ASSESSING THE EFFECTIVENESS OF AFFILIATE MARKETING ON TIKTOK IN SHAPING FINANCIAL PERFORMANCE: BASIS FOR PROPOSED MARKETING FUNNEL

Abstract

This study aims to explore the relationship between TikTok affiliate marketing and the financial performance of its users. It seeks to evaluate how affiliate promotions impact sales growth and profitability on the platform. By surveying active TikTok affiliates, the research will assess the effectiveness of affiliate marketing, uncover key trends, and identify common challenges faced by users. The study will also examine the strategies affiliates use to enhance their marketing efforts, to pinpoint the essential elements that contribute to financial success. This study employed a descriptive quantitative research design and involved fifty (50) TikTok affiliates selected through purposive sampling. A structured survey questionnaire was used as the main data collection tool to gather relevant information from the participants. The findings reveal that TikTok affiliate marketing is perceived as highly effective in enhancing financial performance across various indicators. The Affiliate-Advertiser Relationship achieved a weighted mean of 3.80, indicating a very effective impact. Similarly, Performance-Based Rewards scored 3.77, also interpreted as very effective. The role of Digital Platforms as Growth Catalysts received a weighted mean of 3.80, while the Financial Impact of Affiliate Marketing scored the highest at 3.81. These results highlight the overall strong effectiveness of affiliate marketing on TikTok in influencing key aspects of financial success. The researchers developed a proposed marketing funnel to demonstrate how TikTok affiliate marketing functions effectively. This funnel is structured around key variables identified in the study: the affiliate-advertiser relationship, performance-based rewards, digital platforms as growth catalysts, and the financial impact of affiliate marketing. It also includes essential components such as defined objectives, strategic actions, involved stakeholders, a timeline, budget considerations, monitoring and evaluation procedures, and sustainability plans. As the main output of the study, the marketing funnel serves as a practical and strategic tool designed to guide businesses and affiliates in optimizing the customer journey and improving overall marketing performance.