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The Click Hive Chronicles:
Your Go-To Advertising Blog

Hiring an eCommerce Marketing Agency on a Commission Basis

Updated: Nov 27, 2023


Hiring an eCommerce marketing agency on a commission basis
Photo by path digital on Unsplash

Marketing is one of the most important drivers of sales for a business. Especially in eCommerce, the need for effective marketing is magnified. There are even eCommerce brands that solely thrive on results-driven marketing.


For some, it’s the backbone of their business. For some, it’s one of the strategies to drive more sales.


As a business, you may not always have time to be the jack of all trades. There is marketing, operations, customer support, creatives, and a lot more other aspects to keep the business thriving.


Running a business is simply like you’re in the middle of a lot of different natural calamities that came to you together; chaotic yet drop-dead beautiful!


Or, you may have time but you don’t have the know-how. This calls for an expert who can carefully and strategically spend your money on effective marketing that drives appealing results.


What Is an eCommerce Marketing Agency?


an eCommerce marketing agency takes care of the marketing aspects of your eCommerce business
Photo by Marvin Meyer on Unsplash

Picture this: You own an online business with a kick-ass website, top-notch products, and a passion for sales and customer satisfaction. But how do you attract more customers, boost your sales, and grow your business? That's where an eCommerce marketing agency comes in!


These digital wizards specialize in helping eCommerce businesses like yours achieve their goals. They use their secret weapons - think SEO, PPC, social media, and more - to:

  • Optimize your website.

  • Attract more traffic.

  • And turn those visitors into loyal customers.

Here at Click Hive, we specialize in top of the line Social Media Marketing (SMM) services, including copywriting, creative design, ad management, etc. Different agencies specialize in different domains of marketing, helping you boost the potential of your business through the channels you need.


Types of eCommerce Marketing Agencies


SEO is usually the cheapest type of digital marketing
Photo by Firmbee.com on Unsplash

If you’ve already done your research on hiring an eCommerce marketing agency, chances are that you might’ve come across a few different types of agencies already.


These are three of the most preferred and dominating domains that marketing agencies specialize in. Let’s take a closer look at them.


1. Search Engine Optimization (SEO) Agencies

In many cases, SEO is the cheapest marketing method. And there are SEO agencies specialized in doing just that.


This includes:

  • Writing and publishing blog posts.

  • Different types of copywriting.

  • And a lot of other things that have to do with long-form written content.

Usually, these agencies will be masters in SEO, which is a method of writing content that search engines like Google can easily identify and interpret to rank your content higher on search engine results. The higher you’re ranked, the better exposure you will get for your business.


2. Email Marketing Agencies

These are agencies that work with businesses to do anything with sending emails to customers or potential customers.


While it might sound simple to you, there’s a lot of work that goes behind the scenes. Email marketing is the modern-day equivalent of snail mail, but instead of pen and paper, we use the power of the internet to reach people's inboxes.


Agencies usually use newsletters, promotional offers, event invitations, updates, etc., for marketing your product to your audience.


It's like:

  • Having a direct line of communication with your customers.

  • Building relationships.

  • And boosting brand loyalty.

With the right agency, strategy, and design, email marketing can pack a punch and bring home some serious ROI.


3. Social Media Marketing (SMM) Agencies

SMM is simple. Imagine a massive party, with millions of people from all over the world, chatting, sharing, and having a good time. That's social media! You know, the likes of:

  • Facebook.

  • Instagram.

  • TikTok, etc.

And as a business owner, you have a golden opportunity to join the party. And if you have a marketing expert as your sidekick, you have the million-dollar opportunity to get noticed at the party!


SMM agencies create eye-catching content (like powerful UGCs) that showcases your brand and products to connect with a massive audience of potential customers. They also do strategic ad planning and management, which are all vital for long-term profit and success.


From witty LinkedIn posts to stunning Instagram photos and viral TikTok videos, there are endless ways to create buzz and get people talking about your brand.


And that’s just what we do here at Click Hive. We’ve completely TRANSFORMED the potential of businesses all around the world through SMM alone!


