It’s 35 years since the first patent for affiliate marketing was filed, a milestone that invites reflection on its evolution. Yet, rather than resting on the laurels of its early successes, the channel is entering a new era, driven by shifting perceptions among marketing leaders.
Historically, affiliate marketing has excelled in measurability, return on investment, and customer acquisition. However, Awin’s recent survey conducted with Forrester, highlights how a surge of new partners is broadening the channel’s scope, allowing it to address a wider range of marketing challenges.
The rise of new partners
The survey revealed that 28% of senior marketers view the availability of new, innovative partners as a key strength of affiliate marketing compared to other channels. Awin’s platform now hosts over one million affiliates, offering an unprecedented variety of partnership options.
Technology partners exemplify how next-generation affiliates are enhancing the channel’s appeal. Today’s marketers can deploy specialized ecommerce solutions on their websites, including conversion rate optimization, referral marketing, interactive shopping, and brand partnerships—all on a performance basis, often with just a few clicks.
Influencers, too, are making their mark. In 2023 alone, over 20,000 influencers joined Awin, much to the delight of budget-conscious brands that can now engage in influencer marketing without incurring hefty fixed fees.
The diversity of partners within the channel is evident in the survey results. When asked which objectives that affiliate marketing could support, responses were evenly distributed across a range of goals, including acquisition (21%), customer retention (22%), growing order values (21%), and improving customer experiences (19%).
Marketers forge their own path
The affiliate channel’s embrace of new partner types and their growing popularity among retailers is no accident. However, broader industry trends are also at play.
Concerns about the dominance of advertising giants like Meta and Amazon appear to be waning. In fact, 44% of Awin survey respondents indicated plans to shift spending away from Big Tech, citing a lack of strategic guidance (68%), inadequate reporting (68%), unresponsive support (64%), and inflexible pricing (64%). The underlying issue? A lack of control—a problem that affiliate marketing is uniquely positioned to solve.
Marketers can customize virtually every aspect of their affiliate program, from selecting partners to determining payment structures. This flexibility helps maintain a robust ROI of $13 for every $1 invested, yet it means different things to different businesses. When asked by Awin to identify the channel’s most distinctive quality, marketers were nearly split among attributes like transparency (26%), control (25%), ease of management (27%), and incremental value (28%).
Affiliate marketing is more adaptable than ever, fueled by a blend of the qualities that launched it and the innovations driving it forward. Marketers are increasingly seeing it as an invaluable means of growing their businesses their own way.
—Adam Weiss, President of North America, Awin
Interested in more insights on affiliate marketing? Download EMARKETER’s latest analyst report, “Affiliate Marketing 2024.” Also, be sure to tune into our Meet the Analyst Webinar, “How to Make the Most of Affiliate Marketing: Trends and Challenges.”