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This Is What’s Driving the Next Wave of Growth in Affiliate Marketing

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This Is What's Driving the Next Wave of Growth in Affiliate Marketing

Opinions expressed by Entrepreneur contributors are their own.

The affiliate industry today is growing rapidly, but it’s not simply from the overall increase in consumers shifting their buying habits to ecommerce. Affiliate marketing has long been a staple in most online retailers’ marketing mix, and it’s estimated that affiliate marketing currently accounts for 16% of all online purchases in the U.S. and Canada. Every year, it grows about another 10% according to Statista, and is expected to reach $8.2 billion in 2022.

Now, loyalty and cashback rewards programs built upon the existing “infrastructure” of the affiliate industry are spurring new growth in the affiliate channel. 

How affiliate marketing laid the foundation for cashback and loyalty rewards 

In the affiliate-marketing advertising model, online retailers pay fees in the form of commissions, most often as a percentage of sales, for referrals from “publisher” web sites. This is also commonly known as revenue sharing, or “rev share.” 

Publishers come in many shapes and sizes, including content sites on a specific topic, deal-finder sites, blogs in niche verticals, social-media influencers and more. These publishers promote links to retailer sites in their content in the hopes of driving their audience to those retailers and earning sales commissions from the traffic they drive.

Related: One Way to Start a Lucrative Career From Home That Could Pay $50,000 in a Day

Affiliate-marketing networks such as CJ, Impact, ShareASale and others provide retailers with technology platforms that track referrals from publishers in order to attribute the purchases that result from those referrals to the appropriate publisher and convey rev-share payments from merchants to publishers. 

In effect, affiliate networks serve as marketplaces connecting publishers with online retailers, enabling them to create marketing relationships with each other. Publishers join the network so they can access online retailers that are willing to pay them for sales driven by their audience. Online retailers join the network so they can cost-effectively acquire customers and drive incremental sales. 

How cashback and loyalty programs run on affiliate networks

The existing affiliate-network tracking platforms provide incredibly efficient infrastructure to power rewards and loyalty programs. Rewards platform and solutions providers are now publishers that participate in affiliate programs with rev-share commissions paid on sales by online retailers. But, unlike traditional affiliate publishers that keep the commissions, rewards and loyalty programs offer part or all of the commissions earned back to consumers (e.g. their audience) in the form of shopping rewards, such as cash back. 

These types of cashback rewards programs, powered by the existing affiliate infrastructure, have exploded in popularity in the last few years. Examples of these programs include PayPal’s Honey, Capital One Shopping, Microsoft Rewards, and Acorns Earn, among others. 

Related: 3 Secret Reasons Why Your Brand Needs a Rewards Program

Why should brands consider adding cashback and rewards programs to their affiliate-marketing channel?

Affiliate-powered coupon and rewards programs benefit rewards providers and consumers in two ways: 

  • Rewards program providers see stronger brand loyalty, better customer retention, lower cost of user acquisition and increased revenue.

Online retailers also benefit directly in several ways.

Increasing conversion rate and reducing shopping cart abandonment

Activating cashback rewards during an online purchase increases the likelihood of the customer completing that purchase. When a shopper activates a cashback incentive at the start of a shopping journey, it acts as a magnet, drawing the customer from the first click to a converted sale. 

Globally, the average ecommerce conversion rate is 3.29% (the percent of ecommerce website visitors that complete a purchase). However, according to data from Wildfire Systems, when consumers activate cashback rewards during their online shopping trip, over 15% of them complete the transaction — that’s a 6-10 times increase. 

Boosting average order value

The typical order value for retailers in the Wildfire merchant network was historically in the $60 to $70 range when consumers made purchases after visiting the retailers’ site via social-media platforms such as Pinterest and Facebook. But, in Wildfire’s experience, average order value climbs to $130 when customers activate cashback during an online shopping experience. The psychology of “getting a bargain” is at play here.

According to data from CJ, a leading affiliate network, publishers in the loyalty and rewards vertical drive substantially larger transaction size, with 25% higher average order value compared to other publishers in the CJ network based upon the past two years of data.

Related: Here Are the Most Valuable Hotel Rewards Programs in 2022

Improving return on ad spend (ROAS) by shifting budgets 

The price of cost-per-click (CPC) and cost-per-1000-impressions (CPM) advertising continues to rise. In fact, pricing in these channels is at an all-time high, according to Tinuiti, a performance marketing agency, and it is becoming increasingly difficult to target social and digital advertising given the evolving legislation relating to privacy and third-party cookies. Furthermore, advertisers’ trust in CPC advertising continues to erode due to the prevalence of click-fraud and bots. The cybersecurity firm CHEQ estimates that bots and fake users now make up a whopping 40% of all online traffic, which is directly detrimental to ROAS for CPC- and CPM-based advertising.

