Report predicts affiliate marketing growth
Affiliate marketing spending in the US is set to grow from $2.1 billion (£1.07 billion) this year to $3.3 billion by 2012, new research has suggested.
The report, compiled by JupiterResearch, predicted that spending on the medium will soar as a result of the ongoing attractiveness of affiliate marketing’s relatively low risk, as well as its performance-based elements, to advertisers.
However, the publication indicated that Google’s dominance of the search engine marketing sector could prove to be a thorn in the side of those engaging in affiliate advertising as the giant’s Quality Score scheme may prevent low-scoring affiliates from buying paid search.
"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," explained online retail analyst and lead report author for JupiterResearch Patti Freeman Evans.
The UK affiliate marketing industry was worth £3 billion last year, according to the Affiliate Marketing Networks Buyer’s Guide 2008 from E-consultancy, with some £186 million in fees and commissions being paid out to affiliate networks.
