Are you falling into these pitfalls of Affiliate Marketing?
Another name of Affiliate Marketing is Pay-for-Performance and it is being embraced by a multitude of brands and organizations just because they have to pay after getting the actions done while tracking the performance of publishers. But, the only loophole in Affiliate Marketing is having fraudsters along with some loyal affiliates giving quality conversions.
It is quite challenging for advertisers to find the pitfalls of affiliate marketing and make the best of their capital they are pumping in Affiliate Marketing. Here, are some pitfalls discussed that might deteriorate the performance of your Affiliate Marketing Campaigns in India. Make sure you do consider the facts discussed below while running an Affiliate Marketing Campaign be it CPL, CPV, CPS, CPM, CPI or CPC etc.
Paying equal for both new and existing customers
Are you paying equal commission to your publishers for getting conversions from both new and existing customers? However, paying equal commission for both makes no sense because once you acquired a customer from any affiliate, he or she is yours and you can further contact them through newsletters.
You can even say no to pay a single penny to the affiliates bringing existing customers or you can pay lesser commission. If a customer is returning again and again and you are paying commission for him can be a fraud. Don’t let any affiliate cheat you so keep an eagle’s eye on your affiliates.
Calculate LTV of customers
Customers you acquire through any affiliate should be your customer in long-run. Calculate LTV (Lifetime Value) of your customers by calculating the overall expense on the customer and the profit you have made through him. Every brand longs to get higher ROI and paying more to bring a customer to the website than earning from him makes no sense.
You can also use some analytical tools like predictive analytics or cohort analysis to understand the long-term trends in customer retention. Segment the affiliates bringing customers with good LTV and appreciate them with good commission to keep giving you the quality customers.
Don’t let them stuff cookies
Many affiliates may be practicing fraudery by stuffing cookies in the browsers of the visitors on their websites. So, when the visitor will be getting any conversions done on your website, you will be paying to the affiliate. However, he has not put any efforts to promote your brand to that customer, but he is being paid.
Make it a point to investigate about any kind of fraud if you get more than expected conversions from any affiliate. Also check the affiliate’s website time to time and enquire about his promotional practices as you are paying him to promote your products or services.
Sticking to Traditional affiliate marketing practices
Affiliates started promoting your products by sticking static banners of your brand on their websites or sending emails. But, trends change with the passage of time. Keep abreast of the latest promotional tips i.e. video, rich media or native ads.
It’s high time to get latest promotional tips if you are still using the static banners used in the past era. Make such elements available to your affiliates and engage more and more customers with your brand.
Inactive Affiliate Managers
Affiliate Managers should be active enough to make the affiliates bring fruitful results. They should handle all the things single-handedly be it the performance of affiliates, quality of conversions or the distribution of campaign among them.
You can even choose an Affiliate Marketing Company in India that can help you refrain from all these pitfalls. Avoiding paying a heed to these pitfalls may lead you to be in loss for running an affiliate marketing campaign. These affiliate marketing companies also helps you to avoid frauds using their rich experience in Affiliate Marketing.