What Is a SaaS Affiliate Network? An Actionable Explanation

Are you running an affiliate program and seeing some success but struggling to scale your efforts?

You know the potential of affiliate marketing but need faster, more efficient ways to recruit and manage partners.

You aim to generate steady revenue through cost-effective SaaS affiliate marketing and want to expand your reach to qualified affiliates.

If this sounds familiar, leveraging SaaS affiliate networks could be the solution.

This blog will cover everything you need to know about SaaS affiliate networks, including their key components, benefits, working mechanisms, and how SaaS companies use these platforms effectively.

Let’s dig deeper into the subject.

What is a SaaS affiliate network?

A SaaS affiliate network is a platform that connects SaaS companies with affiliate marketers to boost their affiliate marketing ROI. These networks provide B2B companies access to a pool of skilled affiliate marketers who promote their products in exchange for commissions. Additionally, they offer tools to track the performance of affiliates and programs, ensuring companies achieve the best possible results.

By leveraging affiliate networks, a SaaS company can streamline the challenges of running an affiliate program, such as recruiting, tracking, and managing affiliates, ultimately driving predictable Monthly Recurring Revenue (MRR). For affiliates, these networks boost the discovery of top SaaS affiliate marketing offers and facilitate partnerships with brands that align with their niche, maximizing their profit potential.

Key stakeholders in any affiliate network for SaaS

• Network operators: Network operators are crucial players in the affiliate network ecosystem. They provide the platform, tools, and resources for SaaS companies and affiliates to connect and collaborate effectively. Beyond facilitating connections, network operators offer ongoing support and ensure the smooth functioning of the network. This makes it easier for software companies to manage their affiliate programs and enables affiliates to find and engage in profitable partnerships.
• SaaS companies: SaaS companies setup and manage affiliate programs to expand their reach and acquire customers cost-effectively. These companies list their programs in an affiliate marketplace so that affiliates can join them and market their products in exchange for commissions.
• Affiliates: Affiliates are individuals or companies who promote a SaaS product in exchange for a commission. They are usually experts in their industry with a healthy follower base who market SaaS products through blog posts, YouTube videos, guest posts, social media posts, B2B communities, etc.
• Affiliate audience: Affiliate audience refers to the potential customers to whom affiliates market your products. The success of your SaaS affiliate program is dependent on how the audience reacts to the affiliates’ promotional efforts.

Some functionalities offered by affiliate networks for SaaS

SaaS affiliate networks can vary in functionality and range from simple to end-to-end. Simple affiliate networks offer basic affiliate management features, giving SaaS companies more control over their programs. In contrast, end-to-end affiliate networks handle everything from recruitment to payments, making the process more delegated.

Let us look at some of the functionalities that a SaaS affiliate network can offer you.

#1 Affiliate marketplace

Screenshot from the Reditus Marktplace.

An affiliate marketplace is a platform where SaaS companies list their affiliate programs for affiliates to join. Affiliates can browse the marketplace, access program details such as commission rates and cookie duration, and select the best SaaS affiliate programs based on their criteria.

For example, Reditus, one of the top SaaS affiliate platforms, offers a SaaS-focused affiliate program listing marketplace that attracts vetted affiliates eager to promote software products like yours.

#2 Affiliate recruitment workflows

A robust recruitment setup is essential to attract potential affiliates. A cumbersome application process can deter affiliates, so keeping it simple and relevant is important. Only ask for information such as promotional methods, experience, and basic details.

The Reditus Marketplace offers a seamless application process and an optional auto-accept feature to minimize friction in getting a new affiliate marketer into your program.

#3 Affiliate onboarding flow

Effective affiliate networks have a well-structured onboarding flow to help affiliates get started quickly. This process introduces affiliates to the platform and equips them with the tools to promote products immediately.

Onboarding resources typically include platform walkthroughs, unique affiliate links for promotion, terms and conditions, and marketing materials such as training videos, boilerplate copy, and FAQs.

#4 Analytics and performance monitoring

Advanced analytics is another capability offered by the SaaS affiliate networks. Metrics such as affiliate link clicks, link-driven signups, and click-to-signup conversion rates help identify and address friction points. Financial metrics like MRR and earnings per click measure the success of the affiliate marketing program.

#5 Fraud detection and compliance checks

An effective SaaS affiliate network adheres to legal regulations and employs robust fraud detection and compliance mechanisms to safeguard SaaS companies and affiliates. Platforms like Reditus ensure programs meet major consumer and data protection laws in targeted regions. These mechanisms include automatic monitoring to detect unusual patterns, regular compliance reviews, detailed performance analysis to identify potential fraud and secure payment processing. Transparency and comprehensive reporting further promote trust and accountability within the network.

