Let’s set the scene: you’ve been seeing steady business growth over the last few years by fine-tuning your SEO, you’ve got a robust paid search strategy and a wide range of desirable products that you want to promote to an even wider audience. Sound familiar?
Having a strong established marketing mix combined with a stellar product offering puts you in a really desirable position for potential affiliate partners to feel that they can market, and help you sell your products to a large targeted audience - allowing you to negotiate the best partnership deals.
What should you think about before embarking on your affiliate journey?
Your goals and strategies
You will have various affiliate marketing strategies to choose between. Considering where you want your affiliate marketing to take you will help inform you which strategy is the most ideal for you. While every business is different and will have varying goals, choosing a strategy to maximise revenue whilst increasing brand awareness further than you’re reaching already is a good place to start. Understanding the destination will allow you to curate your program strategy, allowing you to allocate your budget and timeline.
Your current customer buying journey
Now you know where you want your affiliate marketing to take you, it’s time to map out the journey. The best place to start is to understand your customers' buying journey: at what point a potential customer would decide that your product is right for them to purchase?
Your ideal partners
Choosing partners becomes a lot more straightforward now you’ve mapped out the journey to purchase. It’s simple: you are now able to select the correct partners for you along the buying journey whether this is; research, evaluation, or retargeting, that best match up with where your customers spend their time online.
For example, if you are a retailer who sells basketball sneakers, the best place to advertise might be with an evaluation partner that produces powerful content around how the latest technology could help you to jump higher or look cooler; listing you as a recommendation of where the consumer can purchase the sneakers - if you are not listed amongst those retailers the popular website suggests you are definitely missing out.
Your product margins
It’s recommended to avoid inflating your CPA with voucher codes at the point of sale ‘just because’. If your prospective customers are likely to purchase regardless because their favourite influencer has recommended the sneakers as this season must haves and provided a link. What’s more important here is targeting customers with creative campaigns through niche partners that focus heavily on your target audience - helping to reduce the erosion of product margins when not entirely necessary.
How could the Visualsoft Affiliate Network help you?
The Visualsoft Affiliate Network provides you with access to 500K+ partners worldwide, and allows you to track all of your sales and commissions paid to partners achieving sales for you. Our SaaS based tool allows you to discover partners and automate many time consuming tasks!
What impact will affiliate marketing have on costs to the business?
Affiliate marketing is a really valuable tool for retailers to use, as most affiliate partners work on a CPA model rather than CPC.
Of course, you will need to look at your margins, negotiate a fair deal with partners and decide on a promotion so you can stabilise your costs, but as long as you have healthy margins on your product inventory, affiliate marketing is likely to generate huge growth for your business - without being as impactful on costs as you first anticipated!
You’re all set up, what next?
A mature affiliate program can quickly grow into a huge beast, but fear not. The expertise of a good affiliate agency can be crucial in helping you stay on top of your program by keeping your commission levels low whilst continuing to grow your program revenue.
Want to find out more about how you could grow your business with affiliate marketing?
Simply fill out the form below and Anton, or one of our other specialists, will be in touch!