What is affiliate marketing?
Affiliate Marketing is a method of solving marketing problems by attracting agents (referrals, affiliates). The essence of affiliate marketing is the promotion of products, brands, and views, as well as the sale of products and services by intermediaries for a commission paid by the customer.
The purpose of affiliate marketing for customers is to attract a large number of agents who carry out informational and intermediary services for the promotion of brands, products, and services of the customer. This occurs in the communicative space where the agent is an expert, frequenter, and also has the opportunities and resources for providing agency services. The sale of products or services to the customer by the intermediary is not an obligatory goal of affiliate marketing. Often, the agent is only providing information services to attract potential customers, inform them and draw their attention to the customer’s products and services.
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The customer can involve individual referrals or form agency networks with their own functions and intermediary information tasks. Affiliate marketing is widespread on the Internet. However, when providing marketing services, this kind of relationship between the customer and the agent is common in B2B, the corporate sector of the economy.
Affiliate marketing benefits
Remuneration for marketing services between the customer and the agent usually implies the Cost per action (CPA) model. Depending on the agreement between the parties, the client’s action can be:
- Sale of products. In this case, the agent is paid on the Cost per sale (CPS) terms.
- Providing client contact information to the customer. The agent is paid on the Cost per lead (CPL) terms.
- Any client action required by the customer. The agent is paid on the Cost per action (CPA) terms.
Affiliate marketing enterprise: how does it work?
Most online resources have affiliate programs to which almost anyone can connect as a webmaster for marketing. The registration link is usually in the website footer. The partner attracts visitors to the website through advertising or other permitted means, offering products or other affiliate programs. He is assigned to his own identifier, and in the case of a committed target action (sale, registration) by users who came via an affiliate link, he is paid a fixed percentage of the purchase price or fixed amount of money.
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Both parties of the agreement win: the partner can work as an intermediary between the store and the customers without worrying about the product’s availability, delivery to the consumer and other related problems. He only provides affiliate marketing services and receives a payment for it. In turn, the product’s owner does not think about its implementation, paying a certain percentage only after the action is completed.
Who and when should launch the affiliate program?
If you offer a simple and clear product of mass demand, you should launch an affiliate program. The main condition here is an efficient work scheme. Affiliate programs work very well in the B2B market, i.e. retail sales, and for small businesses. Medium-sized and large businesses make decisions at completely different levels, which makes affiliate programs extremely valuable for small businesses.
Affiliate program planning stages
- The first thing to do is to conduct a full marketing analysis. If you are not able to conduct it yourself, it is better to entrust this work to affiliate marketing companies. Now the market is very dynamic. If you do not analyze, you do not control.
- Determining the product value (size, structure and development trends of the product market).
- Determining the target audience. It is very important to create a socio-demographic portrait of the audience. If a person lives in a small town or village, for him buying a smartphone means that he has reached a higher status. Meanwhile, a person whose phone is broken needs a means of communication, so he will immediately buy a more or less suitable option.
- Determining the purchase algorithm (how the client thinks, makes decisions, at what stage the problems that make him leave appear). If we are talking about a lead generation, you need to understand where your client is starting to get lost and to catch him at this level.
- Determining whether the website can sell (website for information or sale). At this stage, we look at how the landing pages, information about payment, delivery and “buy” buttons are implemented, whether there are reviews, how the product is presented, etc.
- Determining the unique selling offer (why the client should choose your company). As part of an affiliate program on the Internet and lead generation, it is important to choose the right marketing goal. You and the platform on which you advertise have the same goal, which is to make more money. If earn money together, you will grow together. A high-quality marketing goal ensures the highest possible amount of high-quality traffic.
Business partnership offer from KATASIS
The business partnership with the KATASIS full-cycle web agency will allow your business to reach new heights, increase sales and, as a result, revenues from your current activities. Order affiliate marketing for your website from KATASIS.
Our agency develops a brand and project logo as part of a business partnership. During branding, we take into account the values relevant to the buyer and all aspects of product promotion on the web market.
We develop efficient sales platforms for your products, create a full-featured and multifunctional branded online store, fill it with your products and launch it on the Internet. Affiliate marketing for an online store is a simple and effective way to make your website successful and profitable.
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Promotion on the web
Affiliate marketing is a method of solving marketing problems by attracting agents (referrals, affiliates). The KATASIS specialists prepare a unique content for the affiliate marketing websites, carries out search engine optimization and the subsequent promotion of your online store on the web. We make customers notice your online store and keep it in their line of sight.
We will analyze the market and market studies of consumers, as well as carry out activities aimed at attracting visitors and converting them into buyers.