• 95 per cent of brands say affiliate marketing is ‘very cost-effective’ or ‘quite cost effective’
• An average of 18 per cent of the online marketing budget is spent in the channel
• Travel companies using affiliate marketing most effectively
Affiliate marketing is revealed as the most cost effective channel for driving customer acquisition in research out today from E-consultancy. Sponsored by buy.at, the UK’s largest independent affiliate network, the comprehensive research into how UK brands use affiliate marketing found that the majority of UK advertisers (merchants) say that it is either ‘very cost-effective’ or ‘quite cost-effective’ for acquiring customers. 44 per cent of merchants named it as ‘very cost-effective’ for driving customer acquisition compared with 34 per cent for paid search and just seven per cent for display advertising.
Paid search is the second most cost-effective followed by email marketing with these marketing channels viewed as ‘very cost-effective’ or ‘quite cost-effective’ by 90% and 82% of merchants respectively. Affiliate marketing is also a highly effective channel for driving volume, with three quarters of respondents (73%) saying that it drives either ‘high volume’ or ‘medium volume’. However, the best channel for driving volume remains paid search, with more than half of respondents (53%) saying that PPC generates ‘high volume’ for their businesses. Email marketing is the third biggest driver of volume, with 65% saying this channel drives high or medium volume. Mobile Marketing is still very much in the embryonic stage, with only 6 per cent of merchants saying that it drives high or medium volume.
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