What It Means To Hire on a Commission Basis


hiring on a commission means paying your agency a percentage of the sales revenue they generate
Photo by Mathieu Stern on Unsplash

Hiring on a commission basis means paying your marketing agency a percentage of the sales they generate using their ads or strategy.


As an SMM agency, we offer flexible payment models to our clients. If a client fits our strict criteria for the commission-based payment model, we’ll be paid a percentage of each sale amount generated through the ads we create and manage.


For most businesses, a commission-based payment model is an ideal choice since it guarantees you’re only going to pay for what the agency has actually helped you with.


Benefits of Hiring an eCommerce Marketing Agency



If you’re struggling to make a name for your eCommerce business in the ever-competitive online marketplace, you need to hire a marketing expert. Perhaps an agency that could do it all for you.


We have three primary benefits of hiring an eCommerce marketing agency. And trust me, these are things you do not want to overlook for the sake of being profitable!


1. Better ROI

First and foremost, the main reason you should consider hiring an eCommerce marketing agency is the higher return on investment (ROI).


Let's be real; you probably have limited resources and time to dedicate to your marketing needs. But, with the help of a team of experts, you can put your money where it counts and get the most bang for your buck!


I mean, the perfect marketing agency will have the time, resources, and extensive experience to come up with effective strategies. You may not have that experience. Or resources. Or time.


So instead of spending hours trying to figure out which platform or ad campaign will give you the best results, you can leave it to the professionals to make the best decision for your business.


2. Faster Results

Speaking of professionals, one of the most significant advantages of hiring an eCommerce marketing agency is the speed at which you can achieve results.


With their expertise and industry knowledge, they can quickly identify what works and what doesn't for your business, saving you time and energy.


That means you won't have to wait years to see the fruits of your labor; an experienced marketing agency can implement strategies that will show results in no time!


3. An Outside Perspective

Hiring an eCommerce marketing agency means you’re collaborating with a team of experts that have seen and done it all. With this expertise, they can provide you with a valuable outside perspective on your business.


You might be too close to the action to see what's working and what's not. But if you have an agency taking care of the marketing aspects of your business, they can spot potential opportunities and weaknesses that you might have missed.


It's always a good idea to have an outsider's view, and an eCommerce marketing agency can provide just that, along with other hands-on stuff!


The Added Benefits of Hiring on a Commission Basis


hiring an eCommerce agency on a commission basis will keep them more committed
Photo by micheile henderson on Unsplash

Hiring an eCommerce marketing agency has its benefits. But you can enjoy added benefits if you hire them on a commission basis.


It's like having a personal cheerleader, but instead of pom-poms, they bring you money! Let’s get right into those added benefits.


1. Increased Accountability

When you hire an eCommerce marketing agency on a commission basis, you're putting your money where your mouth is.


This means the agency only gets paid if they can produce tangible results. This level of accountability means the agency will strive to:

  • Work harder.

  • Smarter.

  • And faster to ensure they deliver on their promises.

2. Better Commitment

When an eCommerce marketing agency is working on a commission basis, it shows that they're committed to your business's success. It's like they're part of your team, and they have a vested interest in making sure you succeed.


Because the better they perform for you, the better they’ll earn from you.


With that kind of commitment, you can be sure that they'll be putting in their best effort every day, even when you're busy binge-watching the latest Netflix series.


3. Better Drive To Produce Great Results

The performance of a commission-based agency doesn’t stop with commitment. They’ll strive to produce greater results every day. The commission-based payment model easily ignites a fire in them to produce impressive results.


They're not just working for a paycheck; they're working to make sure that you get the best possible return on your investment. It’s the kind of usual stuff we do on a daily basis.


Other Compensation Options You Could Consider


You can also hire eCommerce marketing agencies on a flat fee
Photo by Towfiqu barbhuiya on Unsplash

A commission-based model works. But not every marketing agency prefers it. And it’s mostly due to the uncertainties involved in this domain.


But it’s worth noting the fact that a business operating on a commission-based payment model is really confident in their skills and expertise. It’s hard to overlook such confidence, but there are still other payment models you could use.


