Today, more than 80% of brands run affiliate programs — and that number is expected to keep rising. Such a high number is due to the numerous benefits that this type of marketing offers brands. Running an affiliate program involves low cost and risk but high return and brand engagement. Moreover, consumers are turning to affiliates for product and service recommendations over big corporations, as they believe they are more authentic, trustworthy, and honest.
As eCommerce rises and marketing continues to thrive on digital platforms, there has never been a better time to run an affiliate program. Fortunately, Stripe acts as an optimal payment processor to help you run your program. The tech company lets companies manage many elements of their program online, from incorporation to invoicing to online ID verification. Using a dependable and wide-reaching financial processor as part of your program will ensure a trouble-free operation that will boost your company’s overall success.
So, what are the top benefits of setting up an affiliate program on Stripe?
1. Targeted Traffic
A common issue with traditional advertising methods is marketing to general audiences that may not be interested in a product or service. By partnering with affiliates, you can rest assured that the audience who they are presenting your product to are actually interested and are more likely to be potential customers. For instance, if your business involves fashion, you can work with a social media influencer in the fashion niche to promote your products to their loyal followers.
2. A Wider Reach
Moreover, affiliate marketing allows you to reach a wider audience, including access to a global market. You can work with internationally based, professional affiliates who can market your product or service to a foreign audience. This tactic can save you tremendously on international marketing costs and act as a dependable way to promote your business to new customers.
3. Deeper Trust
Customers trust affiliates because they see them as real people. They follow their life’s journey and develop personal connections with them. When an affiliate talks about a product or service and gives an honest review, consumers see that product or service as credible. Customers crave authenticity in a world where traditional ads seem distant and disingenuous. This is especially true of Millennials, with 84% not trusting traditional ads. Therefore, if your brand’s products are reviewed by an affiliate, customers will trust your brand to be an authoritative and “real” figure in your industry.
4. Increased Brand Awareness
Brand awareness refers to a customer’s familiarity with a brand, and it’s an incredibly important component of success for businesses today. In fact, customers are much more likely to purchase from a brand they recognize than from one they don’t. Working with multiple affiliates allows you to expose your brand to audiences who may have been previously familiar with it.
5. Performance-Based Pay
Affiliate marketing uses a performance-based pay scale, as you only pay affiliates when they make a sale. All costs are known upfront, and you don’t have to continuously track price changes over time. Stripe is especially useful when it comes to this performance-based pay model, as it allows you to manage and set up regular payouts, enjoy flexible invoices, and optimize your revenue by viewing continuous financial reporting.
Having several stable revenue streams ensures that your business isn’t dependent on just one area of marketing for financial success. The various types of affiliate advertising out there allow you to have a continuous stream of new revenue channels. For example, you can use affiliates on social media, email, or guest blog reviews. Even better, there is an enormous pool of potential partners to work with as this type of marketing becomes more appealing to businesses and individuals alike as a source of income.
Affiliate marketing allows you to work on semi-auto pilot as relatively low management is required. Working with the right affiliate marketing software enables you to track your partners’ performances without constantly needing to work on developing new ideas and integrating new features. This gives you the time and energy to focus on other business matters.
8. Long-Term Partnerships
Having to seek out new partners for advertising campaigns constantly is another huge issue when it comes to traditional marketing. By running a smooth and steady affiliate program, you will have the opportunity to develop long-term and strong partnerships with your affiliates. Affiliates will trust your brand and work to provide the best content for you. This will save you time, money, and resources in the long run and lead to even more credibility for your brand.
9. Interesting, Unique Content
Professional affiliates are masters in their fields, knowing precisely what piques the interests of their followers. They can come up with unique content on their platforms, whether it’s through pictures, videos, written posts, live streams, or webinars. You can give them greater creative control, as their experiences have taught them what works and what doesn’t.
10. High ROI
Lastly, your business deserves a high return on investment (ROI), and affiliate marketing can get you there. Sixteen percent of eCommerce sales in total in North America derive from this type of marketing. As affiliate spending continues to rise, it’s clear that this investment is a surefire way to keep up with online business profits.