Earnings per click (EPC) is a key performance indicator in affiliate marketing that measures the average dollar value earned each time someone clicks on a unique affiliate link – it’s the moneymaker metric for affiliate marketers.
For companies, EPC is a metric that can be used to help identify top-performing partners, optimize campaigns and incentivize affiliates to drive more clicks (and more sales).
A high EPC can also be used to attract and recruit new affiliates to the program by showcasing the earning potential. For affiliate partners, EPC is important in deciding which programs to take on and actively participate in. It helps affiliates understand their potential earnings: a higher EPC means more money in their pocket for the same effort, making it an easier choice to prioritize.
Companies can also use this metric to motivate affiliates to focus on promoting their products and services over their competitors, leading to more revenue.
The formula to calculate EPC takes total earnings from a link divided by the total number of clicks on that link:
Total earnings from a link ($200) / Total number of clicks on that link (50) = EPC ($4)
Related: How to set strategic partnership KPIs to drive revenue in 2024.
As an influencer in the AI space, Kara prioritized promoting a new AI photo editing tool that offered a higher EPC compared to its competitors.
A SaaS ecosystem is a dynamic environment where businesses join together to collaborate, innovate and add value to drive the success of B2B SaaS businesses. The value generated through ecosystems strengthens all of the interconnected companies attached to it. Ecosystem-led motions are considered among the most efficient ways to scale revenue by harnessing the strength of many (through knowledge, resources and go-to-market strategies).
A partner ecosystem speaks more specifically to the network of partner companies and individuals who drive revenue through partner-led motions in that ecosystem. They orchestrate indirect channels that scale customers, growth and revenue.
B2B markets can be transformed into sustainable growth engines through their ecosystems.
An ecosystem analysis is a comprehensive evaluation of the health, performance and overall effectiveness of your partner network. Ecosystem analysis involves taking stock of your existing partners, understanding their individual needs and pain points and identifying potential areas for collaboration and growth.
This includes everything from partner strategy and selection to engagement and performance. It looks at the effectiveness of your communication and collaboration efforts and the alignment of your goals and strategies with those of your partners.
This analysis aims to answer three critical questions:
By answering these questions and analyzing key metrics like partner-influenced revenue, innovation, engagement and customer experience, you can gain a holistic understanding of your ecosystem's health and identify areas for improvement.
This approach allows you to make informed decisions backed by data about partner selection, engagement and resource allocation, maximizing the value of your partnerships and driving sustainable growth.
As part of their go-to-market strategy, the marketing automation SaaS company conducted an ecosystem analysis to identify complementary marketing research tools that could be integrated with their platform, creating a more unified solution for customer acquisition.
Ecosystem orchestration is the strategic process of designing, building and managing a network of interconnected partners to drive mutual growth and innovation. It involves identifying key players, fostering collaborative relationships and aligning strategic objectives to create a seamless, value-driven ecosystem.
By orchestrating an ecosystem, B2B SaaS companies can expand their market reach, enhance their product offerings, accelerate innovation, reduce time to market and strengthen their brand reputation. Ecosystem orchestration enables businesses to create sustainable competitive advantages and drive long-term revenue growth.
We need to focus on ecosystem orchestration to truly capitalize on our potential and outpace the competition.
An ecosystem qualified lead (EQL) is a potential customer or business opportunity identified through a partnership ecosystem, typically through a network partner. Unlike a cold lead, EQLs come with a level of trust and credibility, having been pre-vetted and warmed up by a trusted partner within the network.
EQLs can be net-new leads, or they can be existing leads that have been “warmed up” with additional information from your partner. Whether a new lead or an existing lead, EQLs are valuable as they are more likely to convert into paying customers because of the additional endorsement and can speed up the sales process significantly.
For partnership managers, EQLs are a goldmine. They are high-quality leads that can be fast-tracked through the sales pipeline, meaning faster closing and more revenue. The best way to find EQLs is by using a partner ecosystem platform that can identify these opportunities so companies can start co-marketing or co-selling initiatives to take advantage of them.
Clark, the partnership manager of a B2B SaaS CRM company, was sent an ecosystem qualified lead who perfectly fit his ideal customer profile from his network partner company who creates document automation software.
Ecosystem-led growth is a highly effective growth strategy that leverages collaboration across network partners. Rather than working alone, companies work with complementary solutions, industry influencers and other channel partners to create a mutually beneficial ecosystem.
This approach helps to increase market expansion and accelerate go-to-market motions. By pooling resources, companies can drive growth much faster than on their own.
Ecosystem-led growth is focused on the customer experience. It uses partner data to understand every step of the customer journey from acquisition and onboarding to upselling and retention.
It shortens sales cycles by using warm introductions, boosts win rates through co-selling and increases customer lifetime value by enhancing the customer experience.
