5 Reasons Why Companies Are Taking Their Affiliate Program Global


Affiliate marketing has proven to be an effective channel for creating brand awareness and gaining new, incremental customers. These attributes are just a few reasons why savvy advertisers want to leverage their affiliate program when they expand internationally into new markets.

In addition to its proven track record, here are five reasons why more companies are putting time and resources behind taking their affiliate program global:

  1. Established Trust. Affiliates are very effective in helping local consumers get more acquainted with a brand and its product offerings. Since affiliates in new markets already have their own websites, audiences and followers, they can accelerate the pace of which brands are connecting with consumers, establishing their trust and building brand affinity – especially when compared to other forms of marketing.
  2. Cost-Effective. Unlike search or display advertising, companies only pay affiliates when a customer converts – not when they drive people to your website. As a result, affiliate marketing is typically more cost-effective than other digital channels and there’s often a clear return-on-investment – both of which are important when expanding in a new market. Plus, consumers from affiliate sites are much more targeted.
  3. Relevancy. When expanding into new territories, affiliate programs enable companies to connect with more customers in relevant niches. They also provide brands with more distribution channels, which can help increase sales.
  4. Attributable Revenue. Today’s retailers are using more accurate attribution tools to ensure that each channel is measured and driving incremental revenue. Since affiliates are compensated based on actual sales, the affiliate marketing model makes it easier for brands to directly their expenses to revenue.
  5. Plays Well With Others. Even if a brand is widely known in a home market, in a new market, brand equity often needs to be built from the ground up, especially with regard to cultural considerations and brand messaging. Affiliate marketing is an ideal channel for accomplishing this because it can play a significant role in supporting other brand awareness campaigns across other marketing channels. It also aligns well with a variety of consumer content preferences, such as mobile, email, paid search, social media and more.

There are many attractive reasons why companies are looking to take their affiliate program global. With that said, there are also significant pitfalls that many companies don’t take into consideration.

Check out our follow-up post, It’s a Big World Out There: 2 Steps to Take Before Going Global, to learn common pitfalls and how to avoid them when taking your affiliate program global.

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