This combination of factors is pushing online retailers to shift budget towards the affiliate channel due to its performance-based model of paying publishers a percentage of the actual ecommerce sale generated. By shifting spend further into the purchase funnel, affiliate marketing presents one of the highest ROAS and lowest risk components of advertisers’ marketing mix. In fact, CJ also noted that in 2021, loyalty and rewards affiliate publishers in its network earned a 34% higher ROAS than other publishers.

Rewards programs have entered the mainstream, and consumers are not just growing accustomed to these benefits, they’re increasingly expecting them. This is a win-win-win for everyone in the ecosystem: Consumers benefit from rewards and discounts, retailers benefit from higher sales conversion and lower ROAS, and the services that offer rewards programs benefit from retention, user acquisition and new revenue streams. You can expect to see a proliferation of rewards and loyalty programs in the form of online-shopping companions as these programs graduate from being differentiators to becoming table stakes.


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Comarketing hjälper dessa SBO:er att nå nya målgrupper samtidigt som de sparar pengar

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Comarketing hjälper dessa SBO:er att nå nya målgrupper samtidigt som de sparar pengar

  • Four small business owners say “comarketing” has helped them grow new audiences and boost sales. 
  • Comarketing — where multiple companies market their products together — is a low-cost strategy that can be even more effective than traditional marketing.
  • For both companies to benefit equally, the campaign should be authentic and not appear too promotional.
  • This article is part of “Marketing for Small Business,” a series exploring the basics of marketing strategy for SBOs to earn new customers and grow their business.

When Talia Boone launched her fresh-flower delivery service, Postal Petals, in 2020, she didn’t have a marketing budget. So to spread the word about her company, she partnered with other small businesses to “comarket.” 

“Just the nature of being small, we have to be creative about the ways we introduce our products and services to new audiences,” Boone told Insider. By comarketing, she’s also able to support other small businesses. “We start to grow natively by collaborating and working together.”

Comarketing refers to two or more businesses “collaborating on a joint promotional campaign,” according to the US Chamber of Commerce. This might include cobranded content marketing campaigns, collaborative social media posts, event or content sponsorships, or affiliate marknadsföring.

Boone, who’s based in Los Angeles, works with “up-and-coming small minority- and women-centered businesses” on cobranded events and social media giveaways, such as a recent wellness workshop with the nursery The Plant Chica and the Black Women’s Yoga Collective

“It’s thinking about ways that we can collaborate with other small business owners who have similar offerings and figuring out ways to package our services or products to amplify our collective and respective messages,” she said, adding that comarketing had helped her increase her social media following and engagement.

Comarketing offers many benefits to small businesses 

Comarketing can help small businesses save money, stretch their marketing budgets, build a stronger brand identity, and grow customer awareness. 

“We’ve found it to be valuable to us, to our retailers, and to our customers,” Charles Negaro Jr., the CEO of Chabaso Bakery, a wholesale bakery in New Haven, Connecticut, told Insider. “It’s a smart use of our time, and it works with our budget.”

Chabaso has partnered with cheese companies and olive-oil brands on in-store displays and Instagram recipe campaigns.

Employees contribute to the comarketing campaign with recipe development and social media posts. Then the company hires a photographer, Negaro said. “Our marketing dollars are human-labor dollars, so we try to find creative ways to collaborate with people,” he said.

Emily Merrell

Emily Merrell, founder of Six Degrees Society

Emily Merrell



Comarketing also enables businesses to help each other. Emily Merrell, the founder of the networking company Six Degrees Society, and Lexie Smith, the founder of the public-relations agency ThePRBar, met at a conference in 2020 and decided to collaborate on training programs for coaching businesses, which they cross-promoted on their own social media channels. 

This eventually led the pair to start a company, Ready Set Coach, focused on coaching people with coaching businesses. Now the three organizations market collaboratively by amplifying one another’s messaging and hosting social media events. 

Comarketing is “one of the most important things that small businesses should be doing,” Merrell said, adding: “You grow so much faster. Rising tides raise all ships.” 

4 ways to make comarketing work for your small business

1. Set goals for your comarketing effort

Successful comarketing depends on businesses knowing what they want to get out of the partnership, Boone said. For instance, businesses might center their efforts on increasing social media followers, driving sales, or reaching new customers. 

“It’s important to be really thoughtful, intentional, in identifying what our ROI is, and then essentially crafting the campaign around that so that we’re able to realize those goals,” she said, referring to a return on investment. “It’s effective from a financial standpoint.” 

From hosting cobranded giveaways, Postal Petals has increased newsletter sign-ups and gained customers. Besides the time and effort it takes to create campaigns, Boone said, the only costs she incurs are the items she gives away.

