If you’ve been in the eCommerce market for a while, you are probably familiar with the term “affiliate marketing”. However, many people are unsure of what it is or how it works.
In its simplest terms, affiliate marketing is a performance-based marketing model that rewards affiliate partners for driving the desired action. When a person purchases your recommended product, the store owners pay you a commission to increase their sales you refer to.
Nowadays, shopping on the Internet makes it convenient and time-saving for consumers. Obviously, this will be a potential business in the future. And if you have a link to promote your products over the Internet, you can easily reach a wide audience.
- What are affiliate programs?
- The benefit of using affiliate marketing
- How to increase sales by Magento 2 referral program?
- How to start affiliate marketing by Magento 2 affiliate?
- Some best Magento 2 affiliate extensions 2020
What are affiliate programs?
Affiliate marketing is the process that an affiliate earns a commission for marketing the products of another person or company.
In other words, affiliates simply search for a product they like, then they promote that product and earn a portion of their profits from each sale they make. Thereby, sales are tracked through affiliate links from one website to another.
Influencers will look for possible buyers through a variety of methods that include sources of paid and even free web traffic. Potential buyers will be directed to see the products being sold through the links on the affiliate’s blog or website and ultimately redirected to the company selling the merchandise.
For that effort, they’ll be rewarded with commissions from low single digits for products also available at retail locations, up to over 90% for digital products online available.
Advertising and affiliate marketing is a well-known tactic for increasing income and generating huge online revenue. They are extremely helpful for individual brands and affiliates, the new brand’s push toward traditional marketing and advertising processes is much less successful.
The benefit of using affiliate marketing
Affiliate marketing is a form of direct business that benefits all involved parties.
1. Benefits of affiliate marketing for the publisher:
- Increase income: If you own an interactive website, blog, or social media you can make money through affiliate marketing.
- You do not need to spend capital to import products, a shop to sell products or spend time packing and delivering products to customers but you still have a certain income.
- Everything is done online and it doesn’t take much of your time, the internet is enough.
- You do not need to waste time consulting, customer care …
- You have the right to choose products and services posted on your web/blog / social network.
2. Benefits of affiliate marketing for providers:
- There is no cost of hiring staff, even premises, shops
- Increase traffic and free interaction for your website thanks to customer-navigating advertisements. If you are doing an SEO website, then Affiliate marketing is also an effective solution to increase website rankings and keyword rankings.
- Save time to create content, designing banners. Just spend a fee to rent the service and enjoy the results.
- You can control the number of people to reach, a statistic, the number of people clicking on the product, and the number of customers buying.
How to start affiliate marketing by Magento 2 affiliate?
1. Identify products for sale
Have you ever thought about how to start an affiliate system?
Remember, you need to define the niche that you will be targeting. Besides, you need to find out if the market is interested in the product you sell. If most people aren’t interested in the product you intend to sell, your niche won’t make a lot of money.
The second secret is that the product you want to sell is something related to a hobby. What could be anything better than living with your passion? With an area you love, it’s easier to devote yourself to doing more.
Finally, is there any product that meets the above two criteria? And an important thing, the product must be on the affiliate market for you to sell. So, remember to research carefully before embarking on making money online with the affiliate! If you can’t find the programs, you won’t make a sale.
2. Decide on your platform.
Theoretically, you can make affiliate marketing on any platform, even Instagram works. However, it’s much easier to build an audience and increase your affiliate sales via one of two channels: a blog or YouTube channel.
Starting a blog today on a CMS platform is relatively easy and cheap. There are plenty of online tutorials out there to teach you how to get started. The best part is that it will probably cost you just a few dollars a month.
Once your website is upgraded, it’s time to optimize search engine results so that you have a better chance of ranking. Then, you are free to add affiliate links to your content.
Another platform is YouTube. Creating and uploading content to YouTube is free, which is ideal for many people. Remember to optimize your video for SEO and include the affiliate links in your description.
3. Choose a good affiliate program and sell your product.
The best and simplest way to find a good product is to find a great affiliate website (program). All manufacturers with good products are always looking for a good website to showcase their products
Big manufacturers don’t want their brands to be affected by untrustworthy websites which will deteriorate their branding. As a result, they stay away from poor websites.
The commission is also something you need to care about. This depends on your niche and level of expertise. If you’re targeting consumers, you’ll likely go with the second model of low commissions and higher sales volume.
If you’re going after a business audience, you’ll likely go for the first model: high-paying and low volume. The most popular programs here are for software and web hosting-related products.
4. Create great content
An important step in being an affiliate is to create valuable content and bring value to the reader. Content can be articles, YouTube videos, or banner ads. In addition, you need to match them to the product you are promoting.
Before a customer decides to buy a product, they want to read reviews of the product and you have to be ready for that. Finally, ask them to click on the Affiliate link to buy the product.
Moreover, customers also want to buy products at good prices. An article evaluating the selling features and benefits of a product which will easily convince customers to shop. Accordingly, customers will decide to choose the type of product they feel reasonable. Finally, they will click on your affiliate link to order.
The more great content you create, the more successful you will be. Not all content is visible to everyone. However, the more content you create, the higher the chances that customers will see it. It is important to make your content relevant to your affiliate product, and as a result, customers will be able to identify your product.
Each piece of content you create is like a seed that you plant on the ground. The more seeds you plant, the more those seeds will grow. Some pieces of content will sprout and grow into large trees. It will produce lasting, lasting results for you. On the other hand, you have to pay attention to their needs and don’t promote anything which will not benefit their life.
