Make affiliate marketing programs

Increase income and use networks with affiliate marketing

How does affiliate marketing work?

Essentially, affiliate marketing is to be seen as a mediation strategy between providers of products or services and end consumers or customers. A dealer or marketer of products or services is called a merchant in Affiliate Marketing. The merchant is the actual program operator. This merchant pays the sales partner - again called affiliates - a performance-based commission.

Affiliates include all kinds of links to the merchant on their own website. This includes, for example, banners as well as texts with the corresponding link to the merchant. As soon as a visitor to the website comes from the affiliate to the merchant via the link, commission can already be paid in affiliate marketing. As a rule, a distinction is made between three different commission approaches in affiliate marketing. This includes commission payments by click, sale or lead. These can of course also be combined in affiliate marketing.

  • Lead: Merchant receives the contact details of a visitor
  • Sale: the order is placed by the visitor
  • Click: A visitor comes to the merchant's website via affiliate marketing

Distribution through affiliate marketing

The sale of products or services via affiliate marketing is particularly suitable for founders and start-ups. No running fixed costs are caused here, but the mediation is only cost-effective in the event of an actual success. Which form of remuneration the founder ultimately chooses as a provider of an affiliate marketing program depends on the company's own goals.

  • If you only want to achieve a high level of awareness or establish a brand, then you should settle with the sales partner per click.
  • However, if you use affiliate marketing to support or expand sales inexpensively, then lead accounting is the best option.
  • If you don't have your own sales department at all, which is not uncommon for start-ups, then affiliate marketing is a suitable means of implementing sales in the first place. Then it makes sense to only pay per sale, i.e. sales, in affiliate marketing.

In general, however, affiliate marketing increases the reach of your own website. Therefore, every founder with a small budget is recommended to use the Affiliate Marketing remuneration option "per sale" for sales.

When founders consider starting affiliate marketing, they need to decide which route to implement. Because the corresponding advertising material as well as the infrastructure and marketing of the affiliate marketing program must be provided by the program operator for sales. As a program provider, you have the option of providing an in-house solution for affiliate marketing or of distributing the marketing via an affiliate network. With an in-house solution, entrepreneurs save the commission for the affiliate marketing network and can make an individual commission agreement with each sales partner.

If founders have no experience in affiliate marketing, we recommend working with a network such as Zanox or Affilinet. If founders then have the necessary experience, they can always switch to an in-house solution later.

Affiliate marketing as a source of income

If young entrepreneurs already operate a well-visited website, they can of course, conversely, tap an additional source of income by integrating an affiliate marketing program. In order to find a suitable and high-turnover affiliate marketing program, it is worth taking a look at the offers of the various networks.

In addition to the large selection of programs, the networks also offer the entire technical infrastructure. In this way, founders can incorporate the standardized advertising material on the website. Tracking, reporting as well as billing and remuneration are also taken over.

It is important that the selected partner program fits the content of your own website. This is the only way founders can implement a successful source of income.

Networks for founders and young entrepreneurs

This new form of sales has been established since the 1990s. There are numerous affiliate networks that have numerous affiliate programs under contract. The advantage of a network is undoubtedly the large pool of qualified marketers and the knowledge of how it works in general. The affiliate marketing program reaches a larger target group and a faster degree of awareness via a network. But also the general technical processing and the provision of the advertising material as well as the success control and the payment transactions belong to the range of services of a good system operator.

The most important thing, however, is that the marketer's website also matches their own products or services in terms of content. The more serious a marketer addresses his own target group, the higher the reputation gain that you can generate for your company through affiliate marketing. Young entrepreneurs should also make sure that the marketer also uses online marketing beyond his website. This includes distribution via social networks as well as classic email marketing and / or keyword advertising.

Some examples of affiliate marketing networks are:

  • Affilinet: 1,600 German-speaking partner programs
  • Zanox: 1,250 German-speaking partner programs
  • Tradedoubler: 1,000 German-speaking partner programs
  • Belbonn: 1,300 German-speaking partner programs
  • SuperClix: 500 German-speaking partner programs
  • TradeTracker: 440 German-speaking partner programs

100 partner programs offer a good overview of the various networks as well as information on the latest partner programs. In addition to the networks, there are also affiliate agencies on the market that also offer and support partner programs. Examples include 2hm Business Services, AffiliatePerformance, dialogbetrieb, explido, iuventa, etc.

Conclusion on affiliate marketing

Affiliate marketing within your marketing concept allows you to place your offers on other websites on the Internet. As a rule, a performance-related commission is due, which must be attractive enough for your affiliate partner. For a smooth processing of the affiliate program and the acquisition of affiliate partners, it is advisable to go through large networks and use their services.

And although affiliate marketing seems very attractive at first glance, you should note that it is only the first step to bring the visitor to your website or your shop through your affiliate partner. In the second step, you also have to make sure that the conversion works on your side and that a sale is actually generated or that the contact details are left.

Since you are heavily dependent on affiliate partners in affiliate marketing, this should not be the only channel in your internet marketing. Check, for example, the possibilities of banner advertising and of course search engine marketing.

Author: Für-Grü editors

As editor-in-chief, René Klein has been responsible for the content of the portal and all publications by Für-Grü for over 10 years. He is a regular interlocutor in other media and writes numerous external specialist articles on start-up topics. Before his time as editor-in-chief and co-founder of Für-Grü, he advised listed companies in the field of financial market communication.