2. Connect with like-minded small businesses

Alignment is crucial when choosing other small businesses to partner with, Smith said. Businesses should comarket when they have similar audiences, coordinating products, or comparable missions. 

Lexie Smith

Lexie Smith, founder of ThePRBar

Lexie Smith



Since their audiences overlap, Smith said working with Merrell has helped them expand their “top funnel.” 

“There are now three entry points and three different categories that can funnel people into our brands,” she said, referring to their individual businesses and Ready Set Coach, the one they started together. 

Small businesses should start with their existing networks and ask for recommendations, Boone said. She’s also reached out directly to brands that she wants to work with and had companies reach out to her with partnership proposals. 

“You’re really coming to them and saying, ‘Hey, how can we explore opportunities to support each other?'” she said. Postal Petals often themes their social media collaborations and has worked with skincare and candle companies for self-care giveaways, for instance. 

Boone declines comarketing requests from other small businesses when they don’t make sense, like when a company’s products or mission don’t align with hers. 

3. Make sure everyone is on board with the campaign

Small businesses should work together on creating comarketing campaigns. Smith said it’s a good idea to put responsibilities, duties, and deliverables in writing “so there are clear expectations.” 

When working with other businesses on marknadsföring i sociala medier, Boone said everyone agrees on a timeframe. They contribute photos and product information, and then create posts that align the companies’ assets and messaging. 

“We typically work together to build it out,” she said. Then, the organizations approve posts before they go live. Each company posts the content on its channels. 

Chabaso handles many aspects of comarketing in-house. Negaro said his company comes up with recipes using other brands’ items, photographs them, and creates recipe cards with QR codes to place on supermarket shelves. The recipes and photos are also posted on social media. 

4. Create campaigns that resonate with audiences 

Smith said small businesses should focus on being authentic, offering value to audiences, and not appearing too promotional in comarketing campaigns. 

She and Merrell do this by sharing similar topics across their brands’ social media channels, but slightly tweaking the messaging to appeal to each audience. 

“We’ve just learned to be flexible,” Boone said. “It can’t be all the things that work best for us. It has to be what’s best for all the brands involved.” 

Successful comarketing sometimes takes experimentation and trial and error. Still, Boone said it’s an effective way for small businesses to expand their marketing reach, even when they don’t have a big budget.  

“Most small businesses just can’t afford traditional marketing,” she said. “So, we have to be very creative about growing our audiences and our networks. Collaborating with other brands is a really efficient and effective way to do it.” 



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Mindshare Promotes Marange To Lead Its LA Office 03/22/2023

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Mindshare Promotes Marange To Lead Its LA Office 03/22/2023

GroupM media agency Mindshare has promoted Patricia
Marange to Executive Director, LA Office Lead and Head of Affiliate marknadsföring.  

Marange succeeds Daniele Kohen, who left Mindshare to become Head of International Media at Universal
Pictures. 

The agency’s LA office serves clients including Qualcomm, Dollar Shave Club, convenience store chain ampm, and …



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Little Dipper Dab Pen recension | GreenState

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The Little Dipper dab-penna med lite cannabisvax

Hearst Newspapers participates in various affiliate marketing programs, which means we may earn a commission when you purchase products featured here.

If you are looking for a very small and simple dab pen to vaporize your favorite extracts, you’ve come to the right place.

Dip Devices Little Dipper Dab Straw Vaporizer

In this review, we want to take a closer look at the Little Dipper Dab Pen. This is a relatively new product to hit the market, but it has already become very popular in a short amount of time.

In our Little Dipper Dab Pen review so you can see exactly what is in store for you if you purchase this product. As far as we can tell, it is a perfectly fine dab pen for concentrates that comes in at a reasonable price. Let’s take a closer look at it so you can make a decision for yourself. 

What is a Little Dipper Dab Pen?

The Little Dipper Dab Pen is really just a portable vaporizer for concentrates that is refillable. It comes complete with a chamber so you can insert your own concentrates. It’s a very simple and affordable unit, but also very effective and efficient. It produces very clean and tasty vapor that will hit you right from the first puff.

How to Use the Little Dipper Dab Pen?

What’s so cool about the Little Dipper Dab Pen is that it is extremely easy to use. All you have to do is open up the end of it and insert your concentrate. Then, with the unit turned on, simply press the activation button and take a drag. That’s it, there’s nothing else to it. As you can see, it is exceedingly simple to use.

Little Dipper Dab Straw Review

Now that you know the basics about the Little Dipper Dab Straw, let’s take a closer look at it to figure out exactly what you’re in for.

