Yes, affiliate marketing is worth it. It is one of the top methods of promotion for merchants and a top income source for affiliates.
This industry is growing rapidly. It is worth more than $14 billion. And, it generates 15% of total online revenue. These numbers are increasing each day. See these affiliate marketing statistics and you’ll be amazed.
We can get a lot of benefits from affiliate marketing. However, there are a few disadvantages that we’ll discuss at the last of this article.
Is Affiliate Marketing Worth It For Affiliate Marketers?
Affiliate marketing is beneficial to an affiliate marketer in a lot of ways. You may have one goal in mind before starting affiliate marketing, but, it gives you more than you expected. It gives you a lot of options once you realize success on it. Let’s see a few of the points that make affiliate marketing a worthy career to pursue.
#1 Passive income source
Think about what a person can do for a job. One spends more than three years in college to get a degree. And, at last, imprison himself to a 9 to 5 job. One does all this for money after all.
If you do affiliate marketing with everything you have in your heart and mind, you can make a passive income in no time. Yes, you need to keep working to get continuous results. But, the efforts you put in today to create content and grow your affiliate marketing business pay you for years.
It’s a different thing that only 10% of affiliate marketing startup succeeds. After all, it’s a business. Everyone can’t succeed, mostly because everyone isn’t patient enough to wait and diligent enough to put in continuous efforts.
Data shows that 12% of affiliate marketers manage to make more than $75K each year. This is better than most of the jobs. Moreover, jobs don’t provide you additional benefits like affiliate marketing, besides security (which is also questionable).
#2 Authority and Influence
This is another reason why affiliate marketing is worth it. You’ll have authority and influence on the internet in your industry. People will listen and follow you. If you have an audience who listens to you, you get a lot of power to influence their life. You’ll be able to help them, solve their problems and in the meanwhile grow your business.
Authority is built from trust. So, an affiliate marketer who can’t gain the trust of his/her audience can’t succeed. Moreover, it takes a lot of time and effort to build authority in an industry on the internet. Affiliate marketing makes it easy for you to build authority and have an influence.
People start to know you, and you’ll start to know other people. You get a chance to get familiar with other influencers in your industry in the affiliate marketing journey. Authority and influence are one of the greatest assets of an affiliate marketer. These are the reasons why an affiliate marketer earns.
This is the greatest benefit of affiliate marketing. And, for some people a reason to start it. At a certain point in the future, you’ll be able to leave affiliate marketing and do other things that you care most about.
It doesn’t mean that without doing anything you’ll keep making money from affiliate marketing. But, once you start to make enough money, you can outsource everything. You can build a team and recruit managers and let them work for you. You can check in once in a while to see how your business is going.
Your affiliate marketing business also needs strategies and vision to grow it and at least stay in the same position. For this as well, you can build a specialized team.
It will obviously take time but it’s possible. You can get complete financial freedom from affiliate marketing. Again, easy said than done. Surely, you don’t start affiliate marketing to fail, so we can assume freedom as the greatest merit of affiliate marketing.
#4 Faster growth
Affiliate marketing isn’t a new concept, still, unlike most offline businesses based on existing concepts, it has huge growth possibilities.
If you treat affiliate marketing as a real business and put in some investments, it shows results faster than you expect from a brick-and-mortar business.
Moreover, offline businesses need comparatively larger investments than affiliate marketing businesses.
Well, if you don’t do any investments in your affiliate marketing business, it may take a little bit longer to earn a living. Still, you can grow faster compared to many offline businesses provided that you have a solid strategy to grow your business.
As you know, 90% fail in affiliate marketing. Lack of investment or avoiding it is also a reason why they fail. However, nothing can beat a solid strategy. Buzref is the best place to find free resources to help you establish a successful affiliate marketing business.
#6 Audience and network
Affiliate marketing doesn’t help you to build an audience. In fact, you need to build an audience to do it.
Whatsoever, you’ll have an audience. It will be much easier to expand a business or start a new one if you have an audience listening to you.
