August 3, 2023
How You Can Save Sales in an Economic Downturn
It’s no secret that the global economy has been up in the air for a while now with tensions between countries and trade disputes creating issues for thousands of businesses with outsourced production. These issues on a global scale are rippling down to create instability in regional economies and hurting retail stats across the board. A report by McKinsey shows that 66% of shoppers have shifted their purchase preferences, making e-commerce their new norm. But their trust is dwindling in light of recent uncertainties. Supply chain issues and the resulting delays leave 42% of consumers worried about the quality and timeliness of their online purchases which is pushing more shoppers back to physical retailers.
A study by the International Monetary Fund shows that the recent dips in global economic growth have resulted in reduced consumer confidence and discretionary spending. Basically, people are clutching their pennies right now. The vast majority of consumers are being more cautious about their spending and opting to save, not splurge. E-commerce brands thrive when the money is flowing. When wealth is high people are happy to spend and try new brands and products. With an unstable market, the opposite holds true. Consumers prioritize their essential purchases and product pricing rises in their list of considerations. This is a tough time for new brands and companies without a loyal, sustainable customer base.
So, how are e-commerce brands combatting this decline?
We’re glad you asked. To fight off the detrimental impact of the downturned economy and tightened consumer spending online retailers are leaning back on their partners as support throughout the tough times. Partnership, or affiliate, marketing is when a brand works with third-party publishers to promote their products. The general effect of this is heightened brand awareness, bolstered consumer confidence, and increased sales, all with an efficient and fluid commission structure. Unlike other marketing methods, affiliate marketing is easy to expand when the money is flowing and turn down when you need to be more conscious of spending. You can easily change your commission rates and promotion schedules to fit your brand’s budget and needs in real time as the market fluctuates.
A study by Forrester shows that 83% of brands that engaged in effective partnerships reported a significant increase in their online sales during challenging economic times. Collaborating with affiliates and niche publishers can be your secret weapon while navigating regional instability to achieve remarkable growth despite the insurmountable odds.
Here’s where we come in!
In the search for tools to help revenue resilience and growth, Mosaic emerges as the guiding light for e-commerce brands. We’re innovating what it means to be an expert affiliate marketer by giving brands the power to achieve scalable success with their own two hands. We bring over a decade of expertise in partnerships marketing and data collection to the table and produce customized recommendations to help you build out a robust and profitable portfolio of both large scale affiliates and niche publishers to unlock new avenues for acquisition and revenue generation.
Our network of over 50K high-yielding partners makes us one of the largest DIY affiliate marketing CRMs out there and our advanced recruitment and reporting tools make creating your own program easier than ever. With Mosaic you can forge alliances with the strongest affiliates driving sales in your vertical, capitalizing on their extensive reach and loyal audiences. Rakuten Advertising studies show that 72% of consumers base their purchase decisions on online recommendations, underscoring the immense potential for partnerships programs to drive sustainable growth for brands in good times and bad times.
Using an affiliate marketing CRM like Mosaic will help you leverage precise targeting by identifying niche publishers that cater directly to your target audience, providing an unparalleled level of relevance and engagement compared to traditional marketing efforts. We naturally have a higher chance of engaging with content that aligns with our interests and values, especially if it comes from a trusted source like a website or influencer we know and follow. With using Mosaic to develop your partnerships program, you can create meaningful connections with your audience through these publishers, securing long-term customer loyalty and enhancing your competitive advantage amidst regional disruptions in the flow of e-commerce.
Mosaic’s data-driven approach is a complete game-changer in today’s market. With real-time analytics and performance metrics you can make informed decisions to optimize your partnerships to have the maximum impact. Mosaic empowers brands to stay agile, adjust strategies, and respond effectively to changing market dynamics. In a world of economic instability strategic alliances will be your guiding light through dark times. Let Mosaic catapult your brand to new heights by putting the power for growth in your own hands connecting you with influential partners and data driven insights to help your e-commerce brand achieve success in the affiliate channel.