About the Brand

Little Dipper is the manufacturer behind one of the best-selling dab pens in the market. They make top-quality products, and the dab pen mentioned in this review is just one of those. However, one of the biggest things we really love about this brand is its philanthropic work. 1% of all their sales go to charity organizations depending on the color you buy.

If you buy a black dab pen, money goes to racial justice through NAACP. If you’re buying the blue variant, the 1% goes to Marine Conservation through Oceana. Finally, if you purchase the yellow model, money will go towards bee preservation via Operation Honey Bee.

Design

Something that everybody is going to love about this small Little Dipper Dab Pen is that it has an exceedingly simple design. It just looks like a thick straw.

It’s just a few inches long and weighs just a couple of ounces, so easily fits in your pocket. It’s so lightweight you won’t even know you have it on you. It’s so small and lightweight that it’s comfortable to hold, easy to transport, and more.

Features and Benefits

Surprisingly enough, this little dab straw has quite a few features and benefits, so let’s take a quick look.

  •       This is a direct draw dab pen, which means that you just have to push the button to heat the coil and take a drag.
  •       This unit comes complete with a quick heating coil. This means that as soon as you press the activation button, it’s more or less hot enough to vaporize right away.
  •       The fact that it is so small, compact, and lightweight is a big bonus as well. It’s just easy to hold and quite portable too.
  •       We like that this Little Dipper Dab Pen comes complete with three different power settings. You can choose really thick or thin vapor.
  •       The Little Dipper Dab Pen also comes complete with a 600 mAh battery, which is pretty decent. It should last for around a couple hundred draws before it needs to be recharged, via the micro USB recharging port.

Check out this tutorial video for a quick overview of the Little Dipper!

Ease of Use

The Little Dipper Dab Pen could not be any easier to use. Just load your concentrate into one end, turn it on, press the power button, put the mouthpiece to your mouth, and take a drag. There is nothing to it other than that.

Temperature Settings

Although this unit does not have precise temperature settings, there are three power settings to choose from. This means you can choose really thick, luscious, and hot vapor or cool and relaxing vapor that isn’t too harsh on your throat.

Materials

The Little Dipper Dab Pen is made of perfectly fine materials especially considering the low price. It is made of a combination of high-quality plastic, glass, stainless steel, rubber, and other similar materials. For the low price it comes in at, it is more than durable enough.

Colors

Many people also like that there is a choice of black, blue, and yellow. And, as we mentioned above, you’re going to be donating to a different charity based on the color you purchase.

Vapor Quality

Considering the price, we think that the vapor quality is quite high. It comes complete with three power settings, a quick heating coil, and so-called patented airflow technology.

For such a small unit, it does produce rather impressive vapor. It might not be the number one highest-quality vapor in the world, particularly because there isn’t any precise temperature control, but you get what you pay for. And, you’re definitely getting more than your money’s worth here..

Pros and Cons

Let’s take a quick look at the advantages and disadvantages that come with the Little Dipper Dab Pen.

Pros

  •       Compact and portable
  •       Durable
  •       Easy to set
  •       Användarvänlig
  •       Snabb uppvärmning
  •       Påfyllningsbar
  •       Prisvärd
  •       Ergonomisk design
  •       Bra batteritid

Cons

  •       Ingen exakt temperaturkontroll
  •       Laddkabel ingår ej

Hur man rengör Little Dipper Dab Pen

Att rengöra Little Dipper Dab Pen är mycket enkelt. Placera helt enkelt återvinningskamrarna, munstycket och ångspetsen i en liten kopp och täck dem med isopropylalkohol. Låt dem dra i 30 minuter och torka sedan av dem. Du kan också använda en alkoholindränkt bomullspinne för att rensa upp ångspetsens anslutningspunkt och luftvägarna.

Wax Pen vs Dab Pen

Tekniskt sett använder vape-pennor flytande patroner eller cannabisoljor, medan vaxpennor använder koncentrat eller vax. Men termerna används ofta omväxlande.

Little Dipper Dab Straw Vaporizer övergripande intryck

I slutet av dagen tycker vi att Little Dipper Dab Straw är en perfekt modell att överväga. Den är liten, kompakt, lätt och ergonomisk, plus superanvändarvänlig och funktionell också. Även om det har vissa nackdelar, för det extremt låga priset som det kommer in på, ser vi absolut inget fel med det.

Hearst Newspapers medverkar i olika affiliate marknadsföring program, vilket innebär att vi kan tjäna en provision när du köper produkter som visas här. Våra professionella kuratorer undersöker och rekommenderar oberoende produkter och tjänster, utan pressrumsinblandning. Säljare kan betala för en sponsrad annons och kan välja att skriva om sin sammanfattning. När det händer märker vi annonsen som "sponsrad" och markerar den i grått för att skilja det innehåll som tillhandahålls av säljaren från vad vi skriver.



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