Most ecommerce teams learn that “affiliate marketing is low-cost” and assume they can launch a program without spending much. That’s not really how it works.

Yes, affiliate programs are cheaper than paid ads or generic influencer partnerships. But setting one up still comes with real costs associated with the tools you use, the commissions you pay out, and the time your team invests. If you don’t plan this out upfront, you’ll end up under-budgeting or cutting corners.

If you’ve been wondering how much it costs to start affiliate marketing, this article gives you a transparent breakdown .

How much does it cost to start affiliate marketing?

Cost #1: Affiliate management platform

Before you onboard affiliates or track any sales, you’ll need a proper system to run the program, typically an affiliate platform. This is the backend that helps you manage affiliates, create unique links or codes, track sales, and provides reports to see what’s working.

As a small business, you have two main options, and the cost difference between them is significant:

Option 1: Affiliate networks (higher cost, broader reach)

Affiliate networks such as ShareASale, Rakuten, and CJ Affiliate are marketplaces where you can list your ecommerce store’s programs. Influencers, creators, and bloggers browse through thousands of affiliate programs on these platforms to join the ones that resonate most with them.

The benefit to these networks is that they give you access to a larger pool of potential partners (depending on the network). However, you can’t contact affiliates directly, and discovery is passive, meaning you wait for affiliates to find and join you.

Here’s what you’ll typically pay for access to these top affiliate networks:

• Setup fee: ~$2,500 (one-time)
• Monthly platform fee: Anywhere from $500–$3,500
• Commission to the network: Usually a % of every affiliate sale

Worth it if: You don’t want to build your own outreach strategy, have a huge budget, and a large inventory..

Not ideal if: You have a smaller budget and want full control over how you recruit, manage, and work with top affiliates.

Option 2: Affiliate software/apps (lower cost, more control)

Running your program in-house gives you control over how you set up and manage your own program—affiliate onboarding, tracking, payouts, performance dashboards, and more. A self-serve SaaS platform like Social Snowball gives you all the features you need to manage your program 

While you need to recruit affiliates yourself (via outreach, email, or on-site signups), you have control over every aspect of your program, lower set-up costs, and the ability for optimizations to maximize ROI.

Here’s what you’ll typically pay:

• Monthly software fee: ~$20 to $200/month depending on volume
• Performance-based fee: A small % on each sale (varies by platform)

Affiliate program management tools like Social Snowball start at $199/month, but most ecommerce brands see results within the first 3-6 months of setting up their referral and affiliate programs, guaranteeing a return on your investment.

Worth it if: You want control, lower ongoing costs, and are comfortable handling your own affiliate discovery.

Not ideal if: You don’t have the time or resources to find and onboard the right affiliates yourself. Discovery is on you, and without effort, growth will be slow.

Cost #2: Affiliate payouts (your actual performance-based expense)

This is usually the most variable cost in any affiliate marketing business, but it only kicks in when your affiliates deliver results. You don’t pay upfront. You pay only when a sale happens. That’s what makes this a performance-based cost.

Here’s how affiliate commissions work:

You decide how much commission to offer per sale. Most ecommerce brands go with 10% to 25% depending on affiliate product margins, AOV, and how aggressive they want to be with affiliate acquisition.

The higher the commission, the more attractive your program will look, especially to experienced affiliates and creators.

Let’s take Gel Blaster, a non-toxic gel blasting toy. They offer a flat 10% commission per order.

Here’s a quick breakdown of how this works for the brand:

Let’s say that affiliates generate 100 orders a month. Since the brand’s average order value (AOV) is $60, they earn a monthly $6,000 in affiliate-driven revenue. At 10%, they pay $600 in commissions.

With no upfront costs or transaction fees, they only pay when sales come in.

What should your commission rate be?

