Since its emergence nearly two decades ago, affiliate marketing has completely transformed the business world. It was in the 1990s that companies first realized how valuable the Internet could be. In the wake of the dot-com era, affiliate marketing has become one of the most popular ways to drive sales and generate revenue.
In today’s world, affiliate marketing is available across many channels. Product reviews on blog sites often contain affiliate links, while video descriptions on YouTube feature affiliate links that provide hints about certain products. For Internet entrepreneurs, affiliate marketing remains one of the most lucrative opportunities, and it is becoming increasingly lucrative for businesses as well. Everyday folks can make millions of dollars in commissions, while businesses can experience significant gains. The stats and trends indicate that affiliate marketing will continue in the future.
The following article will cover some of the most exciting and anticipated stats in the affiliate marketing industry. Check out these affiliate marketing industry statistics for 2023.
Top 20 Affiliate Marketing Statistics for 2023
1. Affiliate marketing is expected to be worth $12 billion globally
Affiliate marketing is estimated to be worth $12 billion globally.
According to studies, by 2023, the US is expecting to expand its affiliate marketing spending to $8.2 billion and is estimated to be worth $12 billion globally. This amount is almost triple compared to 10 years earlier.
2. Affiliate programs are the top customer acquisition channel for 40% of US merchants
According to global affiliate marketing statistics, the majority of affiliate marketing campaigns take place in the United States. North America accounts for more than 2 out of every 3 affiliate marketers worldwide. And nearly 40 percent of those advertisers in the US claim that affiliate programs are their top customer acquisition channel.
3. 85% of online shoppers check Google for information before making a purchase
According to Kenshoo, 85% of customers turn to Google before purchasing a product.
These statistics are almost similar for global affiliate marketing. This means affiliate marketers have a lot of potential for reaching a targeted audience and increasing profits.
4. With 69.22%, SEO has become the best global traffic source for affiliate marketers
It is clear that blogging is the most effective means of generating traffic. Reports show that content marketing tactics are the preferred methods of traffic generation for more than 69% of affiliate marketers.
Leads can be generated more efficiently and more effectively through SEO than through advertising. This is why SEO statistics are very important for your success in your marketing goals. An effective SEO strategy can generate leads at a 60% lower cost than any other lead generation method.
5. Statistics show that more than 80% of brands have affiliate programs
Affiliate marketing business requires very little or no initial investment. According to Influencer marketing hub, more than 80% of brands have affiliate programs.
There is no doubt that affiliate marketing has become an increasingly important part of marketing. Commission rates can be set prior to working with affiliates and brands want to reap the benefits of affiliate marketing without putting significant resources into it. Affiliate marketers make it easier for brands to achieve their marketing goals.
6. Large coupon affiliate websites generate over $1 billion in revenue
There are companies whose business models rely entirely on affiliate commissions. Probably the most well-known of them is Groupon, a company that connects local merchants with subscribers. Approximately $1.4 billion is generated by affiliate marketing each year, with over 50 million active users, according to Statista. While they are very single-purposed, sites like these can bring unexpected results for businesses.
7. 82% of People Trust Social Media Channels For Their Purchasing Decisions
Increasing numbers of consumers rely on social media opinions, such as those found from friends, family, and influencers, for the purpose of making a purchase decision. Due to the fact that Gen Z and Millennials are the most active social media users, there are a lot of opportunities for marketers to reach new audiences and influence key markets to buy products.
8. Content and blogs generate almost 40% of affiliate publisher commissions in the U.S.
It is evident that content affiliate marketing has transitioned from coupon-focused affiliate marketing to a more qualified marketing channel by the increased share of commissions earned by this channel.
Almost 40% of publisher commissions in the U.S. are generated by content and blogger websites, according to the Awin Report. This phenomenon is a result of affiliate channels becoming more diversified.
9. 50% of affiliate-referred traffic comes from mobile devices
Business owners will need to consider mobile phone users in their upcoming affiliate marketing campaigns. Of the 97% of Americans who own a cellphone, 85% are smartphone users.
With more and more people using smartphones to buy online, you’d have to think about how you advertise and approach these people. Mobile affiliate marketing is the future.
Mobile devices have changed every aspect of the marketing landscape, and they continue to do so with around 50% of affiliate-related traffic coming from mobile sources. To keep up with this trend, many marketers and companies are beginning to think about mobile-specific affiliations, such as promotions uniquely suited to these users, and links to pages with responsive designs.
10. Nearly a quarter of all affiliate programs are in the fashion industry
As of the end of 2021, nearly 25% of all affiliate programs belong to the fashion industry. The sports and Outdoors industry comes in second with 18%. With 14%, the Health and Beauty industry comes in the third position. Due to this, many companies are not limiting themselves to one social network, but are leveraging their marketing efforts into channels where videos and pictures can be viewed, like Instagram and TikTok.
11. Affiliate programs are the top customer acquisition channel for 40% of US merchants
Customer acquisition refers to the process of reaching new consumers and convincing them to buy your goods or services. Due to the fact that consumers utilize a variety of digital channels daily, your customer acquisition strategy will likely include a combination of marketing channels.
