With the spread of smartphones and tablets these days, Internet advertising is becoming more active. Among Internet advertisements, there are many companies that want to place affiliate advertisements that can be expected to have high advertising effects. However, there are many people who do not understand the mechanism of affiliate advertising and its utility value, and feel uneasy.
Therefore, in this article, we will explain the outline and mechanism of affiliate advertising, introduce the advantages and disadvantages of introduction, how to choose, and recommended affiliate advertising services.
Table of contents
What is affiliate advertising service?
First, let’s take a look at what the affiliate advertising service is. I will explain the overview and mechanism of affiliate advertising from the following two perspectives.
- What is affiliate advertising
- How affiliate advertising works
What is affiliate advertising
Affiliate advertising is a method of Internet advertising called performance-based advertising. Affiliate advertising is particularly cost-effective, so many companies are placing ads. The market scale is expanding year by year, and one of the features is that there are a wide variety of media that can be posted on personal sites, blogs, various SNS, YouTube, etc.
In addition, operators who provide affiliate advertising platforms are called affiliate service providers (ASP). It is a company that plays a role in connecting advertisers (companies that provide products and services) and affiliates (individuals and corporations that post advertisements). ASP manages and pays advertisement distribution and performance fees between advertisers and affiliates.
How affiliate advertising works
Affiliate advertising works in the following way.
- Advertisers place advertisements to affiliate program operators
- Affiliates post advertising content on their own websites, blogs, etc.
- You get paid when your product sells through your ad.
Affiliate ads are sent from the advertiser to the affiliate when the visitor visits the website or blog of the affiliate, clicks on the advertisement, transitions to the website of the advertiser, purchases products or services, or registers as a member. It is a mechanism to pay compensation to Compensation is generally paid when a result (purchase, membership registration, etc.) occurs in the case of performance-based compensation. With pay-per-click, you are paid based on the number of times your ad is clicked.
Advantages of advertising with affiliate advertising services
The following are the four benefits of advertising with affiliate advertising services.
- cost effective
- Effectiveness can be measured
- Wider range of advertising
- Ads spread easily
I will explain each.
cost effective
One of the benefits of placing affiliate ads is the high cost-effectiveness. Since the advertiser can decide the amount of compensation for each result, low-risk operation is possible. As a result, you will be able to avoid the high cost of advertising even though you are not getting results. Affiliate advertising is also attractive because it can be operated with reduced advertising costs.
Effectiveness can be measured
The second advantage of placing affiliate ads is that you can measure the effect. Affiliate advertising can measure advertising effectiveness numerically, such as the number of people who viewed the ad and the number of people who actually purchased the product. Many ASPs offer advertisers and affiliates tools that allow them to measure and analyze the effectiveness of their advertising.
With generic ads, it’s difficult to accurately measure how many people saw your ad. However, with affiliate advertising, it is possible to quantify the number of clicks and the number of contracts, and it is easy to understand points for improvement. Based on the metrics, advertisers will be able to evaluate the effectiveness of their ads, consider improvement measures, and develop optimal advertising strategies.
Wider range of advertising
The third advantage of placing affiliate ads is to expand the range of ads. Due to the nature of affiliate advertising, by being posted on numerous affiliate websites, the advertisements will be exposed to the affiliate’s followers and readers, and will be able to appeal to a diverse target audience. By posting advertisements on many sites and blogs, it is possible to promote a wide range of users who do not know about your products and services, and you can expect to improve your company’s recognition. If you can get influential affiliates to post your ads, you will be able to approach many potential customers.
Ads spread easily
The fourth advantage of placing affiliate ads is that the ads are easy to spread. Unlike paper advertisements, Internet advertisements are characterized by being easy to spread. Advertisements are posted on each affiliate’s site, and if it spreads on SNS, it is expected that the information will be noticed by many people. Therefore, it can be said that affiliate advertising is an advertising format that well reflects the characteristics of the Internet.
Disadvantages of advertising with affiliate advertising service
Disadvantages of advertising with affiliate services are as follows.
- expensive to operate
- Results do not appear immediately
- difficult to control ads
I will explain each.
expensive to operate
One of the disadvantages of placing affiliate ads is the cost of running them. Basically, many affiliate advertising services charge a monthly fee. Although it is highly cost-effective, it is recommended that you foresee the operating costs to some extent. Also, please understand that there will be a fee even if the contract is closed.
Results do not appear immediately
The second disadvantage of placing affiliate ads is that the results will not appear immediately. Among Internet ads, listing ads may be exposed immediately after posting, but with affiliate ads, affiliates select ads, write articles and publish them. Keep in mind that it will take at least 3-6 months to see results.
difficult to control ads
The third disadvantage of placing an affiliate advertisement is that it is difficult to control the advertisement. Advertisers cannot completely control how and what their affiliates display their ads. There is a considerable risk that advertisements will be posted in a way that does not match the image of the product or brand, which will have a negative impact on the brand image. It is important to clarify the contract details and rules of the affiliate program and communicate with affiliate partners.
How to choose an affiliate advertising service
When choosing an affiliate advertising service, be aware of the following three points.
