5 ways through which affiliate programs increase business revenue

The origins of Groupon company are not as impressive as the big company that we all know today. As of 2009, the company was indeed considered a miserable failure. Fast forward to 2015; Groupon had already grown into a global giant that serves over 500 cities worldwide with over 48 million active subscribers globally. In 2017, records showed that the company enjoyed revenue of over 2.8 billion USD and a net income of about 14.4 million USD.

Groupon’s success was greatly fueled by affiliate marketing. However, Groupon did not rely on established affiliate networks such as Google Affiliate Network but rather went out there and interacted with its affiliates directly. It also made deliberate steps to make it easy for its affiliates to promote the company. By implementing an effective affiliate marketing program, Groupon was able to not only spark growth but also rake in incredible revenues for the company.


Affiliate programs for revenue growth

Revenue growth is usually the primary concern for most small businesses making less than $1,000,00 a year. Achieving a seven-figure annual revenue often proves to be time-consuming, tricky, and quite stressful. Affiliate programs provide a resourceful way for a business to effortlessly increase its bottom-line without investing lots of money.

#1 - Affiliate programs increase sales

Most affiliates are expert marketers that use a diverse range of channels, e.g., social media, organic search, paid search, email, and mobile to promote business. These affiliates have their specific audiences and subscribers in different channels. Your business will, therefore, have a wider selling platform for its products and services.

The affiliates show prospects that your products are valuable and desirable. Loyal subscribers will heed to the affiliate’s recommendation and purchase your product/service. You should, therefore, anticipate an increase in orders the moment you incorporate a good affiliate program into your business.

#2 - Affiliate programs take your business to new markets

Affiliates are much more than mere advertisers. They are astute business partners who are more than capable of advancing your business into new market niches. Your target consumers are scattered across different market pools across the internet. Generally speaking, affiliate programs provide businesses with a unique opportunity to venture into new market pools.

Market penetration through affiliate marketing is relatively risk-free because the business owner only pays for results. You simply build strong relationships with formidable affiliates and they will connect you to new audiences. In all this, you’ll only pay when sales are realized.

#3 - Affiliate programs improve brand visibility

Affiliates represent high-value partnerships that not only display ads on different websites but also secure higher listings on search engines for your business. The ads in affiliate programs are targeted by humans. Affiliates handpick the ads that they display on their sites. They select those ad campaigns that they feel have the best chances of being picked by the audience in a particular demographic. This drastically increases the likelihood that the target audience will respond positively to your ads.

As specialists in online marketing, most affiliates have a firm grasp of search engine marketing. They employ special tricks and methods to get you top search engine rankings without you having to spend a fortune on PPC or SEO. When consumers visit Google, for example, multiple listings will link to your business. This will inadvertently give you a much better chance of getting customers than your competitors.

#4 - Affiliate programs save you money

Affiliate programs are usually completely performance-based. Commission is paid out to affiliates only after a desired action has occurred. For an affiliate to earn, they’ll have to make verifiable efforts to drive the conversion that your business needs. The efficiency of this marketing strategy mitigates any efforts that have little or no value to your business. In essence, business owners only pay for what they get. At the end of the day, an affiliate program adds value while providing cost-saving benefits to a company.

#5 - Affiliate programs are a fully-fledged, comprehensive marketing resources

An affiliate program is comparable to having a skilled sales force in your business to which you do not pay any salary. The advertisers and publishers in affiliate marketing have the skills, tools, and data needed to grow revenue for your business tremendously.

Affiliate marketing can be used in every stage of business growth including :

  • Customer discovery
  • Awareness creation
  • Conversion and purchase generation
  • Customer engagement

When used as a long-term strategy, any business will gain consistent growth through affiliate channels. The growth will cut cross key business metrics such as customer acquisition, revenue generation and brand recognition among others.


Affiliate programs represent a terrific marketing tool that has a proven ROI. It spreads the responsibilities of product/service marketing across multiple parties and leverages on the expertise of a variety of marketing professionals. This makes it an effective marketing strategy that has the capability of increasing business revenue exponentially.

That notwithstanding, the benefits of third-party affiliate platforms outweigh those of self-hosted affiliate program by far. Choosing a third-party affiliate platform ensures that all things run smoothly, gives you accurate, detailed tracking and helps you focus better on making sales and growing your business.


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4 min read
October 27, 2018
Category is marketing


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