The growth seen in affiliate marketing in the last few years has been very encouraging and it is projected that by 2020 affiliate marketing spending is bound to grow by 10%.
According to statistics provided by IAB, the affiliate marketing industry was well worth over $12 billion in 2017. With 2019 came more affiliate marketers and businesses whose market focus and strategy are centered on the internet.
2020 will be a bigger year for the industry. New trends are evolving and the market is getting wider. Search has been made easier. Budgets for online marketing have grown bigger, and several changes have taken place on social media.
If you aren’t prepared for 2020, it might be a tough one. You should study the trends and make plans and projections for the start of the new decade.
How Does Affiliate Marketing Work?There are three actors in the affiliate marketing ring: the advertiser, the publisher, and the customer.
The publisher owns a blog and allows the advertiser to promote products on it. When the products are bought via the blog, the publisher gets a commission on every sale.
It is a win-win for all parties as the publisher organically weaves the promotion into the blog content. The publisher gets paid when a sale is made and the advertiser doesn’t have to worry about special advertising costs.
The customer also gets the product after reading an objective review of it.
Here are trends to look out for in 2020.
Affiliate Marketing Trends to Look Out for in 2020
Voice Search will Increase
The use of voice technology makes things easier for the consumer. What would be shortened or reduced for the fear of being wordy can be easily spoken and the voice technology would pick out the keywords to give matching results.
At the moment, in the United States, about 74.2 million smart speakers are in circulation. This is in addition to the available voice technology in mobile phones and other devices.
Perhaps not surprisingly, a BrightLocal study revealed that 76% of smart home speaker users conduct local searches at least once a week—with 53% performing daily searches.
The statistics are inexhaustible but they all project the use of voice searches the more in 2020.
Getting on-board voice technology requires understanding how it works. For Amazon Alexa, we have Skills; for Google Home, we have actions. You need to get developers to create this for your brand as an advertiser.
Influencer Marketing will Increasingly Merge with Affiliate Marketing
Influencers are respected for their following. When they monetize this, they help brands project their products to new customers. Influencers get paid per post.
Many influencers are known within particular niches. For instance, some influencers are known for cosmetic products and they are known by their followers for this niche.
Trust and a strong relationship are major factors when it comes to influencer marketing.
Followers see influencers as knowledgeable in what they are known for and they try out recommended products. On a strong relationship, an influencer constantly relates to the followers on the various platforms.
A new trend is evolving. Advertisers have figured out that affiliate marketers also have large followings. Thus, many advertisers now pay affiliate marketers for posts. This, of course, is predicated on the traffic this affiliate marketer pulls.
With this evolving trend, affiliate marketers would take over the influencer market.
A major blow to the influencer market is the new policy of Instagram to hide the number of likes a person has on a post. This is due to a report linking the number of likes with suicide and depression rates. Though the account owner can see the number of likes, it is gradually no longer something of public information.
Increased Mobile Usage
It has been discovered that mobile websites that load in 5 seconds or less will end in a viewing session that’s 70% longer than their slower counterparts. More, 57% of all mobile users will not recommend a business if their mobile website is poorly designed or unresponsive.
Thus, you need your blog to be fast and mobile-friendly. Constantly optimize and run tests to ensure that the links are working and the page is not too heavy to respond quickly.
You should remember the Google Analytics report that 40% of online transactions are done via mobile devices. And that 70% of all online searches lead to a purchase or an action within the hour.
Increased E-commerce Reliance on Affiliate Marketing
According to Business Insider, since 2015, revenue from affiliate marketing programs grows by 10% annually.
With the above statistics, it is clear that affiliate marketing helps increase the turnover rate for businesses and brands. The report of Mediakix is therefore not surprising that 81% of brands rely on affiliate programs.
2020 is set to be a bigger year as more brands are looking to sell on the internet and enter new markets. Affiliate marketers can be highly instrumental in increasing brand awareness and bringing in more sales.
Marketing Outsourcing to Affiliate MarketingA lot of brands have outsourced their marketing divisions to marketing agencies. With abou half of the world population on the internet, brands have started to outsource aspects of their marketing to affiliate marketing agencies.
These brands pay affiliate marketers to continuously push their brands to new markets and more customers. Since affiliate marketers operate on several platforms, it is easy for them to reach a wide range of audiences. Affiliate marketing is particularly very effective in direct marketing to potential customers.
Lesser Push Ads; More Native Ads
Statistics have shown that banner ads are becoming less effective and increasingly annoying. Back in the days, banner ads drove a lot of sales. But with the increasing use of native ads, the disgust for banners and annoying pop-ups increased.
Native ads seamlessly weave into the content form of the website. They are easy to relate to. According to IP Media Lab, 71% of consumers say they identify with a brand after viewing its native ads versus only 50% with display ads.
With the preference for native ads, it is gradually becoming the case that the era of display and banner ads is gradually effacing.
As a final word on this, Google Chrome has made it easier for its users to block pop-ups and push notifications. Soon enough, other browsers would follow suit.
Gen X and Gen Zers are different from the Baby Boomers. They would enjoy an experience differently and most probably go for different things.
Affiliate marketers are trying to know more than an email address. They want to know the age and some interests. This is why some ask for surveys and give incentives for it.
Data-driven marketing has the potential of increasing conversion as the marketing would be easily personalized to the visitor.
Lesser Text; More Videos and Infographic
Providing videos and infographics alongside text has the potential of sustaining the curiosity of the reader. According to 2018 statistics, several people prefer to see a video than read a blog post of about 500 words.
According to Square2Marketing Blog, since 2012, search volumes for infographics have increased over 800%.
Infographics have the benefit of saying a lot in few words. They are persuasive and eye-catching. More, readers respect your content as authoritative as it gives the work out as well researched.
Infographics can be very useful on a platform like Pinterest. You can generate more traffic via this avenue.
With the awesome features of videos and infographics, affiliate marketers are employing them in their content strategy for 2020.