12. Organic search has a 53% traffic share on average across industries
Business owners who rely heavily on blogs, content, or videos will find organic search to be especially relevant because it generates the most traffic to their websites. Across industries, organic search accounts for 53% of traffic, while paid search accounts for 15%. Organic traffic is crucial for many businesses as it’s free and improves their site rating.
13. 42% of Customers Use Ad-Blocking Technology
Traditional advertising is being removed from online experiences by a growing number of Internet users. As consumers begin to tire of pop-ups and banners, digital marketing statistics show that 37% of Americans block display advertising on laptops and 15% on mobile. In turn, influencers are filling the void. Videos from celebrities on social media aren’t blocked – on the contrary, they’re devoured. In the marketing realm, influencers now possess more power.
14. The affiliate industry is responsible for a total of 16% of online orders
Affiliate marketing success stats indicate that 16% of all online orders are influenced by affiliate marketing. According to the study, consumers will be more inclined to spend more money on affiliate programs and recommendations than on products they choose themselves.
15. Nearly 65% of affiliate marketers generate traffic by blogging
Blogging is responsible for generating traffic for almost 65% of affiliate marketers. This proves how effective content strategy is to affiliate merchants. Customers will read 3-4 blogs relevant content on a product before purchasing because today’s consumer wants to know as much as possible about what they are going to buy. Or they just hate sending things back.
16. Affiliate programs generate 15%–30% of all sales for advertisers
As affiliates are intended primarily to generate revenue for their partners, advertisers are finding that affiliate marketing contributes to 23% of their revenue on average. This is on a par with other forms of revenue generation, such as search engine optimization and pay-per-click advertising.
17. Over 76% of publishers think affiliate marketing makes monetizing their website easy
There are many reasons why business owners choose affiliate marketing over other forms of monetization. According to surveys, 76 percent choose it because it’s the easiest monetization method available. Rather than having to agree pricing terms with affiliates each sale or conversion, the use of unique affiliate codes ensures that companies can judge affiliation worth and track commissions with little effort to make it possible. This is a level of ease that was not possible ten years ago.
18. 83% of marketers use affiliate marketing to increase brand awareness
Affiliate marketing statistics further show that 83% also use it to increase overall brand awareness, according to 99 Firms. The same source claims that 79 % of marketers use affiliate marketing to engage existing customers. In other words, the affiliate marketing industry is the go-to place for marketers looking for ways to not only boost online purchases but also improve their conversion rates.
19. 93% of advertisers work with influencers
Once considered as something that’s just nice to have, due to it’s huge user base, influencer marketing is fast becoming an essential component in a brand’s marketing arsenal. 93% of marketers have used influencer marketing in their campaigns, and it’s now considered as a key advertising strategy. It’s easier than hiring a graphic designer and trying to reach customers with static ads, engagement rates are high, and it’s more targeted to a broader audience of a specific audience than a television ad. Companies are realizing the potential of social media content as a means of monetizing without much effort or investment.
20. Instagram to launch affiliate shop for creators
With so many online businesses already implementing social media platforms to their marketing strategies, it makes sense that Instagram tested its new native affiliate tool at the latter part of last year.
This allows its creators to recommend products to followers. As a result, they earn commissions for sales that come from their posts.
An “eligible for commission” text will be displayed under a creator’s username when they publish posts with affiliate features enabled. This is a game changer as it will create a space for affiliate influencers to increase conversion rates by more or less making their own shop within their social media platform.
Conclusion
Affiliate marketing allows online marketers to achieve significant success without having to advertise their own products and services directly. It is especially pertinent given that more consumers are turning to content creators and influencers for personalized recommendations that are sadly lacking elsewhere.
As companies realize the value and potential of influencer marketing and affiliate marketing, these figures will continue to rise. As automation services, chatbots, AI, promo codes, and augmented reality are also expected to become mainstream in 2023, keeping up with these affiliate marketing efforts could undoubtedly result in your business maximizing profits this year in your marketing strategy.
Frequently Asked Questions
What is affiliate marketing?
Affiliate marketing is the process by which a person or company earns a commission by marketing another company or person’s products.
Is affiliate marketing worth it in 2023?
Affiliate marketing is worth 13 billion dollars globally.
Which channel is best for affiliate marketing?
The best channel for affiliate marketing is social media.
What is the best program for affiliate marketing management?
Post Affiliate Pro is the best affiliate marketing management software out there.
6 reasons to use a third-party affiliate management system
An affiliate management system can help companies improve their affiliate marketing programs by tracking metrics, detecting fraud cases, eliminating the need for hiring an accountant, providing user-friendly solutions, and simplifying the process of building an affiliate network.
7 Reasons Why Affiliates Aren’t Promoting Your Online Store [And How to Fix Them]
To improve affiliate marketing results, provide support and resources, offer discounts and giveaways, track affiliate performance, ensure affiliates understand and like your products, and offer competitive commission rates.
