Influencer marketing is now very popular, so much so that when you hear about digital marketing, what follows next is influencer marketing. These days, there are millions of people logging into various social media platforms for different reasons, and this gives you an unprecedented opportunity to reach out to a larger audience.
So what about affiliate marketing? Is it still as popular as it used to be? The answer would be yes; it has been around for quite some time now and is still as effective as ever, although not as extensively discussed as influencer marketing.
What is Influencer Marketing?
Influencer marketing is a perfect blend of traditional and contemporary marketing strategies. It utilises the concept of endorsements from influencers or celebrities to produce a content-driven strategy aimed at driving sales, building reputation, maintaining valuable relationships and so on.
While many may think influencer marketing is about celebrities, it is so much more than that. It is a relationship or collaboration between companies and influencers, who may or may not be celebrities.
What is Affiliate Marketing?
Affiliate marketing is a strategy employed in a business where you can advertise and sell products and services for other brands and companies and then earn a commission in return for your assistance. You have to choose a product and recommend it to others; you can either sell it directly or refer the customer using the brand’s link or contact information.
Similarities Between Influencer Marketing VS Affiliate Marketing
Is influencer marketing the same as affiliate marketing?
While they are both forms of digital marketing, they are not exactly the same. So first, let’s take a look at the similarities between them.
They Both Need Digital Content Creators
Influencer marketing and affiliate marketing both need collaborations with digital content creators, such as YouTubers, bloggers, Tiktokers, Instagram personalities and so on. These digital content creators have a target audience that matches yours, and they help you create engaging content for their audience while simultaneously promoting your brand to them.
They Rely on Trust to Drive Sales and Brand Growth
These two digital marketing strategies require authenticity and proof, so over time, creators earn the trust of their followers by producing authentic, reliable and engaging content for their audiences. When these creators promote a brand or recommend a product, their followers trust their judgement and are prompted to also trust the brand.
Both Don’t Require any Experience With Your Product
One interesting thing you must know is that affiliate marketers and influencers do not necessarily need to have experience with your products before they can promote them, it is strictly business, and the main goal is to drive sales.
Both Influencer and Affiliate Marketing can be used Simultaneously
Have you ever wondered if an affiliate marketer could also be an influencer? Yes, it can be done at the same time by the same person. A creator can partner with some brands to promote their campaigns and still add affiliate links of other brands on the same platform.
Difference Between Influencer Marketing VS Affiliate Marketing
Influencer and affiliate marketing may be similar in many ways, including that they both involve creator commissions. Still, it doesn’t mean that they have the same compensation models, and they both serve different purposes in business frequently.
Affiliate marketing is solely used to drive traffic and increase sales. Brands or businesses do not pay affiliate marketers for brand awareness; they only pay for sales made. However, influencer marketers, on the other hand, focuses on content creation for increased brand awareness and promotions. So influencers receive commissions, gifts, or flat rates as payment.
Aside from the different modes of payment, there are still many differences between influencer marketing and affiliate marketing, so here is a concise table that shows the key differences between the two marketing techniques.
|Key Differences||Influencer Marketing||Affiliate Marketing|
|Definition.||Collaborate with influencers or celebrities on social platforms to promote your brands to their followers.||Individuals, blogs, companies, etc., that promote your products and services on their channels to their audience and receive a commission when they make sales.|
|Aim.||Brand awareness.||Revenue growth and lead generation.|
|Channels or platforms.||Social media platforms like Instagram, Facebook, Tiktok, etc.||Sites that produce content relating to your brand and where your target audience spends their time online.|
|Who you need.||Media personalities, vloggers, celebrities, and industry leaders.||Companies, blogs, publishers, and individual affiliates.|
|Measurements of ROI and engagements.||Website traffic, followers gains, social media engagements (shares, comments, likes, follows, etc.), email sign-up, google analytics, etc.||Site traffic, sales, volume, average order value, paid subscriptions, email registrations, conversions rate, cost per acquisition, customer lifetime value, new vs returning customers, etc.|
|Cost.||More expensive but depends on the influencer.||A fixed price for all affiliates, and the price depends on the products or services sold.|
|Mode of payment.||Flat fees, gifts, free products, payment per post, etc.||Commission per product or service sold.|
Which is Better?
Which is better, influencer marketing vs affiliate marketing should depend on your needs. Which are your goals, budget and your target audience?
Suppose you aim to promote specific products or get your targeted audience excited about an upcoming event, campaign or launch in your company. In that case, you should go for influencer marketing. Because influencers have so much influence on their audience or followers, they always bring them updates, and the followers have come to trust them over time. So influencers are the best option to drive such awareness to your brand.
On the other hand, if your goal is to promote products, services, discounts, special offers and more through various means aside from social media, it will be best to go for affiliate marketers. You can use channels such as blogs, publishers, and companies with content that suit your brand. Affiliate marketers can also find individuals interested in making money and know exactly what their audience needs to hear to be convinced.
Your budget is also essential to consider when choosing between influencer marketing and affiliate marketing. So how much are you willing to spend? A larger budget will get a collaboration with famous influencers who can get you connected to a larger audience and give your brand as much exposure as possible.
Influencer marketing is more expensive than affiliate marketing, no matter how you put it. However, you can still target micro-influencers who may not have millions of followers but still have a very engaging audience, no matter the size.
However, affiliate marketing would be a more suitable option if you’d rather see results before spending money. Here you only pay affiliates a commission when they make sales, and you can track your expenditure in real time.
What you should choose also depends significantly on your target audience and where they spend more time. It would be best if you got to know your audience and what works best for them.
If you are looking to reach a certain targeted audience, you should use affiliate marketing. Still, if you need to get a larger audience, influencer marketing is best suited. For example, if you launch a new product or feature that specific users will be receptive to, you should use affiliate marketing to reach out to such people. Still, if you need to reach a general audience, you can use influencer marketing.
Pros and Cons of Influencer Marketing VS Affiliate Marketing
If you haven’t decided on what you want yet or are still confused about which is better between affiliate and influencer marketing, here are their pros and cons, so you will see what you stand to gain from them and what risks they pose to your business.
|Increased brand awareness.||Without the right tools, it may be challenging to track results.|
|Content creation can be repurposed for other marketing strategies.||Involves a higher risk.|
|Influencers can easily help you build trust and credibility.||Choosing the wrong influencer can ruin your business.|
|You can now enjoy the ability to reach a larger targeted audience.||Properly vetting influencers takes time and energy.|
|You can easily expand your affiliate network.||Limited control over the contents of affiliate marketers.|
|It is easy to start.||Some affiliate marketers use questionable tactics like false advertising, spamming, etc.|
|Requires $0 upfront to start the program||Results are inconsistent.|
|Extremely flexible programs.||Prone to fraud like fake email lists, performing transactions with stolen information, bots or scripts, etc.|
So here you have it, a detailed Comparision of influencer marketing vs affiliate marketing. It has been a fascinating guide. Hopefully, you now know the differences and similarities between the two most popular digital marketing techniques and which is best for your business.
Influencer marketing and affiliate marketing are both excellent, profitable and effective for businesses. However, we cannot conclude that one is better than the other because they both have different purposes and can be used simultaneously. So depending on what you need and can afford, you should enjoy the benefits of these marketing strategies and watch your business grow tremendously.