Measuring ecosystem-led growth involves tracking key metrics such as partner-influenced revenue, time-to-value, customer acquisition cost, and churn rate. Using data, ecosystem-led growth helps track the tangible results partnerships are delivering and makes it easier to get future executive buy-in.
By working together in an ecosystem, B2B SaaS companies can have a competitive edge in the market while grabbing more market share and driving more revenue.
Through ecosystem-led growth, our CX B2B SaaS company maximized its market reach by forming relationships with other leaders in the CX space and starting co-marketing campaigns together.
Enablement materials are resources provided to channel partners to equip them with the knowledge and tools needed to successfully market, sell and support a SaaS product within their network. These resources may include product training materials, sales guides, marketing collateral and technical support documentation. These materials serve as guides that enable partners to become experts in products, understand the target audience and navigate the sales cycle with confidence.
Similar to a playbook, they contain essential resources such as sales decks, product training guides, marketing collateral and co-branded content. These resources are curated to equip partners with everything they need to effectively communicate the value proposition of a SaaS solution and address customer needs competently. By providing a variety of enablement materials, partners can improve their expertise and credibility in the market, thereby driving mutual growth and strengthening the partnership ecosystem. These materials not only facilitate seamless integration of the technology solution into a partner’s offering, but also foster collaboration and alignment between the organization and channel partners.
A key component of our successful partner program is the extensive library of enablement materials, providing channel partners with the resources they need to seamlessly integrate a tech solution into their offerings.
Engagement gamification is a strategic approach that uses game-like elements and principles to increase partner engagement and motivation within a partnership program. By incorporating elements such as points, badges, leaderboards, partner challenges and commissions, companies can create a more interactive and enjoyable experience for their partners, encouraging them to actively participate and drive more leads or revenue.
The primary goal of engagement gamification is to make interactions between partner companies more fun, rewarding and productive for all parties involved. By tapping into the inherent human desire for competition, gamification can drive partners to complete specific actions, such as increasing sales, completing training modules, participating in marketing campaigns or referring new leads.
Gamification can take many forms, from simple point systems and badges that recognize individual achievements to more complex challenges and competitions that encourage collaboration and teamwork among partners. By setting clear goals, tracking progress and providing regular feedback and commissions, companies can create a sense of accomplishment and progress for their partners, motivating them to continue engaging with the program and striving for higher levels of performance.
Engagement gamification through monthly partner challenges can be highly motivating for partners and can be an effective way of boosting their engagement in your program.
Equity, in the workplace, refers to the promotion of fair and just policies and practices for every individual in the organization, regardless of gender, race, sex, age or other factors. The concept of equity focuses on recognizing and addressing the diverse needs and experiences of employees to ensure everyone has access to the same opportunities and resources necessary for their success.
This approach is distinct from equality, which aims to treat everyone the same, regardless of their unique circumstances. Equitable policies in the workplace encompass a range of practices, from providing the necessary technology and tools for employees to perform their roles effectively, to offering tailored career advancement opportunities.
Equity acknowledges that individuals may require different levels of support and accommodation to achieve similar outcomes. This can include addressing wage gaps, ensuring fair treatment and creating inclusive opportunities for historically marginalized groups. Addressing equity issues often involves tackling systemic barriers that contribute to disparities in pay, career progression, and workplace treatment. Organizations committed to equity work towards creating an environment where all employees feel valued and empowered, regardless of their background or personal characteristics.
One way to promote equity within your organization is to prioritize representation and wage transparency.
Expansion revenue refers to the additional revenue generated from existing customers beyond their initial purchase. This is typically achieved through upselling, cross-selling or add-on purchases. Upselling involves encouraging customers to upgrade to a higher-tier SaaS subscription with more features or capacity. Cross-selling involves offering complementary products or services to existing customers.
By focusing on expansion revenue, businesses can increase customer lifetime value and drive sustainable growth without relying solely on acquiring new customers.
By leveraging cross-selling opportunities unlocked through strategic partnerships, a SaaS company can open up expansion revenue streams.
Exponential software is an application or platform that exhibits rapid and accelerating growth in value or impact over time. These systems often leverage technologies like AI, machine learning or big data to continuously improve and learn from user behavior.
Exponential software is characterized by its ability to scale rapidly, automate complex tasks and deliver increasingly sophisticated solutions. It drives transformative changes in industries and creates new business models through network effects and data-driven insights. The more the software is used, the better it becomes, leading to significant competitive advantages for both the software provider and its end customers.
By integrating exponential software with affiliate partner platforms, we can create a self-reinforcing ecosystem where data-driven insights fuel affiliate performance, leading to increased customer acquisition and enhanced revenue generation for both partners.
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