🛍️Transforming Affiliate Marketing

An NFT will identify each product in the SHOPX ecosystem. NFTs are universally accessible, meaning any affiliate marketer can integrate one into their own Web3-enabled online store. The implications here can potentially change affiliate marketing--and even marketing efforts in general--forever.

By integrating commissions into NFT sales (and, therefore, product sales), affiliates become autonomous third parties. No contracts or agreements will be required. An affiliate can facilitate a sale and automatically receive a commission. Payments are transparent on the blockchain and automated through smart contracts.

This creates a perfectly fair and competitive affiliate marketing system that rewards success fairly. Commissions cannot be overlooked or withheld. Attribution rates will go from variable to 100% accurate. It also reduces wasted marketing spend to $0. Every marketing dollar spent is spent on a guaranteed sale because it is all commission-based. Commissions can be raised to entice affiliates or lowered to either increase profits or to bring marketing efforts in-house.

This will completely overhaul affiliate marketing, but the system's efficiency and strength will also reach traditional marketing agencies. There will be no need to pitch brands and companies in an attempt to close a marketing contract. Marketing agencies can pivot to affiliate marketing and become de facto marketing teams for the brands that they like the best or that provide the best returns.

The resulting Nash Equilibrium will be a net benefit to the community, as there will be no advantage in reducing affiliate commissions (below a market-determined threshold) and risking the loss of affiliate marketing exposure. This equilibrium will maintain sufficient affiliate marketing income to keep marketers engaged in the system without exceeding an upper limit that would drive up prices.