There’s no one-size-fits-all. Here’s a quick guide to help you decide:

• 10%: If your margins are tight, your product is bought frequently, or you have high demand among affiliates.
• 15%: If you have decent margins and want to stay competitive.
• 20–25%: If you’re looking to stand out, have high AOVs, or want to capture new affiliates quickly. 

You can also set up a tiered system. Give newer affiliates a base rate and set up higher commissions based on performance. This way, you reward your top partners without overpaying early on.

Bonus tip: If you prefer predictability, you can offer a flat payout (e.g., $5/sale) instead of a % cut. Make sure that it aligns with your average CAC. For instance, if your CAC is $15, a $5/sale payout gives you a healthy margin.

Cost #3: Affiliate manager (optional but worth it)

Once your affiliate program gains traction, you’ll need someone dedicated to keeping it running smoothly. This doesn’t have to be a full-time employee from day 1, but you’ll need some level of ownership, especially as you scale. Most teams have a small marketing team, so one person usually doubles up as an affiliate program manager as well.

What does an affiliate manager actually do?

Here’s what their job typically involves:

• Recruiting new affiliates (outreach, vetting, onboarding)
• Managing relationships with high-performing affiliates
• Negotiating custom deals or rates with top partners
• Coordinating with other teams (e.g., creatives, email, dev) for assets, promo codes, landing pages, etc.
• Monitoring performance metrics and identifying growth opportunities
• Handling payouts and resolving affiliate support issues

Even if you're using an affiliate platform, it still needs human attention, especially to communicate with affiliates and build long-term partnerships.

Your hiring options (and what they cost)

You’ve got a few flexible paths depending on the budget of your marketing efforts:

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Not ideal if:

• You just started your affiliate program.
• You don’t yet have enough affiliate traction to justify a dedicated hire.
• You’re running a very lean setup and want to keep the affiliate program low-touch.
• Your platform or app handles most affiliate workflows, and you just need occasional oversight.

If you're a startup, you can probably manage things yourself for a while. But once affiliate revenue starts compounding, bringing someone in (even part-time) saves you hours and helps the program grow faster.

Cost #4: Affiliate marketing materials

You don’t need a huge production budget, but you do need a few solid assets to make your affiliate program look professional—and easy to promote.

Here’s a breakdown of what to create, why it matters, and what it could cost to create promotional assets to boost your affiliate marketing strategy and build brand awareness.

1. Affiliate program landing page

This is where potential affiliates can sign up. It should answer:

• Who you are
• What’s in it for them (commission structure, perks, etc)
• How they can get started, including a sign-up form.

You can build it using your existing landing page or website builder. If you're using Shopify, apps like Social Snowball allow you to set up a sign-up form within your landing page easily. 

Cost: Cost-effective if you DIY or already have a team. Outsourced? ~$100–$300 one-time setup via freelance platforms.

2. Email copy packs

You’ll need to set up emails to communicate with affiliates at different touchpoints. A few email marketing templates you’ll need are:

• Affiliate recruitment
• Onboarding/welcome
• Program announcements or updates
• Tips to boost affiliate sales, like content format and posts to prioritize.

Cost: You can rely on AI tools like ChatGPT to write these emails yourself, making it free to create. Hiring a copywriter? Expect $50–$150 per email, depending on experience.

3. Shareable visuals (aka graphics)

Make it easy for affiliates to create content and promote your brand on social media platforms with a few reusable assets:

• Logos in PNG/SVG format
• Digital product banners in 2–3 standard sizes
• Physical product photos or short videos (if applicable)

Cost: $30–$60/hr if outsourced. Or ask your in-house designer to bundle this into regular design work.

4. Pre-written captions or promo text

Include short snippets they can copy and reuse for posts and captions on social media. This helps maintain brand consistency and lowers friction.

Cost: You can write this in-house.

5. Affiliate program guide (optional but useful)

A short PDF or Notion doc that covers:

• FAQs
• Tutorials
• Link tracking guide
• Do’s and don’ts
• Commission payout schedule

Cost: Free if you write and design it internally. Otherwise, ~$100–$250 for copy and layout.