Why should SaaS companies leverage affiliate benefits? Key advantages

Here are some benefits of adding an affiliate network to your marketing mix. For more practical insights, check out these B2B affiliate marketing examples that showcase effective program management.

Fast track partner recruitment

Affiliate networks eliminate the time-consuming tasks of affiliate recruitment, such as outreach and payment negotiation. You gain visibility among qualified affiliates relevant to your industry by listing your affiliate program on a network. With program details like commission rates and duration readily available, only interested affiliates apply. Some networks further expedite the recruitment process with auto-approval features for affiliates who meet your criteria.

Simplify affiliate program management

Affiliate networks streamline the management of affiliate programs by consolidating all activities in one place. They assist with recruiting affiliates, tracking their performance, and handling payments. Additionally, networks provide support to enhance your SaaS affiliate marketing efforts, such as dedicated account managers, fraud detection, and affiliate training.

Scale efficiently

Managing affiliate recruitment, onboarding, performance monitoring, and payments can be resource-intensive. Without automation, there’s a limit to how much you can scale your affiliate marketing efforts. Affiliate networks enable you to scale efficiently by delegating or automating these tasks, allowing you to expand your affiliate marketing efforts without additional time and resource investment.

How do you make your affiliate program appealing in any network?

Now that you have a foundational understanding of an affiliate network, here are some additional tips to ensure your affiliate program stands out and attracts more affiliates.

• Auto-approve qualified affiliates: Make your affiliate recruitment process as simple as possible. Asking affiliates to fill out multiple application forms, engage in back and forths and wait for approval drives them away. Instead, let them join on auto-pilot if they meet the eligibility criteria.
• Reward top performers: Rewarding top performers is the best way to keep the competition alive and motivate affiliates to perform better. Some incentives you can offer include higher commissions for affiliates who consistently outperform, early access to new features, and exclusive marketing collaterals.
• Increase cookie duration: Cookie duration refers to the window during which your affiliate link remains active. Increasing this duration from the usual 30-day period to 60 or 90 days attracts affiliates as it increases their chances of getting a referral. This is especially useful for SaaS affiliates promoting products with longer sales cycles.
• Feature success stories of your affiliate partners: Showcase success stories of your affiliate partners who have made significant money through your program. Highlighting these stories can attract more affiliates by demonstrating your program's potential earnings and effectiveness.

What are some common affiliate network models?

Let’s dive a bit deeper into different affiliate revenue models and their pros and cons so that you can find the right one for your business.

1. Pay-per-sale affiliate network model

In a pay-per-sale model, affiliates get paid only when their referrals become paying customers. This model is ideal for SaaS companies with an established market presence looking to expand into new markets. For example, Fireflies.ai offers a 30% recurring commission per sale for a year.

Pros:

• Higher returns: You only pay for actual customers, reducing the risk and ensuring higher returns.
• Scalable model: With a clear tracking system, scaling is straightforward by recruiting more affiliates and tracking their results.

Cons:

• Dependent on affiliate reputation: The model relies heavily on affiliates' reputation and promotional methods, which can impact your brand's image.

2. Pay-per-lead affiliate network model

In this model, affiliates get paid when new leads sign up through their affiliate links. It works best for complex SaaS products that require educating prospects. For example, Freshbooks pays $10 per free trial signup in its affiliate program.

Pros:

• Lower risks: Easier to get signups for free trials, leading to more qualified leads and higher paying customer chances.
• Predictable cost: Fixed payments per lead help you stay within budget.

Cons:

• Risks of affiliate fraud: Affiliates may drive fake leads to earn commissions, so monitoring is essential. Platforms like Reditus have mechanisms to detect and prevent such fraud.

3. Pay-per-click affiliate network model

In the pay-per-click model, affiliates get paid for the clicks they generate on your website. This model aims to drive traffic and brand awareness, making it suitable for new SaaS products.

Pros:

• Immediate results: Quick traffic generation is easier than generating leads or sales.
• Easy to track: Click tracking and attribution are straightforward, simplifying ROI measurement.

Cons:

• Low-quality leads: Focus on traffic might lead to poor-quality leads, affecting conversion rates.

4. Tiered affiliate network model

Screenshot of Semrush affiliate program revenue tiers illustration.

In a tiered model, the affiliate commission increases once a certain referral threshold is met. For instance, Semrush pays $200 for 0-4 sales per quarter, $250 for 5-19 sales, $300 for 20-49 sales, and so on. This model is suitable for competitive SaaS products to motivate affiliates.

Pros:

• Motivates reputable affiliates: Increased commissions incentivize affiliates to generate more sales.
• Fosters loyalty: Higher commissions demonstrate value and encourage long-term partnerships. Potential partners often consider such amongst the highest-paying affiliate programs if the tiers are planned well.

