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These studies suggest that affiliate programs can increase customer retention, lifetime value, and online sales, while reducing customer acquisition costs and advertising waste, but their impact on profit margins is not significant.
19 papers analyzed
Affiliate marketing has become a pivotal strategy in the digital business landscape, offering a performance-based approach where businesses reward affiliates for driving traffic and sales. This method has shown significant influence on sales, customer acquisition, and overall business profitability. This synthesis explores the influence and return on investment (ROI) of affiliate programs in sales, drawing insights from multiple research studies.
Impact on Sales and Customer Acquisition:
Customer Acquisition Cost (CAC) and Customer Loyalty:
Return on Investment (ROI):
Search Engine Rankings:
Behavioral Intention and Adoption:
Tracking and Performance Measurement:
Affiliate marketing is a powerful tool for driving sales and customer acquisition in the digital business era. While it may increase customer acquisition costs due to affiliate commissions, the benefits of enhanced customer loyalty, improved search engine rankings, and higher ROI make it a valuable strategy. Effective tracking and performance measurement further enhance its efficacy, making affiliate marketing a critical component of modern e-commerce strategies.
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