Not ideal if:

• You’re not willing to spend time or money creating at least basic assets.
• You expect affiliates to “figure it out” themselves.
• You don’t have clarity on your offer, branding, or affiliate payout logic.

Your digital marketing materials don’t need to be fancy, but you need some of these assets to support your affiliate efforts. Start scrappy and improve them as your program grows.

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Cost summary to set up and manage an affiliate program

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Cost Type

What it covers

Estimated cost

Recommendation when starting out

Affiliate management platform

Tool to create, track, and manage your affiliate program

Affiliate app: Starts at $0, with monthly expenses of $199/month as you scale. 

Affiliate networks have a one-time cost of $2,500 plus $500–$3,500/month

Use an affiliate app like Social Snowball to automate processes and reduce time spent on setup.

Affiliate commissions

Payout to affiliates based on sales generated

10%–25% per sale

Maintain a 10-15% commission rate to attract quality affiliates.

Affiliate manager

Person managing affiliates and program growth

$0 if you manage it in-house

$31/hour on average to hire

Have existing marketing team members manage the program, requiring no additional budget

Marketing materials

Landing page, banners, email copy, guides, etc.

$0 if you do it yourself or in-house

$100–$600 one-time (if outsourced)

$30–$60/hour for freelancers

Create assets in-house, which costs $0

Your total budget depends on how hands-on or automated you want it to be. But even with a lean team, affiliate marketing can deliver huge ROI when set up properly.

Here’s our recommendation for how to get started with your affiliate program to keep costs lean:

• Affiliate management platform: Use an affiliate app like Social Snowball to get started at $199/month.
• Affiliate commissions: Maintain a 10-15% commission rate to attract quality affiliates.
• Affiliate manager: Have existing marketing team members manage the program, requiring no additional budget
• Marketing materials: Create assets in-house, which costs $0

Ready to launch affiliate marketing the smart way?

We hope this article helped you understand what it costs to get started with affiliate marketing. The right tools allow you to launch a successful affiliate marketing program that doesn’t require a massive upfront investment or a 10-person team.

Social Snowball is built for this. From automatic onboarding to native payouts and built-in affiliate tracking, you get everything you need to manage your program and scale it faster—with transparent, predictable affiliate marketing costs.

Frequently asked questions

1. Can I start affiliate marketing without a budget?

Yes, you can start an affiliate marketing campaign without a budget. You don’t need to pay upfront for tools or traffic. Many affiliate apps like Social Snowball offer free trials or low-cost plans. To get started, focus on:

• Creating your own affiliate program using a low-cost app instead of joining a pricey affiliate network.
• Reaching out manually to potential affiliates through email or DMs.
• Promoting your program organically via your site, post-purchase flows, or email list.

2. What’s the ROI of affiliate marketing compared to paid ads?

The ROI of affiliate marketing is usually higher than that of paid ads. With paid ads, you pay upfront whether or not you make a sale. With affiliate marketing, you only pay after a sale is made — and only a percentage of that sale.

While results vary based on product type, most online businesses earn around $15 for every $1 they spend on affiliate marketing.Since rewards are tied to performance, there’s no wasted spend, lowering risk and guaranteeing returns for every commission you pay out.

3. Do I need to work with influencers or creators?

You don’t need to work with influencers or creators to run an affiliate marketing program, but it helps.

If you’re a beginner, you can start with your own customers who are sure to recommend your brand to friends and family, bringing in referrals. You can also look through your social media to check if any influencers are following you or passively look for nano-influencers who are likely to recommend your products and whose audience aligns with your target audience. You can slowly scale your outreach efforts and find new affiliate partners to reap multiple benefits:

• Expand your reach quickly.
• Add credibility to your brand
• Drive high-quality traffic that converts

That said, you don’t need to go after massive influencers. Nano and micro-influencers (1K–-20 K followers) often perform better due to higher engagement rates. 

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