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  • Future Projections Excellent for Affiliate Marketing

 
The amount of money spent on online advertising continues to grow annually. In fact, US Internet ad revenues alone totaled roughly $16.9 billion in 2006, and this amount was up 35% from 2005, according to the “Internet Advertising Revenue Report” from the Interactive Advertising Bureau (IAB) and PricewaterhouseCoopers (PwC), as reported by Emarketer.com.

 
This large amount of ad spending is great news for affiliate marketers. It means sellers will be spending even more dollars online to push their products. And the outlook is great for the future as well when you consider the facts*:

 

-         Over 49 percent of US advertisers are spending their ad dollars on the Internet.

-         The total amount spent has been increasing each year since 2002.

-         US ad spending is expected to grow to more than $36 billion in 2011.

 

What This Means for Affiliate Marketers

 
The majority or 81 percent of affiliate marketing programs use what is called revenue share or cost per sale to pay their affiliate marketers. Most of the other sellers use some type of cost per action or CPA method. Cost Per Action or CPA is an online advertising pricing model, where the advertiser pays for each specified action (a purchase, a form submission, and so on) linked to the advertisement.

For instance, a company might pay per lead when one of your leads clicks on their form (linked via your affiliate link) and fills out all of the information which in turn will be verified by the seller to make sure the entry isn’t fake. If it pans out, you get paid for the lead.

The bottom line is that regardless of which type of affiliate program you choose, more money is being spent by advertisers which means you will have more opportunities to make more money. Definitely a win-win  situation!!

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