The purchase of goods and services over the internet is the new commerce reality. The value of online shopping sales in the UK exceeded £4bn a month for the first time in July 2007 according to the IMRG Index. Consumer confidence in internet shopping is at an all time high, online retailers such as Amazon and Play.com have become mainstream brands and all high-street brands now recognise the importance of the internet sales channel and have invested in ecommerce. Learn about every step of setting up an affiliate programme with the IAB Affiliate handbook.
Hand in hand with the growth of e-retail there has been a rise in affiliate marketing. In 2006 E-consultancy estimated the value of affiliate sales to be above £2bn and increasing on average 60% year-on-year. Affiliate marketing is the ideal partner to online retailers as it works like a virtual sales team, paid only on commission.
For online retailers and service providers the use of affiliate marketing has allowed the acquisition of new customers and helped consolidate brands’ positioning in existing markets. Through the management of an affiliate network, affiliate channels have become a very profitable addition to sales and marketing strategies.
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