Cons:

• Difficulty in tracking and attribution: Tracking sales in a tiered model can be challenging without specialized tools, making affiliate networks essential.

How does Reditus empower B2B SaaS affiliate programs? The marketplace and success stories

Screenshot from Reditus website.

Reditus is a comprehensive SaaS affiliate management platform designed to optimize and scale affiliate programs for B2B SaaS companies. With a dedicated marketplace and robust recruitment features, Reditus simplifies affiliate program management, enhances visibility, and accelerates growth.

This section will explore the power of the Reditus Marketplace, followed by success stories from companies that have used this powerful affiliate network to improve their programs.

Key listing features of the Reditus Marketplace

• Industry-specific filtering: Allows programs to be filtered by industry or commission details, enabling affiliates to find your program based on their specific interests or desired rewards. This improves the match quality between your SaaS product and potential affiliates.
• Auto-accept feature: This feature automates the onboarding process for new affiliates, eliminating manual review and accelerating the growth of your affiliate network.
• Program search visibility: Enhances your program’s findability within the marketplace, making it easier for the right affiliates to discover and connect with your affiliate marketing team.

Key active recruitment capabilities

This feature enhances how you connect with potential partners by building on the foundation of attracting affiliates through listing on the marketplace. You can recruit vetted affiliate profiles proactively directly from your dashboard, making the process seamless.

• Pre-vetted talent pool: Access to over 6,000+ vetted SaaS affiliates, reducing the time spent searching for quality partners.
• Transparent offerings: Partner profiles include audience demographics and pricing packages, allowing for swift, informed decisions about potential partnerships.
• Content samples viewing: Gain deeper insights into potential affiliates' content quality and relevance before engagement.
• Streamlined recruitment: Simplifies navigating affiliate profiles by status, improving the efficiency of the recruitment process.

Now, let's look at two success stories powered by Reditus.

Expandi: Growing beyond their internal network with Reditus

Expandi, a leading LinkedIn automation tool, transformed its SaaS affiliate marketing strategy with the help of Reditus. Initially, Expandi's efforts were confined to its existing network. By listing on the Reditus Marketplace, Expandi unlocked new growth channels and expanded its reach beyond its immediate circle.

Key results:

• Expanded affiliate base
• Increased program visibility
• Established quality partnerships

We started with Reditus to see the effect of the marketplace and were happily surprised with the results. Running Reditus parallel to our existing program allowed us to test the platform without needing to migrate our affiliates right away.

Stefan Smulders, CEO at Expandi.

Potion: Turning their user network into affiliate partners for greater efficiency and effectiveness

Potion, a cutting-edge platform for auto-generating personalized videos for sales professionals, saw a remarkable revenue increase by leveraging Reditus. Before using Reditus, Potion had enthusiastic users referring to their tool but no system to track referrals or reward users. After choosing Reditus for its fair pricing and B2B SaaS focus, Potion set up its affiliate program in hours, leading to impressive results.

Key results:

• Generated $30k in total affiliate revenue
• Recruited 80+ affiliates
• Achieved $8k MRR via affiliates within three months

Implementing Reditus gave us insights into performance, which led us to double down on our affiliate program.

Kanad Bahalkar, Founder at Potion.

Closing remarks: Scale your SaaS affiliate program with affiliate networks

SaaS affiliate networks offer a simplified and efficient way to manage and scale affiliate programs. By leveraging these networks, SaaS companies can delegate much of the administrative work of running an affiliate program. This includes recruiting affiliates, tracking performance, automating payments, and ensuring compliance.

With most of the operational tasks handled by the network, companies only need to add their program to the platform and let the network do the heavy lifting. This approach saves time and resources and enhances the efficiency and effectiveness of affiliate marketing efforts.

Reditus is a comprehensive SaaS affiliate management platform that offers an end-to-end solution for B2B SaaS companies.

From program management features to a dedicated marketplace, Reditus simplifies the entire process of running an affiliate program. By leveraging Reditus, you can enhance your program’s visibility, recruit quality affiliates, and drive significant revenue growth.

In summary, Reditus and other SaaS affiliate networks offer invaluable tools and support for B2B SaaS companies looking to scale their affiliate programs. These networks allow companies to expand their reach, optimize their marketing efforts, and drive substantial revenue growth, making them an essential component of any successful SaaS affiliate marketing strategy.

Meet the author

Joran Hofman

Back in 2020 I was an affiliate for 80+ SaaS tools and I was generating an average of 30k in organic visits each month with my site. Due to the issues I experienced with the current affiliate management software tools, it never resulted in the passive income I was hoping for. Many clunky affiliate management tools lost me probably more than $20,000+ in affiliate revenue. So I decided to build my own software with a high focus on the affiliates, as in the end, they generate more money for SaaS companies.