Entering a new market is expensive and uncertain. You do not yet know which audiences will buy, which messages will land or which channels will pay back. Most brands respond by buying ads and hoping. There is a better way to start: affiliate marketing.
Affiliate marketing lets you pay partners (publishers, creators, loyalty sites and others) for the results they deliver, usually sales. For a brand entering the UK, Europe or the US, that combination of trusted voices and performance-based cost is hard to beat.
What is affiliate marketing?
In affiliate marketing, a brand (the advertiser) works with partners (affiliates or publishers) who promote its products. Each partner uses a tracked link or code. When a customer buys, the partner earns an agreed commission. Tracking platforms such as the networks and platforms we work with handle the links, attribution and payments.
It is a large and established channel. US affiliate marketing spend passed US$10 billion in 2024 and is forecast to reach nearly US$16 billion by 2028, according to eMarketer. In the UK, advertisers spent £1.10 billion on affiliate marketing in 2023, according to IAB UK and PwC.
Six reasons affiliate works for market entry
1. You pay for results, not reach
Most affiliate partnerships are paid on a cost-per-acquisition (CPA) basis. You pay when a sale happens, which caps your risk while you learn a new market. Budgets scale with revenue rather than ahead of it.
2. You borrow trust you have not built yet
A new brand has no reputation in a new market. Established publishers do. A recommendation from a respected review site or a creator with a loyal following carries far more weight than an ad from a brand shoppers have never heard of. For Chinese brands moving upmarket, this borrowed credibility is especially valuable (see how Chinese brands are going premium in the West).
3. You reach shoppers at the moment of decision
Affiliate content often sits exactly where people research purchases: “best robot vacuum” round-ups, product reviews, comparison guides and deal pages. That is high-intent traffic that paid social struggles to match.
4. You get market feedback fast
Which partners convert, which products sell and which offers work? Affiliate data answers these questions market by market, giving you a clear read on product-market fit before you commit bigger budgets.
5. You can test markets one at a time
Affiliate programmes can be launched per country. Start in one market, learn, then expand into the next with proven partners and messaging.
6. You build lasting assets
Reviews, guides and comparison articles keep driving traffic long after publication, and they strengthen your brand’s presence in search results too.
The partner types that matter
- Editorial and content commerce publishers: review sites and publications with buying guides. Strong for credibility and premium positioning.
- Creators and influencers: reach and authenticity, often with commission plus a fixed fee.
- Cashback and loyalty sites: help convert shoppers who are already close to buying.
- Deal and voucher sites: useful for launches and key sales moments, but manage them carefully to protect margins and brand.
- Technology and closed user groups: post-purchase offers, employee perks and student communities that open up specific audiences.
The right mix depends on your category and positioning. A premium brand should lead with editorial and creators, then add other partner types once demand is proven.
What you need in place before you launch
- A localised website or store that converts, with local currency, delivery and returns.
- A tracking platform that attributes sales accurately.
- A clear commission structure and a budget for fixed-fee placements.
- Brand guidelines, product information and images partners can use.
- Compliance basics, including advertising disclosure rules in each market.
Our step-by-step guide covers each of these in detail: how to launch an affiliate programme in the UK, EU and US.
The catch: affiliate is a relationship business
Launching a programme is the easy part. Getting the right publishers to actually feature your brand takes relationships, context and follow-up, in the partner’s language and time zone. That is where most brands entering a new market stall.
It is also why Red Thread exists. We connect Chinese brands with the Western publishers, creators and platforms that fit them, and run the programme day to day. See how we work or get in touch.
Choosing your first market? See how we work in the US, the UK and Europe.
FAQs
How long does affiliate marketing take to work?
Most programmes see first sales within weeks of partners going live, but building a strong, stable programme usually takes three to six months as partners test and optimise content.
How much does affiliate marketing cost?
You pay commission on sales plus any fixed fees for guaranteed placements, and usually a tracking platform fee. Commission rates vary by category and margin. See how affiliate deals are priced.
Is affiliate marketing better than paid ads?
They do different jobs. Paid ads buy reach quickly; affiliate buys trusted recommendations and pays on results. For a brand new to a market, affiliate is usually the lower-risk way to start, with paid media added once you know what works.