Let’s have a look at them.


1. A Flat Fee

This is probably the most obvious one. You just pay the agency a weekly or monthly retainer. Or perhaps an hourly fee.


Whatever it is, unlike the commission model, this payment structure is a flat fee that’s not affected by the performance of the agency

  • If they underperform, you pay the same agreed fee.

  • If they overperform, you still pay the same agreed fee.

  • But, of course, you can also send some bonuses their way if you’re that generous.

2. A Flat Fee + Commission

So this is like a combination of the two types of payment models. Agencies asking for a flat fee + commission payment may require the flat fee as a security deposit that covers their basic cost of operation.


It’s just a way to make sure they’re not losing money on a commission-based payment model.


Factors To Consider When Hiring an eCommerce Marketing Agency on a Commission Basis


verify the eCommerce marketing agency's track record before hiring them
Photo by Gabrielle Henderson on Unsplash

Hiring an eCommerce agency is not a dreaded task. But it’s hiring the perfect one for your business that brings on the challenge.


If your agency fails to best relate to your needs and goals and fails to understand the core concept of your business, then that’s your ticket to demolishing the eCommerce empire you’ve built.


That’s why you need these factors jotted down. We’ve worked with hundreds, if not thousands, of big and small eCommerce businesses. And these are some of the crucial factors that we take into consideration and encourage our clients to consider to ensure the smoothest collaboration possible.


1. The Agency’s Track Record

When it comes to hiring an eCommerce marketing agency, one of the most important things you should consider is their track record.


Look for an agency that has a proven track record of success in the industry:

  • Check out their portfolio.

  • Read case studies to see how they’ve helped other eCommerce businesses increase their sales and revenue.

  • Find testimonials to verify their credibility.

2. The Agency’s Expertise

If you’re into eCommerce, make sure to look for an agency that specializes in eCommerce marketing and has experience working with businesses similar to yours.


They should have a deep understanding of the eCommerce landscape and know how to tailor their marketing strategies to meet the unique needs of eCommerce businesses.


Also, try to measure how well they’re able to adapt to your vision and requirements.


A short trial would be the best way for you to measure the expertise of an agency.


3. The Strategy They’ll Adopt for You

Before you hire an eCommerce marketing agency on a commission basis, make sure you understand the strategy they’ll adopt for your business.


A good agency will work with you to develop a comprehensive strategy that aligns with your goals and budget. They should be able to explain their approach in detail and provide you with a timeline for implementation.


As an agency, we've had great success over the years with our unique marketing techniques. We've helped 100s of eCommerce businesses along the way, and we're open to exploring new opportunities.


If you need a reliable marketing agency to help you boost your marketing efforts on a commission-based model, reach out to us. Just book a free call with us.


4. Communication Skills

Communication is key when it comes to working with an eCommerce marketing agency. You want an agency that is responsive and communicative, keeping you in the loop every step of the way. So look for an agency that has clear lines of communication and is easy to get in touch with.


Most of the clients that we close a deal with complain about how their previous agency failed to keep up with communication. If this is your first time hiring an agency, prioritize active communication goals.


5. Contract Terms and Commission Rate

Finally, make sure you carefully review the contract terms and commission rate before hiring an eCommerce marketing agency on a commission basis.


Contract terms and commission rates vary for each agency. Some agencies charge a 10% commission, while some agencies charge as high as over 50%.


Look for an agency that offers a fair commission rate and has transparent terms. Make sure you understand exactly what you're getting for your money and what the agency's expectations are.


Conclusion

Now that you know a bit about eCommerce marketing agencies and the benefits of hiring them on a commission basis, it's time to take action!


If working with us is in your interest, kindly book a call with us and we'll discuss the opportunity.


Don't be afraid to explore the world of eCommerce marketing, and remember, the only thing better than a successful marketing campaign is a successful marketing campaign that didn't cost you a fortune.


So, go ahead and explore your options, weigh the pros and cons, and don't forget to carefully vet the options on your table.

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