Affiliate marketing, online marketing, increase sales, expand customer base

“The new generation doesn’t have only one source of income.” This statement doesn’t sound like an exaggeration because the new generation tends to seek knowledge and ways to increase their income more skillfully, especially through online channels. Currently, there are many online channels for people to sign up and open their own stores with easy methods, or in marketing terms, “Affiliate Marketing.” Today, we will talk about marketing channels that meet the needs of this new generation.

What is Affiliate Marketing?

If we say Affiliate Marketing in its full name, people who are not involved in the marketing industry may not understand. But if we talk about promoting products by receiving links for products or services through the online channels of the middleman, if someone is interested and clicks to order products through the link of the middleman, it will make the products sell and the middleman will receive a market share and income from those sales in the proportion that the company has set easily.

What are the components of Affiliate Marketing?

• Advertiser Business or brand that wants to promote products.
• Publisher / Influencer / KOLS selected by the company to help promote the product.
• Customer: Consumers who may be followers of the Influencer or KOLS.

How to do Affiliate Marketing?

1. First, the brand must define the marketing goals that it wants to achieve, such as increasing sales, increasing clicks to view products, increasing applicants, increasing bookings, or wanting customers to come to the store or branch so that the salesperson can close the sale.
2. Select a Publisher / Influencer / KOLS that is appropriate and is expected to have a target group that is likely to match your consumer group.
3. Contact the Publisher / Influencer / KOLS to inform them of the details, work procedures and compensation. At this stage, you can select multiple Publishers / Influencers / KOLS.
4. Specify a code or link that can clearly identify the source of the source, such as the Publisher / Influencer / KOLS, to make it easy to collect data and measure results.
5. Summary of marketing results
6. Pay compensation

Affiliate Marketing Examples

Unkwon, a brand with a product that reduces acne within 7 days, wanted to increase online orders, so they hired “No Name,” a famous influencer, to review and mention the product, along with providing a code or link for No Name to indicate the purchase channel in her post. When No Name posts the product, and someone is interested in clicking on the specified product link to order, it means that the customer who ordered came from No Name’s channel, so some of the income is also sent to No Name according to the percentage specified in the contract that the brand set and agreed upon from the beginning of the work.

How are Affiliate Marketing compensation terms calculated?

Normally, the compensation of Affiliate Marketers is determined by the marketing plan that the brand has set itself, but there are conditions that are divided into 3 main groups as follows:

1. Pay Per Sale (PPS)

This means that the compensation will be paid only when the customer enters the code or link from the publisher / influencer / KOLS and it becomes a sale. The company will pay the compensation as a percentage of that sale.

2.Pay Per Lead (PPL)

This means that the compensation will be paid only when the Customer fills in the link from the Publisher / Influencer / KOLS and becomes a registrant.

3. Pay Per Click (PPC)

This means that the compensation will be paid only when the Customer clicks on the link from the Publisher / Influencer / KOLS to enter the website. Whether the Customer orders the product or not, the company will pay the compensation according to the actual number of clicks.

What are the advantages of Affiliate Marketing?

Affiliate Marketing is a new way to increase income and increase efficiency in expanding the customer base. The beneficiaries will be on both sides as follows:

1. Affiliate Marketing for businesses or brands

Advantages of

• Can increase the purchase amount
• Help expand the product base to a wider target group.
• It can be used to measure marketing results in terms of Influencer Marketing strategies to see which influencers can increase sales most effectively, so that it can be used to make decisions in planning marketing for the next quarter on which influencers to renew contracts with.

weakness

• It is a marketing that relies on middlemen, namely Publishers / Influencers / KOLs only. If you choose the wrong one, you may have to waste time planning again.
• It is a marketing activity that requires at least 2-3 months to measure results.

2. Affiliate Marketing to Publisher / Influencer /KOLS

strength

• It helps you increase your income because you just post your product with a code or link. When someone clicks and orders, you will get rewards all the time.
• There is no need to take care of the store, stock products and deliver products by yourself because the influencer is only a middleman. When the target group clicks to buy products on the brand’s main channel itself
• Convenient, easy to do, and can continuously increase income.
• There are no restrictions on work.

weakness

The compensation will only occur when the customer enters the code or clicks on the specified link or creates it to identify you. In the case that the customer clicks to order through other channels without entering the code or clicking on the specified link, they will not receive the compensation.

Are there any businesses that start Affiliate Marketing in Thailand?

Currently, Affiliate Marketing may not be as popular in Thailand as it is abroad. However, there are brands that have started using this marketing strategy, such as Involve Asia / Accesstrade / Priceza / Lazada / Affiliate Program and Shopee Affiliates.

I want to do affiliate marketing. How do I start?

For any business or brand that wants to try Affiliate Marketing, the first thing you need to have is a real product that is ready to be sold or will be available soon. Then you should choose a Publisher / Influencer / KOLS that has good features, has engagement, interacts with followers, has high credibility, and should have followers who are likely to be able to turn into consumers of the brand. If you can choose the wrong Publisher / Influencer / KOLS, it will result in a failed marketing plan or, worst of all, the brand may have a bad image with consumers. Therefore , use the Influencer Agency service to choose to hire an Influencer because the agency will know a variety of Influencers.

But for those who want to have a steady income throughout the year like this but don’t have a page or online channel of their own, you can create an online channel that you are good at. Then present content that attracts followers to be interested in turning yourself into a Publisher / Influencer / KOLs. And when you have at least 1,000 followers, you can post product reviews or do Affiliate Marketing.