What are Sub-Affiliate Networks?
Sub-affiliate networks are a growing part of affiliate marketing. Learn how they work, their advantages and challenges.
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Sjoerd CopierTable of Contents
Introduction
Affiliate marketing is constantly changing, and one interesting development is the rise of sub-affiliate networks. Acting as a middle layer between merchants and publishers, these networks bring both benefits and challenges for everyone involved. In this post, we’ll dive into what sub-affiliate networks are all about, looking closely at how they impact publishers, merchants and premium networks in the affiliate space.
What are Sub-Affiliate Networks?
Sub-affiliate networks are platforms that aggregate offers from multiple affiliate networks and merchants, providing publishers with a centralized location to access a wide range of affiliate programs. These networks essentially act as "middlemen" in the affiliate marketing chain, connecting publishers to merchants through an additional layer of partnership.
To use an analogy, imagine a sub-affiliate as a guest arriving at a party through a friend's invitation. The main affiliate is diligently promoting products or services for a brand, and the sub-affiliate is like a friend eager to pitch in, becoming part of the promotional effort.
Sub-affiliate networks maintain partnerships with a wide array of affiliates, including content creators, deal sites, coupon providers, and loyalty programs. Some of the top sub-affiliate networks include Skimbit, Ltd (Skimlinks), Sovrn (formerly VigLink), and Flexoffers.com.
Affiliate Link Redirection
Sometimes, even standard or premium affiliate networks use programs from other networks, which can lead to your affiliate link redirecting through a different network. To prevent this or confirm the path your links are following, try our free tool, Affiliate Link Checker. It’s designed to help you see if an affiliate link takes a detour through another network.
We recommend keeping redirects to one level at most. Adding more layers can delay payouts, lead to tracking issues, and, in some cases, cause problems if a network in the chain restricts multiple layers. Imagine a redirect chain involving four networks, and one of them experiences connection issues or downtime. This situation can result in lost commissions and an unknown cause of revenue loss. To mitigate this, we provide uptime reports for each network, so you can assess their stability before adding them to your redirect chain. Visit our affiliate network uptime tool for details.
You can also use the redirect chain validator directly from your dashboard, allowing you to quickly check for any redirects before promoting them. This feature is available exclusively for paid users and is designed to help you ensure that your redirect chains are optimized and free from disruptions that might impact your earnings.
How Sub-Affiliate Networks Work
Sub-affiliate networks bring in individuals or groups as affiliates under their umbrella, known as sub-affiliates. The network earns a share of the commissions made by these sub-affiliates.
When a sub-affiliate makes a sale, the merchant pays the sub-affiliate network through their preferred platform (e.g., AvantLink). The network then passes a portion of this payment to the sub-affiliate. Brands only make one payment in this setup.
Fees for sub-affiliate networks generally range from 10 to 30% of the commission earned. Promoting a campaign directly through the main network can sometimes be a quick win.
Try our free Affiliate Earnings Calculator to see how much a 30% boost could add to your revenue.
Pros and Cons
Pros
- Access to a wide variety of offers
- Simplified management for publishers
- Opportunity for niche markets
- Advanced tracking and reporting tools
- Quick scaling of affiliate programs for merchants
Cons
- Reduced transparency for merchants
- Potential for fraud and abuse
- Lower commissions for individual publishers
- Compliance and quality control challenges
Publisher Perspective
For publishers, sub-affiliate networks offer a streamlined approach to affiliate marketing. They provide access to a vast array of merchant programs through a single platform, simplifying the process of finding and joining relevant programs. This can be particularly beneficial for smaller publishers or those new to affiliate marketing, as it reduces the barrier to entry and provides a one-stop-shop for affiliate opportunities.
Many publishers, especially editors and content creators, prefer working with sub-affiliate networks because they're familiar with the dashboard, can easily load links, and can search for merchants that sell specific brands while comparing commission rates, EPC (Earnings Per Click), and other metrics.
However, publishers should be aware that working through a sub-affiliate network may result in lower commission rates, as the network takes a cut of the earnings. Additionally, the increased competition within these networks can make it challenging to stand out and earn significant revenue.
Merchant Perspective
For merchants, the decision to work with sub-affiliate networks is more complex. On one hand, these networks can significantly expand a merchant's reach, connecting them with a broader base of publishers and potentially increasing sales. This can be especially valuable for smaller merchants or those looking to quickly scale their affiliate programs.
Working with a sub-affiliate network casts a larger net of potential partnerships, helping to scale programs quickly and cost-effectively. Because these networks maintain relationships with top content creators and media publications, they can drive significant traffic and revenue.
On the other hand, merchants may have concerns about brand control and transparency. When working through a sub-affiliate network, merchants have less direct control over who is promoting their products and how they are being marketed. This can lead to potential compliance issues and make it more difficult to maintain brand integrity.
Summary
Sub-affiliate networks represent a double-edged sword in the affiliate marketing landscape. While they offer significant opportunities for expansion and simplified management, they also present challenges in terms of transparency, control, and fair compensation. Both publishers and merchants must carefully weigh the pros and cons before engaging with sub-affiliate networks, considering their specific goals, resources, and risk tolerance.
As the affiliate marketing industry continues to evolve, it's likely that sub-affiliate networks will play an increasingly important role. By addressing the current challenges and leveraging the benefits, these networks have the potential to create more efficient and effective affiliate marketing ecosystems for all parties involved.