impact.com Report Reveals Surge in Partnerships Driving Long-Term Growth
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impact.com Report Reveals Surge in Partnerships Driving Long-Term Growth
"The study of more than 800 marketers across eight countries reveals that investment in affiliate marketing is increasing, with 74% of brands saying they have increased affiliate investment in the past year due to other marketing channels becoming more expensive. 30% of brands allocate between 10 and 20% of their marketing budget to affiliate marketing, while 38% allocate between 21 and 30%."
"When questioned about their reasons for using affiliate marketing, the top three goals for the year ahead were to increase sales; run more cost-effective marketing; and reach a targeted audience. The top three partner types companies are choosing to work with are those specialising in search and media arbitrage; loyalty and rewards; and deals and coupons. Methodology impact.com believes the report provides a framework for companies to assess where they are on their affiliate roadmap and to map where they want to be."
Brands are increasing investment in affiliate marketing to counter rising customer acquisition costs, with influencers taking a growing share of affiliate budgets. Seventy-four percent of brands reported increased affiliate investment in the past year. Budget allocations vary: substantial shares of marketing budgets are devoted to affiliate programs, with some brands allocating more than 30% and a minority allocating over 50%. Affiliate activity is improving sales and cost-effectiveness. Top near-term goals are increasing sales, running more cost-efficient marketing, and reaching targeted audiences. Preferred partner types include search/media arbitrage, loyalty and rewards, and deals and coupons. Five strategic pillars include partner diversification, creator partnerships, strategic investment, AI deployment, and evolved measurement.
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