Within 80 hours of work, I made one of my clients $30,816.90 though Affiliate Marketing.
My client was making 0 per month with the channel before I started. The commissions I spent on this were $2,014.21. Their Average Order Value is around $100.
I did this while agreeing to the limitations they set about the types of affiliates they wanted to work with. They wanted more emphasis on influencers, content affiliates etc. (We could have made more revenue if they’d allow me to really push their product through more affiliates, but I respect their decision.)
It did help that the brand has some equity in the UK, though was still relatively unknown in the market I was promoting them in (USA). It does mean they have good imagery and design, a well functioning website and good copy for me to work with.
For anyone unfamiliar with Affiliate Marketing:
A blog/ pricecomparison website/ coupon website/ email marketer/ influencer/ or anyone else with an audience puts a special Link or banner (there are more options, but let’s keep it simple) on their site, network or newsletter to promote Brand X. If someone clicks on the link then buys something on the site of Brand X within a certain window of time, the Affiliate gets a commission. This could be a flat rate or a percentage of the sale.
What I love so much about Affiliate Marketing is:
– It’s a personal channel where you convince real humans to take a chance on your brand and promote it. They might earn a commission if there’s a conversion, and they might not. This changes the dynamics of the channel too. You can’t just say: “Hey, do this for me! I’m paying you!” If you’re engaging with a new affiliate it’s because you think their audience would be interested in your client’s product or service – but it might not work and thus they might not get paid afterwards. It makes it more challenging but it also makes it more fun.
– Negotiation is not about crushing your partner and walking out as the winner, it’s about both being happy with a deal where you both give some and you take some. It’s based on what is fair. My Affiliate’s success is my success. I want them to be happy with what they earn, since that means I earn mine. Negotiation is a daily activity for an Affiliate Marketer.
– It’s a relatively cheap channel in comparison to Paid Search and Paid Social.
– I love that any kind of website/ business can become an affiliate. The lady that blogs about knitting and the massive retargeter with a huge display network. I love engaging with all types and exchange ideas about how their audience would be more likely to buy.
The above points come with a downside:
– Since it involves humans and the described dynamics, it’s a slow channel unlike Paid Search, for example.
– Since it involves humans, more errors are made. They might not do exactly as agreed or execute in the best way at all times.
It’s my job to keep trying new things, test campaigns and activities, optimise, test new affiliates and their audiences and keep the ones that convert happy and willing to do more.
If you’re looking to start an Affiliate Marketing Channel for your business, get in touch with me via firstname.lastname@example.org