As a consumer, before buying any new product, we judge the product effectiveness by taking recommendations from credible sources. Based on this sentiment analysis, companies launching their products look for hooking influential blogging sites, social media pages, vloggers to affiliate their product, thus increasing the brand value and sales.
In the world of online marketing and lead generation, this is referred to as ‘affiliate marketing‘.
And with the massive growth happening in the world of finance and technology, the integration and use of affiliate marketing is quickly making it’s way into this space as well. For businesses and brands in Fintech, it’s all about expanding out and making new partnerships, while also driving new business and leads. And for site owners and content creators, it’s a whole new industry to start earning revenue through referral-based marketing.
With all of this in mind, today we are going to be taking a look at both Fintech and Affiliate Marketing, while also showcasing what you should know about each.
Let’s get started.
Due to growing technology personalization, people opt to spend more time on their tech gadgets than ever before. Internet connectivity allows consumers to visit websites as per their choice. Affiliate marketing helps companies penetrate this personalized social network and promote their brand with the USP of user trust in visiting sites or pages where the admin affiliates the product.
Affiliate marketing costs are lower than promotions by brand ambassadors. As a result, companies allow anyone to opt to be an affiliate for its product with their blogging sites or social media pages having good popularity. This reduces brand promotion costs for companies and also allows the affiliates to earn commission profit whenever any user buys a product through the product link posted on their online platform.
Fintech is an abbreviation for financial technology. Today, they are setting new rules for business in every sector. Fintech companies are making inroads into the personal lives of consumers through their innovative approaches. When buying and selling any products through websites or mobile apps taking precedence over conventional shopping, fintech companies capitalize on this trend by working more towards affiliate marketing. Tying up with marketers and service provides as partners prove to be beneficial through broader reach at a lower cost.
The Benefits of Affiliate Marketing in the Fintech Industry
Financial services companies and Fintech are much older when compared to affiliate marketing. Fintech flourished in the nineties when the internet came into the scene, and later eCommerce business models arose. Many industries took advantage of the benefits of affiliate marketing, such as the entertainment and gambling industry. They paid out hefty commissions to affiliate marketers. They reached out all over at a fraction of the cost of traditional marketing.
Financial services and banks have been major proponents of affiliate marketing. They have been using Fintech for more than two decades in cards and online banking. Late as e-commerce and content-based marketing on the web took a jump, they started using affiliate networks and partners.
The results have been highly positive as more and more consumers are using the fintech route to make transactions. With consumers having smartphones with them 24/7 and backed up by the availability of cheap data, the competition among businesses is hitting up with everyone trying to bombard the mind space of consumers through apps, emails, and SMSs. The carpet bombing is undoubtedly helping in shoring up revenues, whereas the customer acquisition costs have come down.
The fintech professionals know a few things about marketing. Still, they are not the influencers or marketers in the digital space. Taking the services of affiliate marketing companies, Fintech’s can profit from the knowledge and network of the top financial websites, editorials, and influencers.
These categories are potential affiliate partners with a great network and plenty of marketing power. There is no shortage of affiliate options. By paying a fixed fee to an affiliate partner, one can avoid enormous marketing spending.
Today, it’s not just banks and financial service companies that are using affiliate programs. Even governments and public financial institutions are beginning to see the advantages and value of affiliate marketing programs.
Today there are unlimited possibilities of having a partnership between Fintech and affiliate marketers. No law says that one can work with only a dedicated affiliate marketeer. As long as one is having an agreement and paying a fee to an affiliate, tying up with several affiliates works in the business favour. It helps to penetrate better and even make up for a poor performance from an agency. Having several such marketers can also help to compare their performance analytics over a period.
Recruit Skillful Affiliates as New Brand Partners
An affiliate partner has to be effective, and these skills are essential. It is important to take the services of an affiliate partner who has expertise in search engine optimization or SEO in short. One needs to have a good SEO for the content of the affiliate marketer to be searched easily in Google. SEO optimization helps to increase traffic and conversions on a large scale.
The affiliates of any industry are aware that SEO is important. The traffic generated to the website decides how much the marketer is to be paid. Affiliate marketers know that similar types of websites worked in SEO and more, the merrier, in increasing traffic from google to the targeted website
For affiliation marketing in financial or a different industry, SEO becomes more and more critical. The traffic generated to a website decides how much an affiliate gets paid. That’s why more websites of any type are becoming more popular as affiliate businesses; they know how to increase traffic to their website from Google.
A resourceful affiliate generates traffic to a business. It provides valuable content such as Blogs, reviews, promotions, and other engaging and beneficial materials linked to the product they are marketing.
This information helps push sales and customers after going through these contents gets influenced and decides whether to make a purchase. This influencing does lead to a sale, and the affiliate marketer gets paid.
Fintech and Affiliate Marketing Working Together
Fintech is ever-evolving and highly relevant today amid a pandemic and in the future when the world functions differently. With social distancing looking to become the new normal, more consumers will prefer to shop or transact from the comforts of their home. In this scenario, both Fintech and the affiliate marketers will need to capitalize on each other’s strengths and bring more synergy to the table.
Data clearly say that affiliate marketing is profitable. In 2018, almost $560 billion was spent on digital advertising and expected to increase by more than 13% by 2022. It could be more as the forecast then had not taken into account the unexpected Covid-19.