A company DTC (Direct-To-Consumer) business model has been gaining in importance in recent years. That said, in order to ensure its longevity, this type of structure needs to employ marketing techniques (and profitable) marketing techniques in order to sell directly to consumers via the online store. Affiliate marketinga form of performance marketing
is one of them. It’s an effective way of generating new leads and boosting sales.
Thanks to affiliate platformsDTC brands can increase brand awareness and acquire new customers – all at a low cost per click lower risk than traditional advertising. In this article, we take a look at the advantages ofDTC affiliate marketing as well as the best practices to follow for a successful affiliate program.
Affiliate marketing and DTC: definition
Before talking about affiliate network applied to direct-to-consumerdo you know what a DTC company is? Simply put, and as the name suggests, a DTC company sells its products directly to consumers, without going through other third-party merchants
. The aim of these companies is to eliminate all intermediaries, including retailers, wholesalers and distributors.
Be careful not to confuse this with the concept of DNVB (Digital Native Vertical Brand) is a business model, not a distribution method. While all DNVB brands are DTC (they sell directly to consumers via their website), the reverse is not true.
Now that we’ve set the scene, let’s take a look at how DTC brands are leveraging affiliate marketing for success.
How does Direct To Consumer affiliate marketing work?
To set up a successful affiliate program, your DTC business needs to recruit content creatorssuch as bloggers, YouTubers and social network influencers, whose audience corresponds to your ideal target audience. These creators, or affiliatespromote your products on their channels and place an affiliate link that directs their audience to your website e-commerce
. This link is important in your sales process because it allows you to track the customers they send you. Every time a visitor clicks on the affiliate link and makes a purchase on your site, the affiliate is rewarded with a commission on sales
. This model of performance marketing is generally managed via affiliation platformsforming a network of affiliates.
Good to know: an affiliate program can have just a few affiliates or several hundred. However, quantity does not equal quality. So it’s important to maintain a close relationship with your affiliates and reward them with promo codes or a payment system attractive to make them want to invest.
Why should you, as a DTC company, use affiliate marketing?
An affiliate program lets you quickly and easily build brand awareness for your DTC business.. Thanks to your affiliates, as aadvertiseryou’ll have easy access to a larger, more qualified audience.
Indeed, affiliate marketing can be seen as a recommendation from a trusted source; most affiliates are experts or opinion leaders in their field. This reinforces your credibility and boosts your brand. By speaking for themselvesaffiliates highlight what sets your DTC brand apart from the competition. And because their audience listens to what they have to say, your target audience is more likely to click on your affiliate link and make a purchase. Please note: affiliate marketing, as performance marketing, is more profitable for the merchant advertiser than many other marketing methods marketing methods, since you only pay affiliates when a customer performs the desired action (generally, makes a purchase). What’s more, affiliate marketing software makes it easy to track affiliate sales and ROI
. You can even set up e-mail notifications to keep you up to date on the performance of your affiliate network.
When done right, this type of strategy can bring you more traffic to your website, more leads and more customers.
How to get started in affiliate marketing for a DTC brand?
At this point, you’re probably thinking that affiliate marketing offers many advantages for DTC companies. And that’s true. However, to take full advantage of them, your company must meet certain essential requirements in order to build a successful DTC affiliate marketing program. First of all, you must be prepared to pay commission on every sale you make
. In this respect, you should know that the affiliate programs offering the best return on investment are often those offering the most attractive financial incentives. Obviously, affiliates expect to be paid promptly every time they contribute to a sale.
This means calculating your profit margins so that you can continue to make a profit, even after you’ve paid your affiliates. At the same time, it’s essential toidentify the right affiliate partners
. Ideally, before starting a program, you should already have in mind specific content creators and publisher sites whose audience matches yours.
If possible, it’s always best if your affiliate partners have used and promoted your products before without any marketing action on your part. This lends authenticity to the content, making it easier to establish a bond of trust with users.
Finally, you need to make sure your products appeal to your target audience. So make sure the quality is there before you start promoting.
Best practices for a successful DTC affiliate strategy
To conclude, we offer you a list of best practices that we believe are essential for setting up successful affiliate marketing programs :
- Define precise objectives for each affiliate program;
- Examine your affiliate programs of your competitors ;
- Use an affiliation platform to set up your program;
- Choose the appropriate commission rates ;
- Select the best affiliates according to your needs and targets;
- Draw up an affiliation contract contract;
- Train affiliates to promote your brand to your ideal customers;
- Communicate regularly with your affiliates;
- Vary the types of types of affiliates ;
- Keep affiliates motivated by offering them rewards linked to results;
- Track affiliate affiliate sales.
You’ve got it: affiliate programs are low-cost investments that produce interesting results and can be customized to meet your brand’s needs. However, as with any marketing strategy, it is strongly recommended to follow the best practices (which we have just shared) to obtain the desired ROI – including the choosing the right affiliate platform.
Casaneo’s experts can help you with your project, taking into account all your issues: growth, cost control…
Affiliation Marketing at your fingertips
THE KEYS TO MAKING THE MOST OF THIS BOOMING LEVER Download the guide!
