Electronic commerce is taking over the retail marketplace in major-league fashion.
During the most recent Christmas holiday season, online sales totaled $91.7 million (according to data compiled by Adobe Insights). When you consider that those numbers represent an 11% increase over 2015, that’s very impressive. And keep in mind that those sales totals were earned over a 61-day period (November 1 through December 31).
The rate of sales growth is another clear sign that eCommerce is trending upward. Adobe Insights reports that most of the increase in retail sales come from consumer transactions on the internet.
Amazon is the big winner
The overwhelming winner in this phenomenon is Amazon, which has taken huge chunks of market share from the well-established retail giants. No doubt, big-name retailers such as JC Penney, Sears, Macy’s and Kohl’s are all feeling the pinch. At the end of the 2016 Christmas shopping season, Macy’s closed 68 of its stores nationwide, which led to 10,000 people losing their jobs.
While there’s no denying that the shift in consumer buying habits has had a devastating impact on the large, retail chains, the opposite is true for eCommerce. The future looks oh so good.
According to eMarketer, a marketing research firm that specializes in digital commerce, online sales are projected to reach $700 billion a year by 2020. And that’s some exciting news for what the future holds for affiliate marketing. Make no mistake about it, the outlook is rosy indeed.
So, how has this trend come about?
Affiliate marketing has proven to be a highly effective vehicle to generate revenue. As an affiliate, you get paid a commission for promoting another person’s (or company’s) products and/or services. The affiliate earns a percentage of the profit from each sale.
What makes AM so viable is that going this route works well for all companies, regardless of their size. Based on projections, it’s only going to get better and more lucrative.
One research study conservatively projects that in three years, affiliate marketing will be a $7 billion a year industry. That total represents a nice slice of the eCommerce market. Aside from that, affiliate marketing provides excellent opportunities for newcomers because the start-up costs are minimal.
In other words, affiliate marketing has a level playing field. People from all walks of life have proven and are proving that it’s possible to do well regardless of whether you have any prior internet marketing experience or not.
The element of change tends to be a constant in the world of business. Yet, there are a couple of trends with affiliate marketing that aren’t likely to disappear anytime soon.
- Quality content still reigns supreme. This is tried and still so true. Search engines love original content that’s relative to your niche. It’s great for SEO (search engine optimization). From all indications, Google and the other search engines seem to be more favorable (in terms of page rankings) to longer articles (1,000 – 2,000 words) as opposed to shorter articles (400 – 800 words).
- Do not overlook being able to connect with the mobile crowd. The use of mobile devices continues to skyrocket. Eventually, it may become the best way to assure that you’re able to get your marketing messages to them. This part of the market is exploding and it doesn’t look like it will slow down to any degree for the foreseeable future. So, as an affiliate marketer, you need to make sure that your websites, social media content, and emails can be processed by mobile devices. If not, you will miss out on reaching a substantial part of the market. You’d be leaving money on the table and for no good reason.
There are a wide variety affiliate programs out there in the internet marketing universe. Some are excellent, some are OK. And then, there are quite a few that you should stay away from completely.
For your consideration, here’s my review of a platform that can help you build an online business from ground zero. Take a look and let me know what you think. I invite and I welcome your feedback in the comments section.