According to a recent study undertaken by affiliate marketing network Rakuten LinkShare and advisory and research firm Forrester, affiliate marketing is poised to fuel cross-border commerce.
Some of the interesting facts arising from the study include:
- Customers in the US who commence their purchase journey on an affiliate site are likely to spend more that the regular online shopper.
- Shoppers show the most loyalty to brands that display offers on multiple websites.
- Affiliate shoppers are the most sensitive demographic to expensive shipping costs.
With regards to the UK, the study showed that online shoppers expect merchants to compete for their business, with nearly a third stating they would return to an abandoned shopping basket if they received a subsequent discounted offer. It also brought to light the high proportion of shoppers who make online purchases form somewhere outside their own country. The UK has the highest percentage, with 75% purchasing cross-border within the last year.
The study helped to highlight the diversity in the preferred shopping practices displayed by different nationalities – apparently Canadian consumers lead the pack in their preference for loyalty programmes, with 37% claiming to make regular use of cashback and loyalty sites compared with an average of 22% in other countries.
Other intricacies shown by individual nationalities include the Japanese being the most frequent users of multi-brand and price comparison shopping sites.
Mark Haviland, managing director of Rakuten LinkShare said,“Shoppers in different markets are incentivised to purchase in different ways. To illustrate, for a UK affiliate manager looking to capitalise on cross-border commerce in the US, it’s not as simple as rolling out an existing affiliate programme and expecting results. Research suggests US shoppers are particularly loyal to brands that make offers on multiple websites, so affiliate programmes should be tailored to cater to this propensity.”
He continued to say the report displayed that e-commerce infrastructure must adapt to this new global market, and the idiosyncrasies therein. Shipping expenses, time, lack of local payment options, taxes, and other logistical issues are holding back the potential growth the global e-commerce model has. Halivand said, “With e-commerce expected to grow to $1.3 trillion by the end of this year, brands and advertisers are looking for advice and insights for how to plan and execute their global online strategies. We believe the study provides the industry with fresh data and key insights that highlight how performance marketing has become a leading strategy for online retailers entering new markets.”.Tags: affiliate, affiliate management, Affiliate Marketing, homepage