What is an affiliate partner?
In the world of channel partnerships, an affiliate partner is a person or organization that promotes your company’s products or services, typically in exchange for a set commission. Most often, when a customer clicks on a unique affiliate link and makes a purchase, the affiliate earns a commission. This commission is typically a percentage of the sale, creating a win-win situation: the affiliate gets rewarded for successful referrals, and your company gains new customers with minimal effort.
Affiliates are very similar to referral partners, but in general, an affiliate focuses on your reach with online customers. Affiliates are common in B2C spaces, but they’re also important for B2B sales as well. For example, a SaaS company that offers a project management tool may partner with affiliates like:
- A thought leader who writes about productivity tools on their blog and includes information about their products with a unique “Buy Now” link
- A business consultant who recommends their tool to clients with a personalized affiliate link
- Another software company that suggests their product as a complementary solution, providing an affiliate link in their newsletters
Affiliate partners can be a powerful component of your channel strategy, offering a cost-effective way to increase sales and extend your reach online. By maintaining a healthy affiliate program, you can leverage the power of indirect sales and build beneficial relationships with people and organizations who can drive new customers to your business.