Having a wide collection of different products and the cheapest value is not enough if you wish to succeed in your affiliate program. If your audience is not engaged in the program, they won't buy or recommend the products that you are offering. It is better to stick to an active 30 affiliates that draw traffic and sales to your website. Eventually, these affiliates can grow over time. All you need to do is be consistent, know your affiliate, offer good products and provide incentive reward programs to entice them.
Types of incentive marketing
1/ Tangible reward programs – You can get your affiliates excited by giving them free iPods, super bowl tickets, airline tickets, etc. If they complete the incentive checklist program, apply for an insurance quote, sign up for a trial, complete a survey, and a lot more.
“About 39 of 50 respondents (78%) perceive that travel is remembered longer than cash; about 42 of 50 (84%) agree that merchandise is remembered longer than cash. Nearly two-thirds of respondents (62%) feel that cash is remembered for the shortest time.” – 2005 Incentive Federation Survey
By giving non-cash rewards, it can give you three times the return on investment.
2/ Cashback programs – You can also offer cash back for loyal affiliates for every purchase that they make. One good example is the Airline companies that give miles’ points once a flyer purchases a product from an affiliate link.
3/ Pay-to-complete – You will need to pay every affiliate that completes the program. This system is banned by some affiliate networks but other affiliates still use it.
4/ In-game rewards – You can reward your audience with an in-game purchase or currency if they sign up for an affiliate online course, books, movie rentals, and other affiliate programs that you are offering.
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The importance of incentives
If a long-term incentive program is not moving forward, there's a big chance that you will lose your top affiliates.
There's an 80/20 rule that applies to all affiliate marketing programs. The 80% of your sales comes directly from the 20% of your affiliates. To reward these rock stars, an incentive program is needed. The program should have attainable and realistic results. Incentive programs can help revitalize your affiliate network.
According to the statistics:
46% of your sales are from the top 5% of their active affiliates
64% of your sales are from the top 16% of their active affiliates
73% of your sales are from the top 26% of their active affiliates
The top performers in your affiliate network will provide a huge impact to your success. It is essential to make them feel valued.
Reenergizing your affiliate network
- Improve ties with the publishers – You should communicate with the publishers directly. Improve your sales performance by fostering close ties with publishers in your marketing program.
- Constant communication with your publishers will help you understand their needs. Keeping the lines open will help solve the challenges ahead on the road.
- Exclusive Affiliate Offers – by steering customers to great offers would make it an all-exclusive channel for your affiliates, commissions will pour in, and you are giving the impression to the publishers that you are committed to them. It will motivate them to perform and improve sales performance.
- Affiliate channel is a great place for trial and error. If you want to increase sales with the new products or brands, the members of your affiliate network can help.
- Publishers will be truly motivated by valuable customer offers; let them have the information of the latest deals and hottest products within your affiliate channel.
I hope you find the information here helpful. Please leave a comment or ask a question and I shall reply promptly.