Affiliate marketing is a marketing model in which third-party publishers promote a merchant’s goods or services and receive a percentage of the sales or web traffic made as a result. It is typically considered a key part of modern digital marketing.
Affiliate marketing appeals to businesses because it enables them to meet their marketing goals at a low cost. It benefits affiliates by allowing them to earn income simply by promoting products they use and enjoy themselves. Generating affiliate income requires developing a platform and building an online audience.
In addition, it’s essential to stay current with affiliate marketing industry trends. For example, according to Affiverse Media, generative AI and creating content at scale will play an increasing role in how affiliate marketers reach audiences in 2024
What is affiliate marketing?
Affiliate marketing is a revenue-sharing marketing method in which a third-party affiliate, such as a blogger, YouTuber or influencer, advertises a business’s goods or services to help them meet sales or marketing goals. In return for generating sales, the affiliate earns commissions or rewards. A business might work with an affiliate to achieve the following:
For example, a shoe company could partner with a fitness blogger to reach the blogger’s audience of fitness-minded readers. Through the blogger’s efforts, the shoe company could experience more site visitors and boosted sales. Some of the new customers could go on to become long-term subscribers.
While revenue-sharing is not a new marketing concept, modern affiliate marketing usually refers to online digital marketing in which affiliates link to a business’s product or service online and receive a percentage of sales or web traffic. Statista estimated that affiliate marketing spending would reach approximately $8.2 billion in 2022
How does affiliate marketing work?
An affiliate can connect with merchants through affiliate marketing programs. After making some initial connections through a program, the affiliate may be able to find other appropriate merchants and gradually build a wide network of brand partners in a particular industry.
For example, an affiliate marketing program might suggest a range of tech products to an affiliate who reviews cell phones. The affiliate can then build a network within this industry and focus on reaching new customers who are interested in tech products.
Affiliate marketing examples
You likely have seen examples of affiliate marketing before, even if you didn’t realize it. The reason is simple: the most effective affiliate marketing tends to be paired with quality content that readers enjoy and find useful. Although it can be tempting to promote various products to make sales and
drive traffic for merchants, affiliates who have developed trust with their audience by highlighting quality products they believe in are more likely to inspire audience members to make a purchase. In other words: quality and relevance sell.
Affiliate marketing salary
Here are US salary averages, as of March 2024, according to different career sites:Affiliate revenue is highly variable and can often fluctuate from year to year. Furthermore, it can take time for an affiliate marketer to build an online audience and make a profit. Here are US salary averages, as of March 2024, according to different career sites:
How to start affiliate marketing
1. Pick your niche.
Affiliate marketers are valuable to merchants because they can reach specific audiences composed of potential customers. The better you define your niche market, the easier it can be to build an affiliate platform and create original content that meets your audience’s needs.
2. Pick a marketing channel that matches your niche.
Once you decide on the topic, audience, and products your affiliate marketing brand will cover, you will want to decide on a marketing channel. While creating a dedicated review website, such as OutdoorGearLab, is a popular approach, you can also do affiliate marketing on social media platforms like Instagram.
You may find that one channel is more appropriate for your affiliate marketing goals than others or that a multi-channel or omnichannel marketing approach is best.
3. Join an affiliate marketing network.
Affiliate networks connect affiliates and merchants. While it’s not always necessary to join an affiliate network, you will likely find that doing so will make it easier to build relationships with merchants and ultimately increase your potential to earn affiliate commissions.
The type of affiliate network or marketing program you join will depend on the type of products your audience is interested in. In fact, different types of affiliate marketing programs offer a range of products and services from industry to industry.