Have you ever been offered a credit card with the name of another service?
When JP Morgan Chase Bank partnered with Amazon.com to offer an Amazon.com Rewards Visa Card, they realized that the online shopping market was expanding.
What better way to serve online shoppers than by partnering with the largest online retailer in the world?
This partnership, also known as an affinity marketing campaign, allowed these two companies to link their brands in a mutually beneficial relationship.
These campaigns are win-win scenarios for both parties.
When a business partner with an organization provides goods in exchange for access to a new market, both parties benefit.
Through its affinity partnership, Chase Bank increases its general customer base, while Amazon offers incentives to those who use the credit card with their service, which increases the number of people who probably buy Amazon products.
Who uses affinity marketing campaigns?
There are two parties involved in an affinity marketing campaign: the affinity group and the business that provides the group with a new product or service.
Affinity groups typically include:
- Membership organizations or associations
- Non-profit organizations and charities.
- Companies that deal with specific demographic data.
Companies that are associated with affinity groups differ widely in size, scope and product offered.
Companies that participate in affinity partnerships can be as small as a coffee shop that sells cakes from a local bakery, or as large as credit card companies that wear the logo of sports teams on their cards to attract fans.
Some other business examples typically involved in affinity marketing campaigns include:
- Large clothing stores
- Real estate companies
- Gas stations
Why use affinity marketing?
- Establish policies and procedures for client recommendation.
- Develop ambassadors within your community to promote your services
- Negotiate mutually beneficial marketing relationships
- Request endorsements from associations with many members.
- Group of marketing effort to individual niches.
- Cross sale of products to existing members.
What type of clients are actually marketed?
The greatest strength of an affinity marketing campaign could be how customizable it is.
There are hundreds of affinity groups and target markets for companies to present themselves, and with the right campaign, these strategies are largely successful.
Members of organizations are always looking for more incentives to stay in an organization, which makes them one of the most successful affinity groups to which campaigns are directed.
For example, AARP is the largest organization for older adults in the United States, a target population of The Home Depot.
When Home Depot marketers realized that the best way to reach this group of older adults was to get help from AARP, they associated with the affinity association.
AARP representatives understood the potential benefits of partnering with The Home Depot, such as agreements to offer current members and increased brand advertising in the store.
Through the AARP newsletters and updates, the association’s representatives announced the new promotions and benefits that Home Depot was offering, giving AARP members more reasons to renew their membership.
Simply reaching a new group or organization is not enough to develop a solid relationship.
Successful affinity marketing campaigns lead teams of marketing strategists and business negotiators to take advantage of a strong partnership with another company or organization.
How is an affinity marketing plan developed?
At the beginning of an affinity marketing campaign, companies generally have a rough idea of which affinity group they want to reach.
Marketing managers first seek to identify potential market areas and begin to work with the sales side of a company to discover the potential benefits of entering these markets.
This part of the marketing campaign requires many numbers, so the marketing team should examine how different affinity groups could affect the sales of a product.
Fundamental criteria in affinity marketing
Communication is one of the most important elements of a successful affinity marketing campaign. Marketing teams must follow the following steps:
- Choose the right business partner
- Set clearly defined goals, objectives and responsibilities.
- Make sure your partner’s goals are aligned with yours.
After deciding on an affinity group to target, the marketing team begins to create a list of goals and objectives for their campaign.
This includes not only the sales figures, but also aspects such as the image of the company.
The image of the company and the brand is an important element of any marketing campaign, so the marketing team must identify the organizations that complement its current image.
After developing a list of potential partners, marketing managers communicate with those organizations and companies to negotiate the terms of the partnership.
During the negotiations, the marketing specialists explain exactly why an organization must associate with a company, from promotional offers and offers, to meet the growing needs of the members of an organization.
Trade associations carry a great deal of legal responsibility, which means that both organizations must draft terms and responsibilities to ensure that all needs are met.
If both organizations accept the terms of the agreement, an affinity partnership is developed.
From here, the affinity marketing campaign really takes shape, as public relations experts and advertising agencies issue new agreements and offers that the organization or company is providing to its clients or affiliates.
The campaign is aimed at the target audience and sales representatives begin to track the impact of the campaign.
