This profitable Company is recognized as one of the most successful Affiliate Marketing Networks in the industry. Our client is recognized as a Top 10 Affiliate Marketing network worldwide (AffStat, Blue Book) whose proprietary infrastructure provides the tracking technology and gateway for online m…
This profitable Company is recognized as one of the most successful Affiliate Marketing Networks in the industry. Our client is recognized as a Top 10 Affiliate Marketing network worldwide (AffStat, Blue Book) whose proprietary infrastructure provides the tracking technology and gateway for online merchants to increase sales on a pay-for-performance basis via strategic partnerships with affiliates.
INDUSTRY BACKGROUND: Amazon’s launch of their Associate Program in 1996 ignited the appeal and subsequent growth of the Affiliate Marketing industry. Today, according to Forrester Consulting, the U.S. affiliate marketing industry is expected to reach $6.8 billion by 2020, with more than 80% of brands utilizing this way of marketing.
Affiliate Marketing represents a cost-effective, measurable online advertising solution whereby online retailers (merchants/brands) reward commissions to partners (affiliates/publishers) for influencing a desired user action (e.g., purchase) through the affiliate’s innovative digital marketing promotion and techniques. Networks provide a 3rd Party tracking and payment platform to automate this process for the Merchants who pay to be in the network and the Affiliates who join free and choose what Merchants they want to promote and receive commissions from. It is the Network that unites and facilitates companies looking to advertise through third party sites with affiliates.
MODEL: The Company’s Merchants pay a fee to belong to the Network. The Merchant members in turn pay affiliates a revenue share for referred online customer actions and pay the Company 20% to 30% of monies paid to affiliates. This is called Performance Marketing, a win-win partnership between Merchants and Affiliates worldwide.
POTENTIAL IN ACQUIRING TOP AFFILIATES:
Back in 2014, the Rakuten affiliate network, paid $1 billion in cash for Ebates, a “super affiliate”. This meant that its 2,500 participating stores pay a commission, then that is shared with consumers as Cash Back and Rakuten gets a cut.
Affiliate Marketers leverage:
Social media
Search engine marketing
Content monetization
Loyalty Programs
Coupon Networks
EBITDA = $2mm+
Team (1)
Sectors Seaport Investments serves:
Business Services
Retail
Technology
Distribution
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