channels. Customers tend to prioritize brands that offer different means of perception.
Another strategy to attract customers is that purchases can be made on impulse. That is, the customer looked at an ad for a brand that he saw recently, liked and bought. He didn’t have that time to think about the product in question.
In addition to not necessarily having to enter the brand’s website to be able to buy, and the ad already directs the user to where he should go!
2. Agility in the purchase process
When you do Affiliate Marketing it is much easier to sell your products than through a physical store, for example.
In addition to the wide possibility of payment, being present in communication channels facilitates the purchase of those users who could not go to the physical space.
3. Different means of dissemination
The cool thing about Affiliate Marketing is that you can advertise your products and services exactly where your audience is. If you are a consulting company, for example, you can advertise your lectures and workshops on YouTube videos.
Furthermore, if it performs well, both sides — producer and affiliate — win! Don’t forget to analyze your type of business and see if it’s really worthwhile for your company to participate in this new digital trend.
Is Affiliate Marketing Safe?
Many people have a common doubt about the safety of working with affiliate marketing. We can say that yes, affiliate marketing is safe, even though it is a digital marketing strategy that is still little explored, it is not a “seven-headed bug”.
But, as with all marketing actions, you need to be careful when investing in this strategy, whether you are an affiliate or an advertiser. Check out some tips:
- beware of very “easy” or “fantastic” promises: in any strategy there may be malicious people, so be careful with promises of “making a lot of money quickly” or ads of this type. Affiliate marketing can indeed increase your results, but as a result of a lot of study and work;
- choose a safe platform: with the popularization of the strategy, more and more affiliate mediating platforms are emerging, but it is necessary to pay attention to the platform’s criteria and know the reputation of that channel before investing. We have a complete article with the best affiliate platforms on the market so you can choose the one that best suits your needs;
- check out the technologies and precautions with the security of the platforms: a good affiliate platform must contain, in addition to security, excellent technological support so that you can use it in the best way. Take tests and take as many questions as possible before closing a contract.