There are actually countless opportunities for making money online. In fact, studies from Upwork and Freelancers Union found that 35% of American workers took on freelance work in 2019 and 77% of them claimed that technology made it easier to find such work.
Affiliate marketing is one way to make money via the Internet as the aim is to produce passive income. However, whether affiliate marketing brings successful results or not will be shown in the long term. Therefore, hard work and patience are required in this field.
This article looks further into how to earn from affiliate marketing as well as steps in doing so. Let’s take a closer look.
How much can you actually make from affiliate marketing?
The affiliate marketing industry has been steadily growing. Studies have shown that affiliate marketing spending in America was predicted to reach $8.2 billion by 2022 compared to $5.4 billion in 2017 and $1.6 billion in 2010.
According to a survey from VigLink, which offers a closer look at how much income affiliate marketers make, 9% of them generated more than $50,000 in affiliate income in 2016. The majority of them, around 65% claimed that they were making between 5%-20% of their annual revenue from affiliate marketing.
Level of experience and revenue were somehow connected according to the survey. In fact, out of all affiliates with the most revenue, 60% had been involved in affiliate marketing for more than five years.
Advantages and disadvantages of affiliate marketing
One of the most important advantages of affiliate marketing is that you can actually earn big commissions without much effort once your business is up and running. The main requirement is that you have a steady flow of traffic to your blog, website or other channel. However, there are also some disadvantages.
If the company you are working with changes the terms of its affiliate program, your revenue and commissions could be directly impacted. Therefore, you should do good research before starting as partnering with the ‘wrong’ businesses can also cause problems. Your blog or website audience should somehow feel compelled to buy their products or services, otherwise you won’t earn money. Taking for granted that affiliate marketing keeps growing and the competition is big, you will need to compete with rivals who promote similar products. Last but not least, you will have to keep bringing people to your website with fresh and concise content.
Does affiliate marketing work?
As this article suggests, affiliate marketing, just like any type of self-employment or business model, has both advantages and disadvantages. Understanding these will help you decide whether it is the right path for your financial and business goals.
Being successful in affiliate marketing depends on how much time and effort you invest in growing your business and building partnerships with your audience and partner companies.
If you pursue affiliate marketing, you need to understand that this is not a fast and automatic procedure. Nevertheless, it is feasible to earn a decent and legal income as an affiliate marketer.
Disclaimer: This information is not considered as investment advice or an investment recommendation, but is instead a marketing communication