Discover the answer to the 10 most common questions about affiliate marketing management
1. Is affiliate marketing right for my business?
Affiliate marketing is one of the most powerful and effective means of gaining new customers, regardless of your product or service. Affiliate marketing exposes your business to new customers and can get you out of your marketing routine. Plus, when you start an affiliate marketing campaign, you’re in control. You determine the commission rate you pay and pay only when your affiliates make a sale. It is a lossless trade for you because you only pay when a sale is made.
2. What are the initial costs?
When you start an affiliate program, you have the option of managing the operations yourself or having them run by an affiliate network. The costs for either option are reasonable and generally start around a few hundred dollars. Also, as a business owner, don’t forget that many of your costs may be tax deductible. To start an affiliate marketing program in the company, the costs will include:
Affiliate management software
Affiliate marketing support including a website that answers questions from affiliates and a means for them to contact you if there is a problem.
Affiliate marketing materials, including banner advertisements, copies, coupons, and promotional content.
An affiliate marketing contract agreement
Tracking software to track cookies, clicks, payments, etc.
If you choose to hire an affiliate network to run your program, they usually charge a flat fee or a percentage of what you pay each month.
3. How long will it take from my workday / workweek?
Most experts agree that it will take you about an hour and a half each day to manage your affiliate program. They also recommend that you allot more time during the first few months of your program, about two to three hours a day. Even the most efficient affiliate managers spend approximately 45 minutes a day managing their affiliate program.
Professional affiliate managers generally spend an average of 40 to 80 hours per month managing, tracking, and promoting their affiliate program.
4. Should I use an affiliate network?
Do you have an extra 3 hours a day for the next two to three months? Do you have an hour a day to devote to managing your program after the initial three-month program is over? An affiliate network, while it may be a bit more expensive at first, can help you focus your time on other profit-making tasks. Additionally, an affiliate network can help expose your affiliate program to a wide variety of experienced affiliates, which means more money on your results and more exposure overall.
With that said, there are a host of effective in-house solutions, including some that you’re probably already familiar with, like 1shoppingcart.com and affiliatepro.com. These programs will help you maintain 100% control of your affiliate program and are effective in managing your program.
5. How should I pay affiliates? What type of commission works best?
This is a very important decision because it not only affects your earnings, the correct commission rate will help you recruit top-tier affiliates. The general rule of thumb is to set your default commission rate at a rate you can afford while leaving room for limited-time commission increase offers, promotions, and private offers. For example, if you can afford to pay 50% of your gross profit margin, pay 25% instead and arrange it so that after reaching a sales goal, you earn 30% or you can increase it up to 50% during the holidays or during the holidays. typically short lead times.
6. How do I recruit affiliates?
Your customers can be your best affiliates. After all, they already appreciate and enjoy your products or services. A simple link on your website is a good place to start. Here are some ways to find quality affiliates:
Online forums. These are great places to meet, greet, and connect with like-minded people. They are also a good resource for interested, motivated and qualified affiliates to sell their products and services. Using a forum, you can advertise your affiliate program. Be careful not to ‘sell’ on the forum as most forums look down on you and may kick you. Also, you can include a link to your affiliate site in your signature.
Find websites that link to your competitors and approach them to be your affiliates. Similarly, you can find affiliates using your favorite search engine and contact them to join their program.
One last way is to join an affiliate network or appear in an affiliate directory. This will ensure that affiliate marketers who are looking for new products and services to promote. However, keep in mind that many beginning marketers are also looking for products and services to promote through affiliate directories and may lose interest and motivation before making a sale. This is not a strong deterrent because they are not paid unless they make a sale, however it must be taken into account.
7. What is the best way to communicate with my affiliates?
Email is the overall tool of choice, making an answering machine a fantastic tool for basic emails like welcome email, submitting promotions, coupons, sending links and banner ads, and responding to frequent questions. It’s also generally advisable to have an email address, fax number, and phone number available for when affiliates have questions that haven’t been answered by your FAQ website or simply want to talk to you.
8. How do I motivate members?
Money does not cause any doubts about it. That said, affiliates are also motivated to feel that they are important to you. This means that when they ask for time, you give it. Additionally, promotions, bonuses, prizes, contests, and commission raises are tools to motivate and inspire affiliates. Constant communication, such as submitting a weekly or monthly ezine, will also help remind your affiliates that you are out there and invested in their success.
9. Do I need to hire an affiliate manager?
The answer to this question really depends on your needs. How big is your company? Do you have time to manage your program? Do you have the skills to manage your program? An affiliate manager is the person who:
Recruit affiliates
Communicate with affiliates
Develop, track and report on promotions
Develop programs to improve your affiliate program.
Motivate affiliates
Track sales and affiliated countries
Monitor your competition
These are all extremely important functions and if you have the time to handle them yourself, great! If not, consider hiring an affiliate manager.
10. How do I find / hire an affiliate manager?
Outsourcing an affiliate manager is pretty easy to do. Hundreds are available with a quick online search. You can ask associates, check online forums, or post an ad looking for someone to fill the position. Depending on the complexity of your affiliate program, you might consider a well-qualified virtual assistant for the job. The skills your affiliate manager will need are:
Organizational skills
Communication skills
Attention to details
Knowledge of online business, internet marketing, and basic e-commerce operations.
Basic HTML and graphics expertise are a bonus
Since they will represent you, you want to make sure they are personable.
