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Affiliate marketing becomes major growth driver for brands in Singapore as investments surge

Affiliate marketing becomes a core growth channel for Singapore brands as investment rises and creators gain greater influence.

Affiliate marketing is fast becoming a key growth driver for brands in Singapore as rising costs in other marketing channels push companies to seek more efficient and measurable alternatives. A new report from impact.com, a global commerce partnership marketing platform, shows that the affiliate channel has evolved from a supplementary tactic into a core element of brand strategy.

Affiliate marketing’s growing importance

The study, titled ‘The Global State of Affiliate Marketing Report in 2025’, surveyed over 1,500 marketers, creators, and publishers across eight markets, including Singapore, Australia, the US, the UK, Canada, France, Germany, and Italy. Singapore’s findings were based on responses from 60 marketing professionals managing affiliate programmes across startups, SMEs, and large enterprises.

The results point to a more mature and data-driven affiliate landscape in Singapore. Once viewed as a side channel, affiliate marketing is now seen as a strategic engine for growth, delivering measurable returns on investment and long-term value. The report also highlights the growing importance of localisation, with creators increasingly valued as full-funnel partners who support both performance metrics and brand-building objectives.

Almost half (48%) of Singaporean brands said they plan to make creators a high priority for their affiliate marketing strategies in the coming year, dedicating between 25% and 50% of their affiliate budgets to influencer partnerships. A further 12% called creators their top focus, allocating 50% or more of their budgets to this area. Among all markets surveyed, Singapore is expected to see the strongest rise in influencer-led affiliate growth, up by 37 percentage points.

“As customer acquisition costs keep rising, creators have become one of our most effective performance channels,” said Sarah Ann Lim, Global Partnership Manager, Affiliates & Creators at Castlery. “We’re seeing real ROI from partnerships that combine creative storytelling with measurable outcomes, and we’ve evolved our compensation model to reflect that.”

Rising investment and measurable returns

Confidence in the affiliate channel is strong across Singapore. Three in four brands (75%) increased their affiliate investment over the past year, with 62% reporting moderate growth and 13% expanding significantly. The impact has been clear: 61% of brands now attribute more than a fifth of their total revenue to affiliate marketing, while 65% have achieved stronger returns on ad spend and 70% have seen revenue growth in the past 12 months.

Looking ahead, 80% of brands in Singapore plan to further increase their affiliate budgets in 2026, reinforcing their belief in the channel’s cost efficiency and long-term potential. Many brands are also moving away from uniform payment structures, adopting hybrid models that mix flat fees with performance-based commissions to better align incentives and outcomes.

Redefining success in affiliate marketing

Despite the positive momentum, Singaporean marketers continue to face challenges. Budget limitations (37%) and shifting consumer behaviour (37%) remain the biggest concerns, while one in four respondents cited growing difficulties with data privacy and tracking. Among those expanding influencer partnerships, the most common issues include measuring long-term ROI and maintaining clear communication with partners.

To address these, marketers are increasingly turning to data-led ecosystems that connect brands with creators, publishers, and commerce platforms. The focus is shifting from short-term impressions to business impact, with greater emphasis on partner enablement, training, and compliance as companies expand globally.

“The data shows a major shift in mindset. Brands in Singapore are reallocating budgets based on what is driving measurable, cost-effective growth,” said Adam Furness, Managing Director APJ at impact.com. “Affiliate marketing has evolved from transactional relationships into strategic partnership programmes. We’re seeing marketers build sophisticated partner ecosystems that deliver across the entire funnel.”

As the digital economy grows more competitive, affiliate marketing is set to play an even larger role in how brands balance performance and efficiency. With creators, publishers, and technology platforms driving measurable outcomes, Singapore’s marketers are entering a new phase where partnerships sit at the heart of growth strategy.

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