Why Should You Care About Affiliate Marketing?


Marketing techniques come in all shapes and sizes, designed to target and approach a variety of different business priorities. Affiliate marketing is one technique that Forbes has recently described as “not dead.” Affiliate marketing is a massive part of online marketing and holds a great impact on businesses who have integrated digital marketing into business strategies. According to Forbes, affiliate marketing makes up 15% of digital marketing efforts.

“Affiliate marketing is one of the most effective methods for significantly increasing the size of an online business and has proved to be a cost-efficient, measurable method of delivering long-term results.” More Visibility reports.

So, what is Affiliate marketing?

“Essentially affiliate marketing involves a merchant paying a commission to other online entities, known as affiliates, for referring new business to the merchant’s website. Affiliate marketing is performance-based, which means affiliates only get paid when their promotional efforts actually result in a transaction.” Acceleration Partners reports. 

In simplest terms, affiliate marketing is a type of marketing that is performance-based, that rewards visitors who affiliate marketing efforts. It can be broken down by understanding the merchant and affiliates relationship. To break down what performance-based marketing is, we turned to The Performance Based Marketing Association for a comprehensive definition:

“Performance Marketing is a comprehensive term that refers to online marketing and advertising programs in which advertisers (a.k.a., “retailers” or “merchants”) and marketing companies (a.k.a, “affiliates” or “publishers”) are paid when a specific action is completed; such as a sale, lead or click.”

The Merchant & Affiliate

A merchant is anyone who takes place in operations that will ultimately result in profit, sales, cash flow or revenue. The merchant uses different techniques in order to gain development growth.

A merchant works with an affiliate during the affiliate marketing process when the affiliate agrees to promote a product or service on their website by using a link that directs the consumer to the merchant’s website. The two parties are in partnership together, where the merchant will usually pay the affiliate, depending on when they receive customer clicks to their product, and a purchase occurs.

The merchant usually decides the commission that the affiliate will receive.

Affiliate Marketing Is Growing…

According to Forbes, this type of marketing is only expanding. But, why? Well, for starters, since online platforms are expanding, it gives affiliate marketing more room to grow. As technology expands, more techniques are arising that involves affiliate marketing and how payment methods are carried out.

Since the internet is expanding, it gives affiliate marketers a chance to really expand their vision. According to Forbes, the internet has reached an unlimited amount of potential when it comes to reaching a global and wider audience.

“The internet had a limited reach once, but today around 72% of the U.S. population has access to the internet, and around 96% of all internet users in the U.S. have made some kind of an online purchase,” Forbes reports.

The rise of e-commerce has put affiliate marketing at the forefront of all marketing efforts. Since consumers are on the internet and online shopping more than ever, marketers can use affiliate marketing to reach an audience effectively, in order to increase revenue and create purchasing patterns in the minds of their audience.

So, why should you care? Well, the internet is only going to keep expanding. Affiliate marketing is just one example of how marketing strategies and techniques are moving toward being digitally focused, creating new jobs and roles in the industry. It is important for professionals to reach the shifting audience, that is centered around digital components, such as the internet. Putting your marketing efforts to reach an online audience will only help your business grow and expand.

Since almost anything can be sold through affiliate marketing, companies can use analytics to successfully carry out affiliate marketing that ultimately improves SEO ratings, ROI, and allows enterprises to use tracking technology to measure what works, and what doesn’t.


On February 15-16, 2018 at The Park Hyatt Aviara in San Diego, CA,  the Digital Marketing Transformation Assembly will bring together North America’s most prominent digital marketing technology and business leaders from all major consumer-driven industries to discuss the latest technology, innovations, and strategies driving digital marketing in 2017 and beyond.

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