Affiliate Marketing Drawbacks
Affiliate Marketing is basically a pact between an online merchant and an affiliate, whereby the merchant gives commission to the affiliate for generating sales, bringing customers and leads to the merchant’s site. However, just like any other program, affiliate marketing program too has its pros and cons, which causes one to reconsider before going in for any affiliate marketing program.
Some important disadvantages that people need to consider before going in for an affiliate marketing program are:
◊ Because of illegal or misleading practices by the affiliates, most often merchant’s have to face heavy potential customer loss due to customer complaints. Also, a large number of affiliate facilitators, can cause the merchants to suffer due to high commission and maintenance costs.
◊ It is not always the affiliates, who are at a disadvantage. Often, there are unscrupulous merchants who may just close down without informing their affiliates and without paying them their due commissions.
◊ Some other forms of illegal practises which the advertisers indulge into are, false advertising, unlawful use of trade names, false branding, spamming, etc.
◊ One of the major disadvantage faced by most affiliates is that, the commission they are entitled to receive may often take a longer time to reach them.
◊ Another commonly faced disadvantage is that, you cannot totally rely on a commission as a stable source of income as it varies frequently.
◊ Another disadvantage that can crop up is that, the hijackers may hijack the affiliate links and get paid for the commission instead of genuine recipients.