30 Nov עופר איתן Said: How Affiliate Marketing Can Help Increase Conversion Rates
Have you considered affiliate marketing? By fusing a few tried-and-true sales strategies with modern marketing game-changers, affiliate marketing helps companies grow conversion rates exponentially. Today, we’re diving into the specifics of how you can use this strategy to boost your conversion rates in a smart, cost-effective manner. If you’re new to this realm of promotion, let us give you a quick rundown.
Affiliate marketing is defined as the process of having an affiliate, such as a blogger, a social media influencer, or a publisher, promote a merchant in exchange for a commission. Typically, the affiliate is paid based on a specific action that has been completed by the consumer, such as a click or a subscribe. In short, affiliate marketing is a modern-day referral program that uses contemporary platforms as a funnel for one of the most proven marketing tactics ever — word-of-mouth advertising.
How It Helps Increase Conversation Rates
Here’s why affiliate marketing works: It connects your product or service with its intended consumers through a channel they trust. And, surprisingly, word-of-mouth marketing is still one of the most valued marketing channels there is, with businesses reporting it as the stream with the greatest impact on revenue. According to one study, it beats out content marketing, e-mail marketing, search engine optimization (SEO), trade show marketing, paid search, and outbound calling, in terms of impacting revenue.
Naturally, in the case of affiliate marketing, one of the biggest reasons why revenue grows is because of a spike in conversion rates. When your affiliate’s posts turn its browsers into your customers — say, by directing to them to your website, where they then make a purchase, sign up for a mailing list, or perform some other desired action — you can count that toward a boost in your conversion rates. Read on for some specifics as to how, exactly, this works.
1. How It Boosts Conversions: By Hyper-Targeting Your Core Audience
Affiliate marketing allows you to not only control what message is sent about your brand, but also who sends it and to whom. You can, and should, work with partners who are closely aligned with your target audience. That is part of the reason why this type of marketing works so well — because it lets you deliver a clear, powerful message to your consumer from someone they trust. In general, this is a much more effective strategy for boosting conversions.
In modern marketing, success is achieved by appealing to a very specific group of people. With traditional advertising, brands were forced to cast a wide net over a range of demographics, hoping their message, such as a print or TV ad, would reach the right consumer. Today, marketers are able to focus on a very specific demographic, down to age, gender, location, education, and even brand preference.
Tips for Hyper-Targeting Your Core Audience
- Know your target consumer before you start. You know that you’ll have more success with a more targeted campaign, so funnel some of your marketing dollars into developing a target consumer persona.
- Figure out where they spend their time online. Once you know who your most valuable target consumer is, you’ll be able to zero-in on where he or she hangs out. For example, consider that different age groups use social media differently — 72 percent of 13- to 17-year-olds use Instagram, while only 32 percent of the same age group uses Twitter. Select affiliates based on where they have the biggest impact and be sure it aligns with your goals.
- Use the right tools and make changes if needed. Consider investing in an affiliate marketing software like Refersion so you can manage and track the success of each affiliate and make swift adjustments if needed.
- Dig deep to find your consumer’s core values.Today’s buyer cares about patronizing the brands and services that align with his or her core values. Try to find out what your consumer cares about and select affiliates accordingly.
2. How It Boosts Conversions: By Leveraging
Someone Your Consumer Trusts
We already mentioned that affiliate marketing serves as a sort of contemporary approach to word-of-mouth, referral marketing. And it’s true. Bloggers and social media influencers are particularly effective at grabbing conversions from their dedicated fans and followers, and studies show that they’re even more successful when affiliates put an emphasis on honesty and trust.
Are there numbers to back this up? Indeed, according to one report, 81 percent of consumers have made a purchase after clicking on a link or an image an influencer shared. The same survey indicated that trust is heightened when influencers disclose their relationship with the brand or merchant they’re promoting — 66 percent say they trust product recommendations as long as the affiliate-advertiser relationship is clear.
Tips for Finding Affiliates Your Consumer Trusts
- Look for affiliates who engage with their audience.For example, those publishers who enable commenting and actively respond to users are more likely to be seen as trusted friends to your core audience.
- Only partner with affiliates who are proven trustworthy. Scour their website and social media platforms and make sure they follow disclosure laws, letting their audience know each time they promote a product.
- Make sure your affiliates like your product. We know you’re sick of hearing it, but authenticity really does matter, and consumers can see through it when an influencer is just promoting something for the paycheck. Give your affiliates a chance to try, and approve of, your product.
- Build strong relationships with your affiliates. As we’ve covered before, maintaining positive affiliate relationships is important because it makes the referral more authentic and natural — two things consumers desire when deciding where to spend their time and money online.
3. How It Boosts…