HomeArticlesAffiliates: the key to scaling business in the new digital economy

Affiliates: the key to scaling business in the new digital economy

Once restricted to large players in the digital market, affiliate marketing has gained space among companies of all sizes. The model, previously associated with complex structures and high investments, today stands out as an affordable, scalable and performance-oriented alternative.For small and medium businesses, it represents a real opportunity to generate measurable results with greater predictability.

In practice, the concept today works as a kind of decentralization of the sales force: brands create programs and invite partners, the so-called affiliates, focusing on promoting their products in exchange for commissions for results. Such dynamics presents a clear advantage for those who need to grow with a controlled budget: payment only occurs when there is conversion, whether click, lead or sale. From this premise, it is a logic that combines with any business size, provided it is well structured.

In the case of SMEs, the most common and promising way has been to bet, for example, on partnerships with niche content creators and micro influencers. This is because they are people with high engagement in specific communities, able to generate qualified traffic without requiring large investments. On the other hand, for larger companies, it becomes more common to adopt more complete technological platforms, relying on whitelabel programs and integration with data and CRM systems, allowing a multitude of affiliates to be connected and having their performance analyzed in an automated way. 

In addition, it is worth noting that the social impact of affiliate marketing is significant, since anyone can participate in this modality as long as they are part of an affiliation platform and have a mobile phone with internet to disclose their purchase links. This contributes directly to the democratization of access to income generation, especially in a challenging economic scenario such as Brazil, where millions of people seek alternatives to supplement their earnings.

In 2023, affiliate marketing moved more than US$14 billion globally, according to Influencer Marketing Hub.In Brazil alone, there are already more than 30 million people registered on platforms such as Hotmart & which places us as the second largest country in this segment. 

According to Business Insider, affiliate marketing can contribute about 16% of the total revenue generated through digital marketing campaigns (EXpressive value considering not only conversion, but customer retention. However, we can not simplify the moment only for the financial issue. The increasing sophistication of platforms has also helped. Today, thanks to the help of technology, it is possible to segment campaigns, monitor channels, compare affiliate performance, ensure transparent remuneration and, most importantly, optimize the entire operation based on real data. Of course, the social issue also gains special prominence when we talk about digital economy. 

According to a survey by Mediakix, 81% of the brands that invest in this model claim to have increased their customer base significantly. This shows that the strategy goes beyond direct conversion 81% also boosts brand awareness and long-term visibility, something that often went unnoticed when it came to the performance of affiliates. Moreover, unlike other media fronts, growth comes with a total control over the budget and predictability in results.

Demystifying affiliate marketing as a unique resource of large players is essential to democratize access to strategies that really deliver results. Today, companies of all segments and sizes are adhering to the format, from large online retailers to small local producers.Whether to sell more, gain visibility or even attract new audiences, the model has already proven to be a powerful tool &, above all, adaptable to any type of business.

Hugo Alvarenga
Hugo Alvarenga
Hugo Alvarenga is a partner and co-CEO of A&EIGHT, an ecosystem of high-performance end-to-end digital solutions.In addition to being the founder of B8one, one of the group's brands, the professional is a reference in the technology and retail sector, with almost a decade of experience in management, entrepreneurship and software development. With a rich history in companies linked to innovation, the executive has a practical and results-oriented approach. His expertise ranges from systems architecture to process optimization, always focusing on delivering value to customers and stakeholders.
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