AliExpress affiliate revenue model – 5 tricks you didn’t know about

May 6, 2015 Blog
Over the last ten years affiliate marketing became an industry worth over millions dollars. The sophistication level improved, while competition became more severe. There is a diversity of models for generating revenue across the seemingly countless niches. With more programs, marketers, affiliate products, and tools, there’s a lot to the affiliate marketing business. AliExpress is one of the most promising affiliate programs of the year that is unfortunately underused due to the fact that it is a new program targeted at the economy class customers. There are some great tools for managing AliExpress mammoth catalogues such as Aliplugin and HelperAli. Equipped with Aliplugin you can create gigantic AliExpress affiliate webstores hassle-free. AliExpress affiliate revenue model is very similar to other e-tailer affiliate revenue models such as Amazon and eBay. We have done a thorough research and gathered 5 tricks you didn't know about AliExpress revenue model. These tricks are based on the basic elements of a successful AliExpress webstore. Revenue = Visitors x Click Rate x Conversion Rate x Commission x Cookie Lifespan

1. Visitors

To understand better AliExpress affiliate revenue model, one has to understand the target market that shops there. If you are creating an AliExpress affiliate webstore, you need to adjust the design, content and promotion techniques to attract the audience that dwells on AliExpress website. We've been keeping an eye on AliExpress marketplace since 2010 - long before it has become what it is now. The larger part of AliExpress customers mostly have the 'bargain' hunter mentality. That is basically one of those people who ritually seek for the cheapest deals everywhere or have a coupon-mania of some degree. Most of these people will use brick-and-mortar retail malls as 'showrooms' before getting on their PCs later on to find similar products for better prices. Since the biggest part of Aliexpess products comes from China, it is recommended to target developing markets more intensely than the well-off countries where people would not like to wait up to 2 months for the arrival of some cheap made-in-China product. Aliexpress is very popular in Brazil, Russia, Mexico, and Eastern Europe. With AliExpress Affiliate Program you can target two types of marketplaces which include the global marketplace that speaks English and cater the webstore accordingly and the regional marketplaces that speak dozens of different languages and dedicate the webstore to supplying products to developing markets. AliExpress gives an opportunity to localize the ecommerce platforms by developing websites in different languages and modify their design and layouts, which suits better the local cultures overseas. What does that mean for affiliates? Regional focus spells into development of webstores in different languages. Aliplugin is an AliExpress plugin that can take care of that by automatically translating product titles and importing thousands of affiliate links into affiliate webstores. Thanks to Aliplugin's new feature you can start building AliExpress affiliate sites for your different countries in your different languages. As already mentioned, AliExpress is extremely successful in Russia. Recently AliExpress merged forces with Tinkoff Bank in Russia to develop that increasingly popular mobile payments add-on: a co-branded loyalty program. Russian clients will get bonus points for sales generated using MasterCard credit and debit cards. The bonuses are said to be equal to five percent of purchase amount for AliExpress. Bonus points, in turn, can be spent through AliExpress. AliExpress also signed cooperation contracts with SPSR Express to improve delivery performance throughout the country, and these are developments that seem to be working; AliExpress is actually the number one e-commerce site in Russia as measured by total traffic and total number of orders. As clearly illustrated in last paragraph it’s crucial for success to try targeting those undeveloped places that might seem unlikely to produce good income. In fact there are potential opportunities waiting everywhere. Be courageous, fellow Affiliate Marketer!

2. Click Rate

Click-through rate (CTR) is an indicator of the percentage of clicks affiliate marketers receive out of total ad views. Ad views mean the number of times your ad is seen by potential customers. If your ad has a lot of views but no clicks, you will have a low CTR, which generally reduces the effectiveness of your affiliate marketing and impacts your affiliate earnings. What does an AliExpress affiliate marketer needs doing to improve Click Rate? Adjust the position of your linkable AliExpress product banners and titles by using a ready Wordpress plugin. See how your AliExpress webstore might look like if you use Aliplugin with several integrated themes that you can customize. It is clear, concise, pretty accurate to the original design of AliExpress website and improves greatly Click Rate.

3. Conversion Rate

Click Rate refers only to starting stage of the purchase. There is even more important rate that should be taken into account and improved: conversion rate. Conversion Rate is all about the actions that a potential customer does after being referred to the original website and measures the fact of a successful purchase. It seems that it is out of the control of an affiliate to improve Conversion Rate. But it is not true. AliExpress Affiliate marketers can boost conversion rate if they manage to create great content in blogs on a regular basis, do A/B testing of content, design and promotion techniques, focus on social media communication, etc. Content is a king here. It determines trust and future conversion rate. If you need great content you can do simple article translations or buy a real product and write a colorful and fascinating article by adding real-life photos of the product. The bottom line is try building trust from the people who can get easily disappointed by Chinese bargains by writing honest reviews so that the next time they have a hankering for cheap clothing or gadgets at rock bottom prices, they know exactly what they get. If the sizes for AliExpress are not matching the reality or are different in different countries, mention it, it can be a life-saving tip that can build a friendship and loyalty.

4. Commission

In terms of business efficiency, AliExpress Affiliate revenue model seems to be faring better due to the relatively simpler ease of operation. They have attractive offers this Christmas and other celebrations and offer free shipping unlike other websites. More than 50 billion of goods take part in AliExpress Affiliate program. The commission rates in AliExpress affiliate program varies from 4% to 50% depending on a specific product. Percentage is calculated based on the cost of the goods themselves, and does not cover delivery. To find the highest commission rates is pretty easy - you can use Aliplugin to sort the products by commission rate and popularity and add them to your website. We also prepared list of the products with the highest commission rates.

5. Cookie Lifespan

Cookies are stored in your website visitors’ browsers with each session of their activity on your Affiliate website. Each cookie has a lifetime for which it can be used. AliExpress affiliate cookie's lifespan is 30 days which is much longer a period than on other e-tailer affiliate programs. The longer a standard cookie lives, the higher chance you have that a person converts which spells into more income for you in the long haul.

Quick Wrap-up

AliExpress affiliate revenue model is a cost-per-action model which is more complex and sophisticated than CPM ("cost per thousand", M denotes “Mille”) and CPC ("Cost Per Click"), because it operates on more levels, i.e. a revenue equation has more parameters in it. However, the decided advantages of AliExpress are very high commissions that are hardly comparable with those measly fee rates that other affiliate programs offer, and enormous catalogues that allow creating magnificent webstores. In order to get a commission, an AliExpress Affiliate has to entice a person not only visit the website and click on the link, but also persuade that person to buy an actual product - only then can an Affiliate get a referral fee. This means that AliExpress affiliates have to put even more efforts into design and content of their websites than any other advertiser out there. If you need help, check out a unique AliExpress plugin - Aliplugin or get in touch with Alipartnership Support Team who will consult you for gratis.