5. Build a Magento email list
If you want customers to be interested in your product, they need to understand who you are, what your product is… In fact, this isn’t an easy problem because you have many competitors as well as similar products. However, you often overlook the important fact that old customers are one of the important factors that help you quickly increase sales and easily find potential customers. Hence, an email list will allow you to get closer to your old customers.
Now, you can tell them how much value they are getting and keep them coming back to your site through the messages you want to convey. However, to build an email list, you need to convince readers to sign up on your website.
Another reason is that while Facebook, Youtube, … can change its algorithm and affect what you build, the relationship you build with an email client has always been strong. It is a source of long term customers if you take good care of it.
6. Give more value to customers
When you have a list of products that you are promoting. You will make a big commission from them, now you want to increase your conversions rate?
You can create more value for your customers by creating a physical product for free that has great value for which they normally pay a specified amount. This means that customers will have a better impression of your brand and quickly become your existing customers.
How to increase sales by Magento 2 referral program?
If you are an affiliate, you may have questions like “How can I maximize profits by promoting other people’s products and services?” Or “What can I do to make the audience loyal to me?”
1. Build customer confidence
According to a survey from Marketing Charts, up to 69% of customers in Canada, and 57% in the UK believe that trust is the decisive factor that makes them spend their money buying products.
Therefore, if you are an affiliate, never skip this important step. Instead of working passively and relying solely on the seller’s product or brand, you should build a friendly and reputable image of yourself. Simultaneously, you should prove to your readers that you are a smart buyer as well as in your readers’ interests.
2. Create good, honest, reliable, and useful “online reviews”
Until now, the best way to increase your affiliate marketing sales is to create some high-quality online reviews. Reviews, regardless of whether they are in written, video, or audio form, should focus on a product’s usefulness and benefits.
Your online reviews shouldn’t just talk about the features alone, but actually, address the kinds of problems using a product or service can help your customers overcome. To do these things, you can rely on the following suggestions:
- What benefits will my customers benefit from using this product or service?
- How can I prove to my audiences that this product or service that I’ve been using has helped me overcome a problem or reach my online goals?
3. Make a video comparison between your product and similar product
Buyers always prefer to compare similar products and services before making a shopping decision. Consequently, this is the perfect opportunity to help you stand out from your competitors and draw the attention from your customers.
However, it’s important to remember that you can’t cut down on another product and that should be an honest, genuine review. It cannot be skewed because everyone will find out about it.
4. Have your own bonuses
In fact, most people are attracted to reward programs. You can encourage people and that is probably why they choose your product over others. The main motive of having your bonus is offering more incentives to people who have bought your product than others.
For example, you can give personalized free gifts. It’s undeniable that everyone loves free things, however, not all free gifts are truly appreciated by recipients. Therefore, please give meaningful gifts to readers.
5. Build audiences
Finally, what you should care about is building your own audience. This is because the majority of affiliates are sending traffic directly to the seller’s website and thus passing them on without holding any. In simple terms, the traffic you are attracting is unknown to you and your business.
This can be a bit selfish because you are trading on someone else’s product, and what you need to focus on is the relationship between you and your consumers. As a result, if they don’t buy this particular affiliate product today, they might buy another one from you.
Moreover, you can also promote them on your website by webinars or subscriber lists.
Some best Magento 2 affiliate extensions 2020
1. Mageplaza Magento 2 Affiliate
As one of the best marketing solutions, Mageplaza’s Affiliate extension for Magento 2 stores provides many powerful functions that not only help increase the traffic but also drive sales. If you want to have a chance to earn a lot of money from your sales, this module will be a perfect choice for you. Why not choose and experience it today!
Mageplaza Affiliate highlight features:
- Support unlimited affiliate accounts
- Include intelligent referral links
- Enable setting the banners and links on the affiliate page
- Ability to manage the affiliate accounts easily
- Automatically send the email notifications
2. Amasty Magento 2 Affiliate Extension
Affiliate by Amasty is a highly flexible tool for Magento 2 store to launch and manage affiliate programs with unlimited features right from your admin panel.
With this extension, you can run full-scale affiliate programs on your website to effectively drive sales from alternative channels. For affiliates, it provides promo materials and detailed stats reports. Thereby, admins can easily manage affiliate accounts, regulate commissions, and track withdrawals.
- Launch affiliate programs based on cart price rules
- Set a specific commission type for each program
- Configure discounts and payout requirements
- Use a great variety of promo materials
- Manage affiliate accounts and transactions
- Mobile optimized frontend
Pricing: $199 (Community Edition) – $499 (Enterprise Edition)
It’s a better opinion to choose affiliate extension by Mage-World because their module supports many strong features that help bring an amazing customer experience. Moreover, it also enables admins to create multiple affiliate programs, which can be the ability to boost your sales significantly.
Mage-World Affiliate highlight features:
- Support multiple level marketing systems
- Ability to pay commissions
- Enable generating multiple programs
- Easily installation and configuration
4. Land Of Coder Affiliate Extension
Affiliate Extension by Land Of Coder allows you to pay affiliates for sales, clicks, leads, or new customer’s orders via referral links. You can set a separate amount of commission for affiliates by each target. Also, the tool provides report expenses for each banner and link so you and your affiliates can easily keep track.
- Multiple Affiliate Programs
- Set Commission, Discount & Payout Requirements.
- Set Condition & Requirements
- Manage Banner & Links
- Set Payout Requirements & Withdrawal Limits
- Manage Affiliate Account & Transactions
- Mass Payments via Paypal, Skrill
Price: From $149
In summary, affiliate marketing allows you to be your boss and truly decide your destiny. Success or not is 100% yours. We are all given the chance to succeed… so the question is, are you ready to succeed?