Did you know that about 4.479 billion people in the entire world are unique internet users out there? That’s about 58% of the entire world population that we are talking about.
In this era of digitalization, affiliate marketing has turned out to be one of the most popular tactics for people all across the world to generate some passive income online. About 80% of the brands all across the world equip affiliate marketing in their arsenal. However, there are times when people are curious about whether it’s really profitable to get their affiliate marketing journey started in 2020.
It’s no secret that the market is too crowded and there are tons of affiliate marketers all across the world looking forward to establishing their dominance in the industry. And that’s exactly why they are afraid of investing their money and efforts.
In this blog post, not only will we take a brief look at what affiliate marketing really is, but we will also shift our focus towards whether it’s really worth getting your affiliate marketing journey started in 2020.
What’s Affiliate Marketing?
“Affiliate marketing is one of the most popular performance-based marketing tactics, where a retailer, both online or offline, rewards the marketer with a fixed commission fee for each prospect that turns into a paying customer via the marketer’s promotional activities”
Is Affiliate Marketing Still Worth In 2020?
When done right, affiliate marketing can turn out to be one of your biggest passive income streams. This business model has been around for quite a few years and there are tons of affiliate marketers trying to establish their dominance in the industry. Plus, the frequency of the number of people who join this industry daily is quite huge. However, in this competitive industry, all you need to do is to equip the right tactics and come up with your own unique ideas to be successful.
Let’s take a look at top reasons why affiliate marketing is still worth starting in 2020:
Increase in The Number of Online Shoppers
With such a tremendous rise in the world’s population each year, there’s been a huge rise in the number of Internet users all across the world. With such advancements in technology, people, in today’s digitalization era, head over to the Internet to find a solution to their problems and buy products and services.
According to Oberlo’s E-Commerce statistics, the number of online shoppers will rise to about 25% of the entire world population by 2021. Imagine the number of people you’d be able to target with affiliate marketing. Provide your target audience with the solution to their problems and they’d love to buy a product or service that you’d refer to them.
Growth in E-Commerce
According to reports, about 14% of the overall worldwide retail sales will be subject to E-Commerce websites. With such a tremendous rise in the number of E-Commerce stores opening each and every year, there will be an increase in the number of opportunities for affiliate marketers all across the Internet. Various big guns such as eBay, Amazon, Walmart, etc. already have their affiliate programs up and running which affiliate marketers can take advantage of.
Increase In Number Of Products & Services
Alongside the existing opportunities, there are lots of products and services being launched each day.
Most of the companies that launch these products are looking forward to promoting their products and services, but aren’t able to do it themselves as a result of their weak network. Various businesses such as law firms, brick and mortar businesses, insurance companies, construction contractors, health insurance providers, etc. are developing their own affiliate programs.
Some of them might even pay more than 40$-50$ for each lead or prospect that you help them generate.
Big guns in the E-Commerce industry, namely eBay, Amazon, etc. pay billions of dollars to the affiliate marketers that help them bring customers. Alongside, there are various other affiliate networks, namely Awin, ClickBank, ShareASale, etc. that are specifically dependent on the affiliates.
Let’s take a look at some of the mind-blowing stats that will prove our point:
- In 2018, Awin spent $700 million on its affiliates.
- ClickBank’s annual revenue is more than $200 million, where most of the sales generate come from the affiliates.
- Affiliate marketing is one of the largest industries with its worth more than $18 billion.
- As mentioned above, about 80% of the brands all across the world equip affiliate marketing in their arsenal to increase their revenue.
It’s 2020 and we can proudly conclude that affiliate marketing’s NOT DEAD. If you ask me, the market is BOOMING.
At first sight, affiliate marketing is simply a dream come true business: No own product creation, no storage of items, no shipping, no customer support, etc. Unsurprisingly, almost everyone online wants to make use of this model of generating commissions for promoting other people’s products online. But the truth is, more than 95% of newbies fail to do affiliate marketing with success.
People start out with very high expectations and end up giving up because the money-making part of their affiliate business is just not lifting off. From my own mistakes and the learning curve of many other online entrepreneurs, I can tell the most reasons for failure in this business are caused by the wrong mindset or the lack of proper skills.
You absolutely can and will succeed in this business, if you stay away from tempting scams, if you learn the skills from mentors you can trust, if you apply your skills steadily, if you don’t let setbacks ever stop you and if you always take care of your mindset since it’s the most crucial factor in this whole game.
I hope you have found some good insights about critical factors in affiliate marketing.