Affiliate marketing can be a great option for startups. Startup companies are often sceptical about starting an affiliate program for their company.
Thousands of companies and individual business owners have leveraged the power of affiliate marketing and created super profitable affiliate marketing websites and programs.
Affiliate marketing has very few if any, drawbacks. We’ll get to that later.
First, let’s cover some of the advantages of affiliate marketing for startups:
You only pay when you get results – Unlike other advertising methods such as PPC and native advertising, affiliate marketing is by far the most cost-effective because you only have to pay the affiliate when they drive a sale for you. If your affiliates don’t generate sales for you, they won’t get paid by you. Imagine getting your money back from Facebook Ads because your ads didn’t convert like they should?! I don’t see that happening anytime soon.
You don’t need to invest time on advertising – With affiliate marketing, all the affiliates do the work for you. You don’t need to be constantly monitoring ad campaigns so you’ll have time to focus on other, more important things in your business. Running an affiliate program for your startup doesn’t require you to be any sort of marketing expert either. You can just sign up to an affiliate network and let them handle things like tracking and affiliate payments.
More traffic and better SEO – lots of affiliates will generate plenty of backlinks for your website, helping you rank higher in the search engines.
Find super affiliates and you’ll be laughing – You don’t need to have hundreds of affiliates promoting your products and services. In general, most businesses only have a small handful of affiliates that generate almost half of the revenue from the entire affiliate program. Most affiliates don’t get the right level of affiliate marketing training and as a result of this, aren’t able to successfully promote products and services.
Affiliate networks are the easiest way to get started with an affiliate program as you don’t need to create software or setup tracking systems yourself. The affiliate networks operate as the middleman between you the affiliate marketers and yourself.
Your best bet is to stick with a well-known provider to help you get your foot through the door. This will help you get a few good affiliates that will start bringing in revenue for your company.
If you’re planning to run your own affiliate program without getting involved with affiliate networks. It’s definitely worth taking the time to train up one of your employees on the tasks involved with this. This will reduce any potential issues that come up further down the line.