Affiliate Marketing for E-commerce – Learn Why You Should Use It!

Marketing de Afiliados para E-Commerce

Let’s start at the beginning: what is affiliate marketing for e-commerce?

Affiliate marketing for e-commerce is a digital marketing strategy in which advertisers (e-commerce companies) pay commissions to affiliates (or partners) for each sale or conversion they generate.

 

Large companies such as Amazon and Ebay successfully use this type of marketing strategy to increase their sales and awareness.

 

 

 

 

 

Affiliates promote advertisers’ products or services on their own marketing channels, such as blogs, websites, social networks or email marketing.

 

These affiliates earn a commission (usually up to 10%, but in some cases commissions can be higher) when a user clicks on an affiliate link and performs a specific action, such as making a purchase, registering for a newsletter or signing up for a service.

 

This strategy is beneficial for advertisers, because they only pay for the results obtained by affiliates i.e. a CPA (Cost Per Action) model.

 

In addition, affiliates can help increase brand exposure and generate indirect sales, without advertisers having to invest directly in advertising or traditional marketing.

 

There are 2 ways of working with affiliate marketing:

Option 1: Through affiliate management software, managed internally by the advertiser’s own team.

Option 2: Through an affiliate platform, which manages the relationship between advertisers and affiliates, tracks sales and manages commission payments.

Both options are used by companies of all sizes, but with option 1 teams need to manage every aspect of an affiliate programme, which can be a challenging task.

 

They need to monitor the performance of each affiliate, generate accurate reports and ensure that commissions are paid correctly. To make this task easier, there are several affiliate management tools available on the market.

 

We’re going to focus on the features to consider when choosing affiliate marketing management software for e-commerce and at the end, you’ll be able to answer the questions:

How do you choose the best affiliate management software for your online shop?

What are the main features to look for in an affiliate management tool for e-commerce?

 

 

Accurate sales tracking

The first feature you should look for in an affiliate management tool is the ability to accurately track sales through easy-to-read reports that can be customised to the specific needs of your business.

 

This includes reports not only on the number of sales, but also on the origin of each sale, i.e. which affiliate was responsible for each sale. Being able to analyse which campaign generated the sale is also an asset in deciding what works for you!

 

 

Detailed reports

In addition to tracking sales, it’s important that the affiliate management tool offers detailed reports on each affiliate’s performance. These reports should include information such as the number of clicks, the number of sales, the conversion rate and the amount of commissions generated.

 

 

Payment of commissions

Another essential feature is the ability to manage commission payments. The tool should allow you to define the rules for paying commissions and make the payments automatically, according to the rules defined.

 

 

Integration with other tools

To make managing the affiliate programme even easier, it is important that the tool you choose is able to integrate with other tools used by your company, such as e-commerce platforms, marketing automation tools and data analysis tools.

 

 

Customer support

Finally, it’s important to consider the customer support offered by the affiliate management tool. It’s important to choose a tool that offers efficient and fast technical support to resolve any problems or queries that may arise when using the tool.

 

With these features in mind, you can choose the best affiliate management tool for your company and scale your marketing and sales efforts!

 

Want to work out an affiliate marketing strategy for your company? Talk to one of our experts!

Autor

  • Rui MartinsPartner

    Rui Martins is a skilled professional with over 20 years of experience aligning Sales and Marketing, specialising in Digital Strategy and Distribution for B2B and B2C sectors, particularly in Hospitality and Tourism.
    At the Pestana Group, Rui’s experience included managing global online accounts and online distribution for the Group's European and American hotels. As Partner & Co-Founder of SmartLinks.pt, he has established the agency as a digital leader in Portugal. Naturally curious, he stays up-to-date with the latest trends and tools on the market. This enables him to analyse any business within minutes and quickly suggest the most suitable marketing strategy.
    Connect with Rui Martins on LinkedIn.

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