Leaders from both ends of the association meet frequently to discuss any improvements or adjustments that can be made to the campaign, taking into account market research and sales figures.
If a company has partnered with a non-profit organization, they often conduct surveys to find the reaction of the public to the new association, and it is an improved image of the company.
Nonprofit organizations report any increase in the influx of funds and decide whether or not to continue the marketing campaign.
What career titles work with an affinity marketing strategy?
Discover some of the different degrees related to the implementation of successful affinity marketing strategies.
What do they do?
Effective marketing managers have a lot of analytical and management skills needed to carry out affinity marketing campaigns.
The main responsibility of marketing managers is to estimate the demand for a product and identify potential markets for that product.
Marketing managers help determine affinity groups for companies to focus, calculate numbers and develop a list of potential partners to reach those groups.
Marketing managers must have strong communication skills and be able to negotiate business partnerships to establish a successful affinity marketing campaign.
Education and experience
Most marketing managers have at least a bachelor’s degree in marketing.
Other generally accepted degrees include business, accounting, economics, mathematics or statistics.
The simple fact of obtaining your bachelor’s degree does not guarantee you the position of marketing manager.
Marketing managers also often gain several years of experience in lower-level marketing jobs before making the leap to managerial positions.
Advertising and Promotion Manager
What do they do?
Promotional managers work with marketing managers to help determine what promotions or benefits a company can offer an organization in an affinity partnership.
This individual brainstorms the various benefits and potential promotions to offer affinity partners and refers them to the marketing manager to determine their impact.
Promotions managers help plan advertising strategies for the partnership, discovering ways to reach customers.
This could include mail campaigns, phone calls or brochures to inform members of an organization about new benefits or offers for which they qualify.
Education and experience
Promotional managers must obtain at least a bachelor’s degree before obtaining employment.
In general, these people look for degrees in marketing, business, advertising or public relations.
Promotional managers must have a solid foundation in business communication that allows them to work proactively with marketing managers and leading partners.
What do they do?
Marketing specialists enter a company to consult on marketing strategies.
These professionals usually have years of experience in the development of marketing campaigns, which allows them to provide guidance in the campaign.
Many marketing specialists are independent contractors with a great reputation for success.
The marketing specialist sometimes assumes the role of marketing manager, while others assume a much broader role in the overall campaign, overseeing multiple areas from negotiations to promotions.
Education and experience
Most marketing specialists have at least a bachelor’s degree in marketing, but the experience is truly the greatest indicator of an effective marketing specialist.
Most marketing specialists get at least 10 years of experience before entering the independent contracting field.
How can a marketing school help you in this field?
A bachelor’s degree program in marketing raises the essential question: how do you make sure that you understand your customers and how they are given a higher value?
For strategists who implement affinity marketing techniques, this is the first question they must ask to discover how to market products to new affinity groups.
Marketing programs present future professionals with the background and skills needed to communicate their brands effectively to different affinity groups.
One of the most outstanding skills in the marketing school leads these individuals to success in the future: communication.
Business communication and marketing skills are essential to develop an effective affinity marketing partnership with an organization.
In a marketing school, students learn how to present business proposals that they develop in class.
These exercises allow students to practice their presentation skills in front of their classmates, taking criticism and adjusting their speech styles.
These skills are transferred to the real world when marketers present their proposed affinity marketing campaigns to potential affinity partners.
Marketing classes also teach students about the psychology of consumers, and why they buy certain products, join organizations and look for specific brands, elements that are directly related to successful affinity marketing campaigns.
This experience in consumer psychology allows professionals who examine the use of affinity marketing campaigns to consider the needs of an affinity group, and whether their product can meet those needs.
Profile analysis and marketing of consumer behavior are some of the most critical elements of any successful affinity marketing campaign.
By exploring the benefits of different consumer markets, professionals can constantly expand their business without experiencing stagnation in the market.
Because affinity marketing is associated with entering new markets, professionals must also have a complete understanding of how to develop new products and services.
As marketers examine the impact of an affinity marketing campaign, they can discover ways to increase effectiveness by adjusting current products or offering different ones.
Certain marketing courses offer students the opportunity to learn the value and process of developing new products to meet the need for a new customer base.
For more information on how to obtain a degree in marketing can help boost success in affinity marketing campaigns, ask for information to schools that offer marketing titles.