Affiliate isn't dead. Far from it.
In fact, affiliate marketing is booming in 2023. And there's many different reasons for this.
In this article I am going to tell you 13 different ways why it's still booming. So if you're thinking of doing it, read on!
13 Reasons Why Affiliate Marketing is Booming in 2023
- Low Risk / Low Startup Costs
- Global Audience
- Increased Demand for Shopping Online
- AI Has Made it Easier to Produce Content
- Ability to Make Passive Income
- Work Anywhere, Anytime
- Personal Recommendations Have Increased in Value
- No Need For Customer Support
- No Need To Develop Your Own Product(s)
- Digital Shift
- Plenty of Tools are Available
Low Risk / Low Startup Costs
A very appealing aspect of affiliate marketing is its low-risk nature as a business model. For example, if you want to do affiliate marketing with a blog or website (and you should!) you can get started for less than $100. Check out my article on the costs of starting an affiliate marketing website.
The costs increase if you decide to do affiliate marketing using paid ads. However, with a successful campaign, the profits should greatly outweigh the costs.
You don't need to create a product, have customer support, or deal with headaches when it comes to selling your own products. This is why it's such low risk. If it doesn't work, you can choose another product or niche without risking much.
Affiliate marketing offers new entrepreneurs an opportunity to market globally. For example, if you live in Australia, you could be making sales way over in the good 'ol USA.
The internet has opened up this opportunity to reach the masses globally. And, smart marketers have taken advantage of this. You no longer need to market locally. You can reach an audience where the money is at.
Increased Demand for Shopping Online
The rise of online shopping has created an opportunity for affiliate marketers. The COVID-19 pandemic has further accelerated this trend because people were forced to buy online.
With more people looking for products and services online, you now have a greater chance for success in your affiliate marketing business.
In fact, affiliate marketing spending has been steadily increasing year to year. Take a look at the graph below from Statista. It was 1.6 Billion dollars in 2010, and went to 8.2 Billion in 2022. For 2023 and beyond as the trend suggests, it will only get higher.
This confirms that more people are buying online year after year.
AI Has Made it Easier to Produce Content
One of the challenges affiliate marketers face is content creation. It's hard to write when you have writers block or just don't know what topics to choose from.
Enter AI writing tools. With AI tools like ChatGPT and Jasper.AI, creating content has become SO much easier. These tools can write high-quality content in seconds which is almost always plagiarism free. It's revolutionized the content creation process and has made one's marketing efforts much easier.
However, it's important to fact-check and edit AI-generated copy in your blog posts and other content that you plan on ranking in Google. In time, search engines could penalize too much AI-generated content so you should be careful with this. These are just my thoughts!
Ability to Make Passive Income
One of the key benefits of affiliate marketing is its ability to provide passive income. And yes, this means you can make money while in your sleep!
Many affiliate programs offer a subscription-based service, so if you can get people to sign up for such programs, you'll make money month after month as long as they remain paying customers.
Making passive income allows you to work on other projects or even take a couple of weeks off to enjoy a well-deserved vacation. There have been many times when I actually made more money doing nothing while on vacation compared to grinding it day in and day out at home.
Work Anywhere, Anytime On Your Terms
Imagine not having to navigate through traffic every day to get to your day job. Imagine not having to wake up to an alarm clock!
This is probably one of the most attractive reasons why affiliate marketing is booming. People are tired of working at a job they hate. And, would love to live anywhere in the world while still making an income because you can do it anywhere, anytime, and on your terms.
Of course, you would need to have a stable income coming in before you consider quitting your job. I would not suggest just submitting your resignation and moving to a remote area to start your affiliate marketing business. Get it working for you first, then consider the move!
Personal Recommendations From Content Creators Have Increased in Value
Today, people have become a lot more savvy when it comes to buying products or services online. Instead of "trusting" sales letters, they will seek reviews and personal opinions from 3rd party reviews or experts.
This is where you come in. If you have a niche that you are experienced in, your opinions could lead to some great sales from your affiliate links.
This is done by providing personal opinions when it comes to affiliate products. It's best to try the products yourself and tell your audience what you honestly think of them. If it's not a great product, then recommended something that you feel is better. If you recommend every product under the sun, your reviews won't be trusted and you'll lose your audience. Remember, people are savvier these days!
No Need for Customer Support
You are responsible for advertising and promoting the product, not support. Any customer queries or complaints will go directly to the product creator whether they bought a product from your affiliate link or not.
The absence of support is a great benefit for marketers because their only focus is to find their target audience full of potential customers and promote products to them. Support would only take up too much time.
I believe that the elimination of product support is definitely one of the driving forces behind the growth of the affiliate marketing industry.
No Need to Develop Products
The amount of time and money it takes to develop a product is monumental. Why waste all that money and resources in creating your own product when you can just focus on promoting others?
On top of that, you won't need to manage inventory, shipping, and returns.
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The digital revolution has transformed affiliate marketing. This presents a huge opportunity for all, including bloggers, Influencers, affiliate partners, and affiliate networks.
Affiliate marketers can use many different digital channels such as social media, blogs, and email marketing to reach a broader audience and interact with prospective customers.
With other potential digital marketing channels on the horizon, there will be even more avenues for affiliate marketers to reach an even wider audience.
Many affiliate marketers have been able to quit their day jobs, myself included. In fact, I left mine in 2013 and never looked back.
If done right, you can make a LOT more money than any job could ever pay you. Unless of course, you are the CEO of a Fortune 500 company. Then again, some marketers can give even them a run for their money!
While there is no guarantee you can make a lot of money with affiliate marketing, the potential is there. If I can do it, so can anyone else. It just takes a lot of determination, and sometimes a little bit of luck!
Affiliate marketers can scale up without having to incur substantial costs. For example, if you have a blog, you could write new content for free. This new content will bring in new traffic and of course, affiliate commissions.
You can also choose more affiliate programs to promote. If you are focusing on just digital goods, why not start promoting physical products too?
Signing up for new programs doesn't cost anything. For digital products, look to popular networks like Clickbank, Commission Junction, ShareASale, JVZoo, and more.
The more networks you join, the more scalable your business becomes because the variety of products you can find in each network is usually different.
Plenty of Tools are Available
Many SaaS companies are aware that affiliate marketing is a lucrative business venture so they've created many products around it to help.
For example, keyword research tools like Ahrefs and Keysearch (there are many), AI tools for content, tools for tracking rankings in the Serps, click tracking software, sales tracking software, and more.
Some of these tools are paid, while some are free. Tools make it much easier for affiliate marketers to succeed, and there are so many of them available. It's because software companies know there's a big demand for it.
So there you go - the 13 reasons why affiliate marketing is booming in the 2023. If you need any reason to start, any one of these should be good enough, and I gave you 13 of them.
From a low cost of entry to being lucrative, job replacing income which allows you to work anywhere, I'm surprised more people aren't doing it!
If you want a head start on affiliate marketing, check out my suggested affiliate marketing courses. If you have any questions, feel free to contact me!
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