Affiliate advertising started in 1989, and since then, it has been continuously gaining steam. It is now a well known and proven revenue sharing trend which has opened up many channels through blogs, discussion boards, social networking sites, and big associate programs. While many have found success with it, many things have changed considerably that marketers today are wondering if this strategy is dying or dead.
In the US, affiliate marketing spend is set to reach 6.82 billion this year, and by 2022, to 8.2 billion dollars, according to Statista. This shows that it has been steadily growing fast. Recent research by VigLink reveals that more than 77 % of affiliates experienced growth in earnings each year after 2016. These statistics indeed show that affiliate marketing is not dead nor dying. With this post, I will look at how this particular marketing type’s trends have changed over the years. I will also look at how the successful affiliate marketers are doing it and how you can cash in as well.
And so, with no further ado, let us jump in!
Affiliate Marketing Trends and How They Evolved
Affiliate advertising had been continuously growing since the beginning more than 30 years ago. As we started shifting toward the information age in the past few years, this particular method became very popular. When examining the trends, it is not hard to see that affiliate marketing isn’t dying anytime soon.
- Affiliate advertising makes for 30 % of product sales for advertisers.
- In Canada and the US, it is responsible for 16 % of e-Commerce.
- About 81 % of brands and online businesses depend on this platform to produce sales.
- It is worth more than a billion, and it continuously grows.
Affiliate marketing is not dead or even dying – although it has changed. What worked before might not work today anymore. That is the reason why many internet marketers who have failed to adapt and innovate would discover themselves repeatedly failing using their old methods and techniques.
Affiliate marketing has changed in three ways:
- Competition is increasing. The concept of working at home is incredibly attractive, and there are more and more people who are moving into affiliate marketing than in the past. Companies also are recognizing how good this particular type of advertising is to increase their net profit. Because of this and so many individuals, all doing the same thing, tactics, and strategies used to work before might not be as successful any longer.
- Inclusivity. With even more people jumping on the affiliate advertising bandwagon, big businesses are becoming much pickier about who they admit to their affiliate programs. They are screening people more and adding stricter requirements like a successful website, email list, blog, etc.
- Brands are rising. Affiliate advertising depends on brands. Google and Facebook have always favored brands, and that’s not likely to stop today. Many big and trusted brands such as the New York Times have jumped into affiliate marketing.
Changes to Amazon’s Affiliate Program
Amazon is the world’s reputable online marketplace, as well as an e-commerce platform. The associate’s system recently underwent several changes that negatively impacted plenty of internet marketers. Amazon cut affiliate commissions this year, left many speculating if affiliate marketing is still worth it. The cut was shocking for most businesses and catastrophic for others. Nevertheless, there are usually opportunities hidden even in such difficulty. And this is not an exemption. The fact is that even with this happening, there are still numerous marketers who enter the realm of affiliate marketing. In reality, there is a great deal of affiliate internet marketers that have proved their determination countless times.
If you want to become one of them, I have listed below some of the best practices you can consider:
Affiliate marketing is not dying, though it’s turning into a far more competitive business, which usually requires a great deal of hard work and knowledge. Those who became affiliates at the start of the game are fortunate enough to have a network in place that does not demand them to change that much. However, those who are new, they need to adapt and set realistic goals.
It’s crucial to understand that affiliate marketing is not a quick get-rich scheme. You can find many marketers and brands that now have a stronghold on specific sectors, and it will likely take a lot of creative efforts and hard sales effort to make a name for yourself.
I have listed below some of the best practices to run a successful affiliate marketing program:
- Stick with a niche and master it. You might think that marketing many products will give you more chances to become a successful affiliate. The more you can narrow down the field, the more knowledge and expertise you will gain, and will position you to become a future merchant.
- Screen your merchants thoroughly. Although you’re marketing yourself as an affiliate marketer, part of the deal is to make sure that you work with reputable and credible merchants. In case you direct your customers to a subpar merchant that sells them low-quality items, they’re unlikely to use your channel for future purchases – ever again.
- Learn from others. Learning from others proves to be advantageous if you want to be a successful affiliate marketer. One way can be to attend networking events or perhaps reach out to other affiliates in your niche to learn more innovative and creative ways.
- Try again and again. Affiliate marketing isn’t a simple task, but there’s a great deal of possible incentive for those who do not give up. Take a look at each failure as a learning experience and attempt to determine what you can change to do better next time.
- Never miss a thing – track everything. To know what works, you need to be monitoring what you’re doing in your network. This means you measure sales, conversions, and clicks of every one of the products you’re advertising. Do not miss a thing.
- Expand and diversify your sources. It is quite apparent that you should not stick to one traffic source to market your services or products. A good start would be to market on your blog or website. Still, it is a must to consider other avenues.
So to answer the question, “Is affiliate marketing dead?” it is not! It is just changing.
There must have been significant changes, but affiliate marketing sure is still worth pursuing. If you are prepared to invest your time and energy needed to create a dependable brand and give value to your audience, affiliate marketing will work for you. Even amid significant changes such as increased competition, Amazon commission cut, and even Coronavirus-related issues, anyone can still be successful with it for as long as you stay flexible, adaptable, and innovative. The times are changing, so should you!
Set your goals in motion now, and use the information in my blog to get you started!