Affiliate Networks 101
The Mobile Affiliate Networks section contains 70+ affiliate networks and Cost-Per-Action platforms that are primarily focused on mobile and app-related offers advertising. These companies support multiple commission types, payment method and terms, as well as types of offers.
An intermediary between publishers (affiliates) and merchant affiliate programs.
Types of Affiliate Network
There are two major types of affiliate networks, with the first type publishers (or affiliates) who are paid a certain share of the revenue generated by them for merchants and the second one involves paying publishers a fee, every time a visitor to a publisher’s website or a publisher’s mobile app user completes a specific action, commonly called CPA (stands for Call-Per-Action).
The affiliate program industry landscape is presented with a broad range of players, from big companies, such as Commission Junction, Tradedoubler to specialists that are focused on a specific marketing niche, such as mobile and apps. Thanks to the mobile app ecosystem exponential growth for the last 8+ years, the latter became the most dynamic and lucrative industry for affiliates.
The other differentiator for affiliate programs is a business model. On today’s affiliate networks market there are several major models, such as:
- PPS (pay-per-sale) – with this model publishers or affiliates are paid for each sale they generate for advertisers
- CPA (pay-per-action) – according to this model affiliates are paid for a specific action that
- CPC (pay-per-click) – this model involves affiliates get paid for each click on an ad that leads to an advertiser product page
- CPM (pay-per-mile, where a mile stands for 1,000 ad views) – the oldest business model that entails affiliates being paid for driving views for advertisers ads in their online inventory, such as a website or a mobile app.
Types of Affiliate Offers
The affiliate market has been instrumental for selling of many kinds of products and services and in particular helped businesses to gain new leads, offer coupons, get more subscribers and more. With the advance of mobile, new types of offers have been introduced, the most common are mobile content, mobile subscription, mobile games and app installs. Let’s take a closer look at each of these:
- Mobile content – with this type of offer affiliates help merchants to increase their sales with mobile channel. A few examples of popular digital content that affiliates help to sell are music, movies, books.
- Mobile subscription – businesses that operate on a subscription model are always on a hunt to increase their subscribers number to compensate their churn and to increase their revenue. Good examples of such offer would be music streaming services, TV, online radio, digital magazines.
- App Installs – with a wide range of affiliate programs that cover various demographics, app developers have a robust channel to acquire more app installs and build their app user base.
- Mobile games – games on mobile stand out of the rest mobile apps because of the significance mobile games have gained over the years. The competition is extremely high because the bulk of the industry revenue have been generated with a small number of players. In this environment affiliate programs are vital for game developers to reach more user base than marketing on the App Store / Google Play marketplace allows them to.
Affiliate Marketing Verticals
In recent years among many business verticals the following ones have experienced the most traction with an affiliate marketing:
- Nutra – this is a broad vertical that encompasses health, dietary supplements, weight loss, skin products and more. Companies that develop and sell products for this vertical used affiliate marketing before the Internet and with its advance they naturally adopted this new fast-developing channel.
- Gambling – this vertical covers sport bets and casino games
- Travel – for this vertical affiliate marketing allows to generate more hotel bookings, holiday vacation plans, transportation tickets and more.
- Dating – dating sites are in constant need for more subscribers and with affiliates help they aim to sell more of their subscription service to monetize their user base.
- Mainstream VOD – video on demand services are one of the most important distribution channels for movie and TV show makers. With this model they can serve so-called cord-cutters, people who’ve stopped watching regular TV and prefer to watch video content when they have time for it.
- eCommerce – this vertical covers a very broad range of companies, starting from giants such as Amazon to small eCommerce businesses that specializes on local markets or specific products.
- Finance – with this vertical affiliate marketers are involved in selling currency trading services such as Forex, insurance plans and loans.
Affiliate Marketing Payment Terms
One of the key factors for an affiliate is payment terms or how frequently he’s paid for revenue he generates for a merchant via an affiliate program. There are several industry-accepted payment terms such as Weekly, Semi-weekly, Monthly and Daily. Quote often these payment terms are referred as Net7, Net14, Net30.
Affiliate Payment Methods
Payment transaction gateways provide the technical infrastructure for the affiliate marketing industry. There is a number of ways affiliates get paid and the major ones are:
- Bank / Wire Transfer – the most popular method among affiliates but compared to other methods it’s slower, requires more manual actions to be made by affiliates.
- PayPal – the most widely used payment system globally, it offers affiliates a quick and convenient way of accepting payments.
- Payoneer – it covers more than 200 countries and over 100 currencies worldwide. It provides a good PayPay alternative to affiliates who need to transact large payments and conveniencee of withdrawing commissions they’ve earned from any MasterCard branded ATMs across the world.
- WebMoney – a Russia-based online payment solution and hence primarily used by affiliates located in Russia.