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Sunday, July 20, 2008

Jupiter Research Report Predicts The Online Affiliate Marketing Spending To Hit $3 Billion

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Here is some good news that I fortunately came across.  This article will certainly give tremendous boost to all those who carry out their online business from home as an affiliate to various merchant websites.

The merchant websites too will find it enthusiastic to spread their marketing net all the more to rope in as many affiliates who would join them and work not hard but smart to fetch  more revenue from the growing Internet market by offering better and cheaper priced products or services. No wonder this is one market that has not shown any signs of slowing down. 

As I understand from the report, the Jupiter Research, a well known Internet market research company  has predicted that in 2008 the online marketers will shell out as much as $2.1 billion in commission fees that's to be paid to their associates or agents as affiliate marketing fees for their concerted sales effort. 

Elsewhere in my blog I had mentioned earlier that affiliate marketing is the best way to enter the online business without having to make big investments nor does one need to have ones own products or services to offer to the potential buyers on the Internet.

For every lead that the affiliate sends top the merchant website and if it successfully converts to a sale, the affiliate earns a commission that may be s much as 75%. This is how the Internet market is surviving and is able to provide better services to the multitude of customers across the net throughout the globe. 

According to the "US Online Affiliate Marketing Forecast, 2007-2012" Report made available by Jupiter Research, by 2012 as much as $3.3 billion is likely to be spend by the affiliate marketing. 

The report also further emphasizes that one of the most important factor that makes affiliate marketing so popular is because its performance driven. There is not much risk as there is hardly much of an investment that's worth mentioning. 

The Marketers mostly merchant webmasters find it convenient to work with an army of volunteer affiliates who join their various affiliate programs for free provided they do not indulge in any sort of spam or scam. They have to strictly abide by the terms and conditions when selling or promoting their products on the Internet. 

These are the affiliates who are responsible to spread the word across the Internet of the various products and services that are being offered by their merchant webmasters to whom they are affiliated to. Its by their effort that there is an increase in the flow of traffic to these merchant websites. 

"Strong affiliates that have quality content and responsible marketing practices succeed within the changing search environment and reap the benefits of a growing ad arena," said Patti Freeman Evans, Online Retail Analyst and lead author of the report for Jupiter Research.

The  affiliate marketing  has to of course depend on search engine optimization or SEO, of which I have  made several posts in this blog earlier. That's why the  affiliate marketing  has to work closely with the Search Engine Marketing industry. And Google  has played an important role in helping to create and widen the market, by setting up the rules of the game. That's why  its prudent that the affiliates are aware of Google's Quality Score because of Google's tremendous influence and hold over the SEM or Search Engine Marketing. 

"To date, an alternate way to generate traffic from search has not materialized. However, the development of niche outlets such as blogs and social networking sites does provide balance to the consolidation of top affiliates," said David Schatsky, President of Jupiter Research.

Source: WebProNews Tuesday, July 01, 2008

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