Most people follow a typical, mundane routine. They do not sleep enough, battle traffic jams to reach the office, deal with one email after the other until they are finally done for the day, and so on. Doesn’t it sound just awful?
And yet, most of us continue to be a part of the rat race to earn a paycheck and survive. What if you could make money on your terms, at any time and from anywhere?
Welcome to affiliate marketing!
“Affiliate Marketing has made businesses millions and ordinary people millionaires.” – Bo Bennet
Affiliate marketing was first conceptualized in 1989 by William J. Tobin. It boomed in 1996 when Amazon Associates, LinkShare, and BeFree achieved significant success. Today, affiliate marketing is one of the most popular tactics to drive sales and make money on various online platforms.
What is Affiliate Marketing?
Affiliate Marketing refers to the activity by which an affiliate earns a commission for marketing another person’s or company’s products. Affiliate marketers promote products and earn some profit from each sale that they make. Sales are tracked via affiliate links for various websites.
Despite the dynamic nature of the digital marketing industry, affiliate marketing is only growing from strength to strength. It’s here to stay!
Let’s take a look at some exciting statistics about affiliate marketing!
Top Affiliate Marketing Trends of 2020!
1. Improved Affiliate Reporting and Attribution
New attribution models and reporting features on affiliate platforms enable affiliates to see a full-funnel and cross-channel view of how individual marketing tactics work together.
For example, last-click attribution is changing. A paid social campaign generated the first click, affiliate A got managed to get a second click, and affiliate B got the last click. One can structure affiliate commissions in a way that affiliate A gets some percentage of the credit for the sale even though it did not get the last click.
2. Influencers are Choosing Highly-Targeted Niches
Previously, large affiliates were the only ones that mattered as they generated a lot of traffic. However, the scenario has changed. Customers are now using long-tail keywords and searching for specific products or services.
Influencers now develop a hyper-focused audience to be successful marketing affiliates. They might not send an enormous amount of traffic to advertisers, but they adopt a targeted approach. They focus on building credibility and possess higher conversion rates.
3. Changes in GDPR
The General Data Protection Regulation (GDPR) is a set of regulations that govern the use of personal data across the European Union (EU). It came into effect on May 25, 2018. This new regulation is forcing some affiliates to obtain user data through opt-in consent, even if they are located outside the EU. Federal Trade Commission (FTC) guidelines also mandate that you disclose when you are entitled to an affiliate commission for your recommendations.
4. Affiliate Marketers are Becoming Smarter
Affiliate marketing is generating a lot of revenue for advertisers. They are relying more and more on affiliate marketers every day.
Affiliate marketers are now leveraging their status to earn higher commissions and are cracking bigger deals with the advertisers. Affiliate marketing is becoming a high stakes game with lucrative commission structures. It is emerging as an extremely competitive space. Affiliate marketing is becoming a passive source of income for those who want to work from home.
Affiliate Marketing Strategies for 2020
1. Pay Attention to Your Affiliate Marketing Sources
When you are an affiliate marketer, it is crucial to know the key demographics of your traffic. You must also know the sources they come from. It will help you customize your content and affiliate product recommendations accordingly.
You must also figure out how much traffic you are generating with the help of various sources. These sources could be organic or paid. They could include email, social media, referrals, and more.
You can obtain this information with the help of Google Analytics. Having this information will allow you to develop more focussed strategies and acquire more affiliate sales.
2. Recommend Products That You Would Use
In affiliate marketing, building trust with the audience is key. When you recommend any product that you aren’t familiar with or a product that may be irrelevant to your audience, you will eventually lose their trust. Do not just prompt anyone to buy the product. Remember, you are recommending the product. Ensure that your audience understands why you are recommending a product. The more quality recommendations you make, the more you will grow over time.
3. Promote Products of Various Merchants
When you promote products of only one merchant, you will get stuck with their commissions, landing pages, and conversion rates. It is essential to work with several merchants and promote a wide range of products. Adopting this strategy will help you increase the scope of the affiliate commissions that you can earn.
Affiliate Marketing is an ideal solution for those looking to make money online. Affiliate marketers can generate passive income from the comfort of their home without producing their own product or service. The success of such a job largely depends on the skills of an affiliate marketer. It can prove as a great second job or an effective way to meet income goal shortfalls.
We hope that the various trends, statistics, and strategies discussed in this blog help you become a successful affiliate. Do let us know your thoughts in the comments section below!