- advertising costs
- Compatibility of own advertisement and ASP
- Number of registered affiliates
I will explain each.
advertising costs
When using affiliate advertising services, be sure to check the cost of advertising. Advertising costs include initial costs, fixed costs, and variable costs. It is a good idea to carefully check these fee structures and choose a service while comparing and considering whether the cost is appropriate.
Compatibility of own advertisement and ASP
Compatibility between your own advertisement and ASP is also an important factor when choosing an affiliate advertising service. There are various types of ASPs with different characteristics and strengths, so by choosing an ASP that is compatible with the products and services your company handles, you will be able to place more effective advertisements. Please be aware of the selection of ASP that matches the content of the advertisement to be posted.
Number of registered affiliates
When choosing an affiliate advertising service, it is also a good idea to check the number of registered affiliates. If the ASP has many affiliates registered, the possibility of finding an affiliate that matches the company’s image increases. In addition to the number of registrants, the quality of affiliates is also important. Also check if the affiliate can reach the right target audience and if it is credible.
8 recommended affiliate advertising services
Finally, we will introduce 8 recommended affiliate advertising services. If you are wondering what kind of service you should choose, please refer to it.
- A8.net
- Value Commerce
- Moshimo Affiliate
- afb
- Rakuten Link Share
- ACCES TRADE
- felmet
- Rentracks
A8.net
A8.net is an affiliate advertising service with a long track record of operation. The number of media registrations and the number of advertisers are among the largest in Japan. The management screen is easy to use, and the contents such as holding regular seminars are also substantial. Tools for performance analysis and effect measurement are provided, enabling optimization of advertising operations. Advertisements can also be posted on SNS, so you can expect a wide range of advertising.
Features of A8.net
- Abundant track record and number of projects
- Rich content
- Advertisement can be posted on SNS
Value Commerce
ValueCommerce is one of the leading affiliate advertising services in Japan. There are plenty of step-up guides that are useful for affiliate management, so it is recommended for companies that are new to affiliate advertising. You can flexibly customize performance reward models and ad types, making it easy to create your own strategy. Since there are many registered affiliates, you will be able to develop advertisements that match your target.
Features of ValueCommerce
- Many registered affiliates
- There is a step-up guide for beginners
- Affiliates of major online shops can be used
Moshimo Affiliate
Moshimo Affiliate is an affiliate advertising service with no initial or monthly fees. There is also a free tool that allows you to easily create affiliate links. The simple and easy-to-use interface is popular among novice advertisers. In addition, it is characterized by the fact that many affiliates who are strong in niche fields and specific targets gather, so it will be very effective depending on the industry.
Features of Moshimo Affiliate
- No initial or monthly fees
- Free link creation tool
- Simple and easy-to-use interface
afb
afb is an affiliate advertising service with a wide variety of beauty, cosmetics, and food projects. We are actively working on countermeasures against fraudulent affiliate advertisements, and we not only provide employee training, but also provide information and services for affiliates and advertisers. Since many affiliates are registered, it will be possible to develop advertisements to a wide range of target groups.
Features of afb
- Strong in the beauty genre and health foods
- Efforts against fraudulent affiliate advertising
- Enhanced support system
Rakuten Link Share
Rakuten LinkShare is an affiliate advertising service that uses proprietary AI technology. It features distribution technology using the latest AI and highly reliable reach using Rakuten data. It also has a test function that uses the latest technology, so you can verify the results in advance. It has a track record of introduction to major companies, so it can be said that it is a recommended service for companies that want to use a highly reliable service.
Features of Rakuten Link Share
- Delivery technology using the latest AI
- Reliable Reach
- State-of-the-art testing capabilities
ACCES TRADE
ACCES TRADE is an affiliate advertising service with over 20 years of experience. Since it specializes in performance-based advertising, it is possible to place effective advertisements and has the feature of low risk for advertisers. It is also attractive that support is substantial when problems occur. We have a variety of advertising genres such as finance, beauty, programming, etc., so you will be able to develop advertisements for a wide range of target groups.
Features of ACCES TRADE
- Over 20 years of experience
- Built-in AI chatbot
- various advertising genres
felmat
felmat is a private affiliate advertising service. The network is built only by scouts from the operating company or introductions from a limited number of people. Because it is a private type, it is characterized by many unique projects and high unit price projects. It can be said that it is an ASP that is easy to use even for small advertisers because it allows easy advertisement operation.
Features of felmat
- Private service
- Courteous support
- Management screen with rich functions
Rentracks
Rentracks is a private affiliate advertising service. Since affiliates are registered after strict screening, it is characterized by very few fraudulent applications and duplicate applications. The registered affiliates are likely to have SEO measures, so it can be said that there are high quality affiliates. We also make proposals such as improving the ability to attract customers and reducing costs, so it will be a reassuring ally for improving sales.
Features of Rentracks
- Private service
- quality affiliate
- Suggestions for increasing the ability to attract customers and reducing costs
summary
In this article, I explained the overview and mechanism of affiliate advertising, introduced the advantages and disadvantages of introduction, how to choose, and recommended affiliate advertising services. Among the Internet advertisements introduced by many companies, affiliate advertisements are highly cost-effective and have many merits to be used. By placing advertisements on affiliate advertising services that suit your company, you can expect to improve your sales. Please refer to the contents introduced here and choose the best service.