For instance, you can get tons of subscribers if you start affiliate marketing on YouTube, or a lot of exposure if you start an eCommerce store.
It will be very easy to get success with another business. You won’t have to struggle as you do with the first affiliate marketing business.
The larger audience you have the more money you can make. Affiliate marketing makes you build an audience. Later, you can use the audience for the current business and any new business you may start in the future. Therefore, affiliate marketing is a long-term business model that may not give you any profits instantly but will give you a lot more than you expect in the future.
#7 Opens the doors of opportunities
I’ve talked a lot about the opportunities you can get in the future from affiliate marketing. However, this topic deserves its own section.
Let’s see what affiliate marketing make you able to do.
- Create your own eCommerce store and sell your own products instead of affiliate products to get the maximum profits
- Launch your own affiliate program and sell your own products
- Expand the business to grab a larger portion of the market
- Start another related online business and grow it with ease
- Partner with other influencers in the industry to create something worthy and beneficial
- Easily conduct studies and use the data to improve all of your businesses
- Get instant feedback on any new effort
Is Affiliate Marketing Worth It For Merchants?
As you know that affiliate marketing is a win-win for everyone involved. Merchants get the greatest benefit from it. More than 81% of online merchants now have an affiliate program. It helps them in a lot of ways. Some of which are described below.
#1 Sales and revenue
No doubt that affiliate marketing helps to generate sales for a business. Many successful online businesses you see today utilize the power of affiliate marketing.
More sales equal more revenue and more revenue means higher growth. An online business can even grow solely through affiliate marketing. Of course, it will require a good strategy, efforts, and some investments.
Selling products is one of the main goals of setting up an affiliate program. A merchant only has to attract affiliate marketers, then the marketers with do the work of finding customers. However, once a visitor lands on the product page, it’s the merchant’s duty to transform that visitor into a customer.
#2 Brand awareness
This is another reason why a business launches an affiliate program. In fact, 84% of the merchants who have affiliate program says that they launched it for brand awareness.
Your brand gets a lot of exposure when affiliate marketers promote it to their audience. And you don’t have to pay them for the promotion. You only have to pay upon sale.
Affiliate marketing also increases the brand trust of your business. If an influencer promotes your brand instead of your competitors, then you’re more trustworthy in the eye of the consumers.
Brand trust is the greatest reason why one chooses a product over others. It is also a big factor in any business’s success.
#3 Exponential growth
Unlike other marketing methods, affiliate marketing has the power to grow a business exponentially. With a profound strategy, you can generate tons of sales in a very short time.
In the long term, affiliate marketing makes your brand more valuable. The affiliate marketing conversion rate for a merchant is as high as email marketing. More conversions mean more revenue and growth.
The Problems With Affiliate Marketing
All the factors described above make affiliate marketing very worthy for both merchants and promoters. However, the fact that it has all these merits make it a little bit harder. Let’s see some of the problems you have to face in affiliate marketing.
Almost 80% of online businesses and content creators use affiliate marketing. This makes it super competitive. You can find tons of affiliate marketers and programs in every industry. They all are competing against each other to get the most from affiliate marketing.
Affiliate marketers are usually content creators (bloggers, YouTubers, etc) and influencers. It’s very easy to start affiliate marketing, but getting consumers for your content is very hard because of the competition.
For a merchant, creating products, setting up an affiliate program, and getting promoters take a considerable amount of time. Similarly, for a promoter, creating content and building an audience takes a lot of time. It’s nearly impossible to get overnight success.
Continuous efforts are needed to get the expected returns from affiliate marketing. Moreover, affiliate marketing skills are required to generate sales.
Ascending competition is the reason why it takes time to get results from affiliate marketing. To beat the competition you need a strategy, and it takes time to build a strategy and implement it.
By reading this article, you must have got your answer. Affiliate marketing is very worthy for both merchants and promoters. It may take time because of competition, however, if continuous efforts are put you can generate a lot of profit. Take your time to build foolproof strategies so that you can get the most out of affiliate marketing.