Affiliate marketing has proven to be an incredibly valuable channel to drive new customer acquisition and overall online revenue. Over the 13 years I’ve been in the space, it’s proved that time and time again. From large retailers (Zappos) to small, from lead generation to business to business, affiliate marketing is a vital channel to find new customers and grow your sales. There, ’nuff said.
Ok, maybe you need some more …
Here are a few reasons:
Now let’s look at some of the data that was put together by others and we compiled in this Affiliate Market Size infograph:
- 93% of respondents to an IAB survey are either likely or very likely to recommend affiliate marketing to someone in a similar position.
- Affiliate marketing is the second top acquisition source according a shop.org survey.
- U.S. affiliate marketing spending will reach $4.1 Billion in 2014, up from $1.6Billion in 2007.
- Merchants see, on average, 23% of total online sales from the affiliate channel, according to AffiliateBenchMarks.
- According to Jupiter Research, consumers through affiliate marketing are likely to spend $7 more per order and are 17% more likely to have larger incomes. Referrals from this channel are 43% more likely to convert into a sale.
JEBCommerce has driven tens of millions of dollars through this channel for our clients and over 1 Million visits in the first half of 2012 alone.
Let’s play follow the leader. Here are a few large companies that are using affiliate marketing to hit their revenue goals, you may recognize and even try to emmulate a few of these:
- Amazon.com
- Walmart.com
- Zappos.com
- NewEgg.com
- Macy’s
- 4 out of 5 of Internet Retailers Top 500 retailers use affiliate marketing to drive sales
Why show you what others are doing? Well those companies alone spend millions on this channel. Those dollars aren’t only spent on customer acquisition, they are spent on analysis and research. They have teams working their numbers and their intelligence and if affiliate marketing wasn’t viable, you’d see them remove it from their marketing mix. We all watch those companies in our space that we know are doing a much better job than we are, maybe you follow some of those above.
Merchants all over the world rely on the affiliate channel to help them reach their goals. If you’d like more information on how you can utilize this space to meet and surpass your goals, just let us know – jamieATjebcommerce.com.
