Boosting Affiliate Spend: Marketers Eye Precision, Alignment, and Insight
Surveyed marketers identified a trio of key factors that could drive increased investment in affiliate marketing. Leading the charge is the demand for advanced tracking and reporting tools, as 18% of respondents said their organizations are seeking more sophisticated tools to understand campaign success. This need is particularly acute given the channel’s diverse touchpoints and customer journey influence. Seventeen percent said they prioritize better affiliate partnerships, which emphasizes the need for influential affiliates with close brand alignment. This reflects a desire for more curated recommendations that can accurately represent the brand with broad reach or scale. Equally important is tailored strategic guidance, also at 17%, indicating a yearning for personalized strategies and insights that mirrors the support gaps seen in big tech ad platforms. These factors collectively highlight a desire for more precise, aligned, and personalized affiliate marketing approaches.
“What one thing might make you consider increasing ad spend in the affiliate channel?”
Advanced tracking & reporting tools: Availability of more sophisticated tools to measure campaign success and attribute
Better affiliate partnerships: Access to more influential or better-matched affiliates that align closely with our brand
Tailored strategic guidance: Receiving expert insights and strategies specifically for our brand and industry to optimize
Increased brand visibility: Observing heightened brand awareness or reputation due to the exposure from affiliates.
Transparent operations: Clear and open communication regarding costs, commissions, and any other operational aspects.
Base: 650 decision-makers at the director level and above responsible for managing marketing budgets and leveraging affiliate marketing andtech platforms. Source: A commissioned study conducted by Forrester Consulting on behalf of Awin, January 2024.
Mastering Affiliate Marketing By Navigating Relationships And Building Trust
Affiliate marketing faces distinct challenges globally, and 68% of respondents said relationship management was their organization’s foremost hurdle. This channel is also unusual in that it relies on one-on-one relationships rather than the automated bidding commonly seen with many of the big tech platforms. Though this direct partnership model offers increased transparency, it is clear decision-makers find this more manual approach difficult and a major hurdle, especially with multiple partners.
This ties into another key challenge: ensuring that affiliate partners are aligned from a brand consistency perspective. Finally, affiliate partners aren’t immune to the accusations of ad fraud that have recently dogged the wider digital ad space. An earlier era of black hat tactics has tarnished its reputation and, despite its professionalization over the last decade, there is clearly still work to be done.
“What challenges has your organization encountered with affiliate marketing?”
Relationship management: Cultivating and maintaining mutually beneficial partnerships with affiliates.
Brand consistency: Ensuring affiliates represent our brand in alignment with our guidelines and values.
Fraudulent activities: Protecting our operations from fake leads or dishonest affiliate practices.
Commission structuring: Establishing fair, motivating, and sustainable commission rates.
Comprehensive tracking: Ensuring every sale or lead is accurately attributed.
Integration with other marketing efforts: Ensuring affiliate marketing aligns with and complements our other marketing strategies.
Base: 650 decision-makers at the director level and above responsible for managing marketing budgets and leveraging affiliate marketing and tech platforms. Source: A commissioned study conducted by Forrester Consulting on behalf of Awin, January 2024.
Unpacking Affiliate Marketing’s Multifaceted Strengths
Affiliate marketing’s pronounced digital strengths are diverse and multifaceted, and they encompass innovation, incremental value, high ROIs, and a wide tactical choice. These aspects, including the ease of management and reliability, are highly valued, with innovation particularly emphasized by respondents in the EU (31%). Despite the challenge of relationship management, many responding US marketers (31%) said they view the personal connections in affiliate marketing as its unique strength, underlining its simplicity and direct impact. This variety of strengths — from transparent operations to the ability to control marketing outcomes and partner variety — illustrates the channel’s adaptability and wide appeal. The varied responses from senior marketers reflect affiliate marketing’s spectrum of benefits, offering a blend of interpersonal engagement, performance-driven results, and strategic flexibility.
“What do you feel is the unique strength of the affiliate channel compared to other marketing channels?”
There are always new, innovative marketing partners entering the channel
It provides clear incremental value
It is simple to manage
It is a transparent ad channel that can be clearly tied to sales
It is a reliable source of revenue
It is highly flexible compared to other ad channels
I can control the specific marketing outcomes I want
The diverse variety of partner types available
It is an industry premised on personal relationships
It delivers high ROIs
Base: 650 decision-makers at the director level and above responsible for managing marketing budgets and leveraging affiliate marketing and tech platforms. Source: A commissioned study conducted by Forrester Consulting on behalf of Awin, January 2024.
UNLOCKING THE FULL POWER OF AFFILIATE PARTNERSHIPS