Benefits And Drawbacks Of Affiliate Marketing: Know Whether it’s Worth it!

Affiliate marketing is an effective tool for online promotion strategy of the merchants. This program is an excellent money making strategy for semi passive income generation for the affiliate owner. If you’re planning to create your own affiliate program, then you need to acquire complete information about its pros and cons before evaluating whether it’s worth it.

What is affiliate marketing?

Affiliate marketing program is about the partnership between the merchant and an affiliate. The marketer promotes the products or services of the merchant by placing advertisements or links through his/her website. In return he/she may get commission from the merchant on the basis of the

sales generated.

If you’re planning to provide affiliate marketing services, then you need to keep the following benefits and drawbacks in mind to know whether it’s worth it.

Benefits of the affiliate marketing program:

Here are some of the benefits of affiliate marketing program:

♦ The affiliate marketer is not required to invest money in this program to make money. He can start making money if he has his own website with the help of pay per sale, pay per click, pay per lead program.

♦ Affiliates only need an ad-space to promote the merchants’ products or services. He may get commission on the basis of sales generated through his promotional activities.

♦ Affiliates have the scope to promote a product to a wide range of the target visitors, so it helps to give their brands more exposure and recognition.

♦ Affiliates can coordinate with the affiliate networks and keep a check on the execution stages without bothering the merchants during the procedure.

♦ Consumers can help the affiliates to keep them updated with the latest trends and demands.

Drawbacks of the affiliate marketing program:

Here are some of the drawbacks of the affiliate marketing program:

♦ A merchant’s reputation can be tarnished with false advertising on the affiliate’s website. A large number of affiliates are involved in this sort of schemes. It can spoil the reputation of the affiliate market in the long run.

♦ Affiliates need to negotiate on the commission cost as it absolutely depend on the relation of the merchant and the affiliate.

♦ Affiliates may have the risk of not getting paid. The cunning merchant may simply leave without closing the program and without paying the affiliate.

♦ Merchant can trick the affiliates by alluring them to give high commissions and then give less than what he has actually promised.

♦ The scam people may hijack affiliate links and take the commission of the affiliates in the process.

Therefore, you need to consider the above mentioned benefits and drawbacks before planning for an affiliate marketing program.