The affiliate marketing industry is on the rise. According to a study by Forrester, global affiliate marketing spending is expected to reach $6.8 billion by 2021. So what is causing this growth? This blog post will discuss the top reasons why affiliate marketing is on the rise and how businesses can benefit from it.
Let’s take a look at these reasons.
- Affiliate Marketing is a common way to supplement sponsored media
Many companies are trying to secure top-rank results in search engine rankings, but this is becoming more expensive. Affiliate marketing is an integral part of the media process for both online and offline content. It helps publishers find a new audience and give advertisers a way to tap into high-quality traffic sources. The main reason affiliate marketing is becoming popular day by day is that it can offer better returns than other traditional advertising avenues like TV, print, or radio.
Also, with the growing number of audiences turning to social media platforms, especially Facebook, for getting their news, bloggers are using social media channels as their best medium for affiliate marketing.
- Affiliate Marketers are a key part of advertisers’ media mix
There are now more than 300,000 affiliate marketers in the US, and they represent a sizable portion of advertisers’ media mix. Thirty-five per cent of respondents to an Association of National Advertisers (ANA) survey said that affiliates represented 20% or more of their online budgets; nearly 90% said they use them for between 1-20% of their budgets.
According to a study conducted by Ernst & Young LLP and published by eMarketer, 86% per cent of affiliates report revenue growth year over year, with 74% reporting significant increases in revenue from 500K or less 1MM+.
- Affiliate Marketing makes data lead techniques more effective
Internet marketing is a powerful tool that most business owners use to promote their websites and increase sales. Some marketers have even found success doing it alone! However, many small businesses do not have the time or the patience to research all of the different strategies available to market online. Many try out affiliate marketing because it does not require any hard work.
- Affiliate Marketing gives businesses another source of revenue
Most affiliate marketers are paid directly by merchants or product creators when someone buys something after clicking on an affiliate link that they shared on their website or blog. It provides another source of income for these companies that can’t afford full-time employees.
Also, having affiliates promote your products may result in more people purchasing the products. Just the fact that affiliates are willing to promote a product already signals that it is of high quality and may be useful for consumers
- Affiliate Marketing helps businesses reach more people
Businesses can make up to $100 per sale through affiliate marketing. This way, they can reach more people and increase sales and profits. If a particular marketer specializes in promoting tools or software, they will create links on websites that are popular such as online discussion forums.
The Bottom Line
Affiliate marketing is one of the most popular ways to earn money online. Ensure you know how it’s done and why affiliate marketers are becoming rich off this opportunity before you jump into the game or waste your time on poor programs.
