Is Affiliate Marketing…Good?

Is affiliate marketing good? The question is vague, broad, and stupid. If I had to answer, I would say no. Until probably a few years ago, bloggers and "make money online" spammers all said it was a go-to method for any beginner. But things have changed. There's nothing special about affiliate marketing. It's like saying, "Are shops good?" 

Over-Saturation in the Market

First off, there's a huge issue with over-saturation. Back in the day, affiliate marketing was like a secret club - not many were in on it. Now, it's a different story.

The affiliate marketing industry is huge. In 2021, it was valued at around $17 billion worldwide. With more players in the game, individual success stories are becoming rarer. Various surveys show that the number of affiliate marketers has increased by over 50% in the past five years. This surge means more competition and fewer opportunities to stand out.

When I look at the influx of new marketers, I can't help but feel lost in the crowd. Where I once saw ample opportunity, now it feels like a scramble for scraps. This saturation makes it harder for anyone to stand out. You're not just competing with a few savvy marketers anymore; you're up against thousands of others all vying for the same attention.

Decreasing Commission Rates

Another big problem? Decreasing commission rates. Brands used to offer pretty attractive commissions to affiliates, which made the whole thing worthwhile. But as more people have jumped on the affiliate marketing bandwagon, many brands have slashed their commission rates.

• Average Commission Decrease: Reports indicate that average commission rates have dropped by about 30% in the last couple of years.
• Earnings Impact: This decrease significantly affects earnings. For instance, what used to be a $100 earning per sale can dwindle to $70 or less.

For example, what used to earn me $100 per sale now brings in maybe $70. It's been a tough adjustment. This means even if you're making sales, the financial reward isn't what it used to be. Working twice as hard for half the pay? That's not exactly an appealing proposition.

SEO Is No Longer Worth Working For

Search engine optimization used to play a huge role in affiliate marketing success. But Google's algorithms are now extremely unreliable for any individual business owner.

Google updates its algorithms thousands of times a year, with major updates happening several times. Each update can shuffle website rankings, affecting traffic to affiliate sites. Each update means reevaluating and adjusting strategies. There were times I woke up to find my site had dropped several ranks overnight, slashing my traffic and, consequently, my income.

Approximately 70% of affiliate marketers rely heavily on SEO for traffic, making them vulnerable to these changes. But new updates affect our websites' visibility, and when your site doesn't show up in search results, say goodbye to potential affiliate sales.

Ad-Blockers and Privacy Concerns

Did you know that over 40% of internet users worldwide now use ad-blockers? This means a huge chunk of affiliate ads never reach their intended audience. It's actually estimated to cost marketers billions in lost revenue annually.

People are more privacy-conscious these days, and who can blame them? With this rise in privacy awareness comes the increased use of ad-blockers. This spells trouble for affiliate marketers who rely on ads to drive traffic. If your ads aren't being seen, your affiliate links aren't being clicked. It's as simple as that.

Diminishing Trust from Consumers

Trust is a major factor in successful affiliate marketing. But let's face it, consumers have become wary. A survey revealed that only about 33% of consumers trust ads they see online. This skepticism extends to affiliate marketing, as consumers often view affiliate links as biased.

With so many affiliates out there pushing products left, right, and center, people have started to see through the gimmicks. When trust goes down, so do click-through rates (CTR) and, ultimately, sales. 

The average CTR for affiliate links has dropped to less than 0.5%, a steep decline from previous years. It has become increasingly hard to convince visitors that my recommendations are genuine and not just for profit, to be honest.

The Rise of Social Media Influencers

Social media influencers are the new kids on the block, and they're taking a big piece of the marketing pie. Brands are now more interested in partnering with influencers who have large followings.

• Influencer Marketing Growth: The influencer marketing industry is set to grow to approximately $15 billion by 2022, drawing funds away from traditional affiliate marketing.
• Brand Preferences: Around 80% of brands prefer working with influencers, seeing them as a more direct and engaging way to reach potential customers.

This shift has taken a chunk out of what was once reserved for affiliate marketers. It's tough to compete with someone who has hundreds of thousands of followers and can sway opinions with a single post.

Is Affiliate Marketing Good?

No, it is not the golden opportunity it used to be. You know by now that despite the hype and the success stories from the past, the reality today is far different, right?

Market saturation, reduced commissions, and evolving consumer attitudes...all contributed to its decline. But online marketing gurus and success seminars don't tell you that. Most discussions around affiliate marketing focus on its potential and how to succeed in it, glossing over the increasing difficulties. The fact is, you're lucky if you get a decent income from it from time to time. Nothing more, nothing less.

Virtual Reality Experience Affiliates

VR has taken the world and it's becoming normal now, but affiliate marketing in this space? That's still pretty new. Imagine pitching not just products, but entire virtual experiences. It's like selling tickets to a world that only exists in digital form, you know?

Out-of-the-Box VR Experiences

Think about this: What if you could be an affiliate for virtual reality experiences that are way out there? We're talking about things no one has thought of before. For example, what about a VR trip to a fantasy world where you're a dragon? Or maybe a virtual reality space where you can paint the stars and create your own galaxies, right?

Tiny Commissions, A Little Impact

The commissions on these might be small, but the impact? Okay. Each sale might only net a few bucks, but the uniqueness of these experiences means people will be talking. Plus, the novelty factor is okay-ish too. 

Everyone's selling gadgets and games, but who's offering a trip through a virtual wonderland? That's a conversation starter, isn't it?

Marketing the Unmarketable

How do you even begin to market something as wild as this? It's all about sparking curiosity. Use social media to tease these bizarre VR worlds. Post snippets of these crazy experiences.

Get people wondering, "What is this all about?" You're selling dreams and fantasies here, not just another product off the shelf, hopefully.

Build a Group Forum

People love sharing their VR adventures. Encourage them to post their own stories and experiences from these virtual worlds. 

It's not just about making a sale; it's about creating a space where people can share their wildest VR journeys. That's how you get repeat customers and word-of-mouth referrals, right?

The Future of VR Affiliate Marketing

Basically, it's about promoting virtual reality products or experiences and earning a commission for each sale you help make. You could promote VR games, headsets, or unique VR experiences. Start by picking products you like or think are cool. Then, share your thoughts about them on your blog, TikTok, or YouTube channel.

The key is to tell folks why these VR products are awesome. Maybe you tried a VR game that was super fun, right? Tell people about it, share your experience. If they buy it using your link, you earn a bit of money. It's about sharing your genuine excitement for VR stuff and making a bit of cash when others get excited too. It's pretty straightforward, you see? Just share, promote, and earn a little from each sale. Isn't it cool to make money talking about stuff you like?