The future of affiliate marketing

[chromate]

I've heard a few people say they think affiliate marketing is a current trend that wont last very long. I don't really see why this should be the case. Companies are always going to seek effective ways of promoting and selling their products.

If anything, I think the affiliate marketing industry will get bigger as companies learn what works and what doesn't. The more people you have trying hard to sell your product the better, right?

What do YOU think the future holds for affiliate marketing with respect to the 1) the consumer 2) the affiliates and 3) the merchants?

[Mike]

It should get bigger imho. More and more business' will crop up on the web, and they will probably launch their own affiliate programs.

I can't really see how the industry would decrease.

[flyingpylon]

I think companies might look for ways to concentrate their efforts though, like making it harder to earn decent money unless you're a top-performing super-affiliate or something.

[chromate]

Yeah, I can well see that happening. They're going to get very brand aware and they're going to want to make sure that their products are being promoted right.

This already happens with dating affiliate programs that Udate and Kiss offer. You wont be accepted unless you're producing a decent number of sales each month. If you fall short then they kick you out. It's their way of focusing on the bread winners, like you say.

[incka]

I think more will be on affiliate marketing and less on ad networks. I feel AWS type sites for lots of merchants will become more popular, and also cash-back-to-you stores and coupon sites will become more popular.

[MarkB]

Affiliate marketing has been operating since the mid 90s. It's not going anywhere.

[chromate]

As a form of marketing it's actually been in operation long before that even. It wont disappear, but it will evolve and change - probably just how flyingpylon suggests it might.

[Chris]

AWS type sites will not last.

They only do well because consumers do not know where to go for the products they want, so they search on search engines. As search engines get better and people spend more time online affiliate only sites will go away.

Plus then you also have to worry about things like Froogle -- Froogle does not accept affiliate sites.

Right now if I sell a power tool its because someone searched on Google for it, found my site, and visited Amazon. Next time they need a tool they'll probably go to Amazon and search first.

Affiliate content complementing other content will stay and grow, but affiliate sites filled with duplicate content only exist now due to the ignorance of the net population and the limitations of search engines.

IMO the best asset for long term (decades) Internet success is a popular message board. Popular forums have more staying power than any other type of site.

[incka]

I agree with the message board thing, I'm planning quite a few forums...

[flyingpylon]

Message boards... funny how those are the hardest ones to get established!

[pas]

SE's, directories, etc. may make it even harder for affiliate only sites in the future, but I think they'll always exist. And there will always be an "ignorant" portion of Internet users. The problem with affiliate only sites is lack of original content and the number of webmasters that create the same sites - all those essentially identical sites competing for visitors with each other. They're basically just "middle-men" sites, but if you can find ways to distinguish your sites from the crowd...

[cameron]

Affiliate programs won't dissapear because companies would rather get a sale from a new customer -%5 or whatever, then to get no sale at all. And just like Chris said, once people have purchased through affiliate links they may remember to back directly instead of through your site. If you have a content site though, people will probably buy through impulse buying when they see targetted ads on your page. That's another reason to have your ad inventory changing as new products come out.

[GCT13]

Regarding AWSish type sites, yes there is small likelihood of repeat sales by customers because they may figure out to go direct to the source (Amazon.com) the next time around.

UNLESS - the technology behind AWSish type sites progress to the point where the entire purchase transaction can be performed on the AWS site (therefore the customer never makes the jump to Amazon). Then I can see where an AWS site could be viable with repeat sales from customers.

[GCT13]

Originally posted by Chris
Plus then you also have to worry about things like Froogle -- Froogle does not accept affiliate sites.One of my AWS sites has received a smidgeon of Froogle Love.

Ah well, perhaps it's only a temporary crush and won't last. Love hurts sometimes ;)

[MarkB]

I wish I could figure out how to make a profit from my forums - with almost 30,000 users, 1,500 of whom visit each day (and that doesn't count unregistered visitors), I make about $300 a month from advertising - and that's not via a network.

Anyone wish to offer advice on how to best monetize www.ultimatemetal.com/forum/ ?

[chromate]

It's not actually loading for me :( Have you tried any affiliate programs?

[dethfire]

Originally posted by MarkB
I wish I could figure out how to make a profit from my forums - with almost 30,000 users, 1,500 of whom visit each day (and that doesn't count unregistered visitors), I make about $300 a month from advertising - and that's not via a network.

Anyone wish to offer advice on how to best monetize www.ultimatemetal.com/forum/ ?

mark, I've been a long time member of your forums actually and I am really surprised you don't make more money. have you tried selling cd, posters... you can have alot of affiliate options with music

[incka]

He has tried them.

I recommend Download More Smileys link under the smileys in VB that goes to smiley central, you get $0.52 per download.

[MarkB]

Considering smiley central requires people to download something, it's of no interest to me (I don't follow that particular business model...).

I've tried Amazon, CD Now (when it was just CD Now;)), and selling my own CDs. All to various levels of success.

I've signed someone on to market the site to potential advertisers, but we're still finalising plans/options. Hopefully that'll help move things along...

Right now, I break even (barely) every month.

dethire: what's your username on UM?:)

[dethfire]

Originally posted by incka
He has tried them.

I recommend Download More Smileys link under the smileys in VB that goes to smiley central, you get $0.52 per download.

why would metal heads care about downloading smilies :)


mark, have you tried adsense or banner ads?

I think my name is dethfire there too, i've mostly been lurking over the years. I mainly look over the COB, Sinergy and Arch Enemy forums

[GCT13]

Mark how long did it take you to amass your 28,000 users?

[incka]

WOW - That's almost as many as sitepoint...

[MarkB]

dethfire: adsense won't have me :) I'd make a killing on it if I could though, I'm sure. Maybe. Heh.

I doubt most banner networks are fond of forums, either. Marketing to targetted merchants is always happening, without much success.

GCT: the forums have been running for almost 3 years now.

[chromate]

That is the problem with forums. It's hard to generate much revenue from them, especially when you take into consideration the associated server costs.

I've seen countless threads from people in similar situations where they can't get any interest from ad networks etc. It's a shame considering how much effort they take to get running nicely.

Are you not using adsense at all? If you've been accepted for one site, aren't you free to place the ads on any other sites that don't contravene the terms of service? Or are forums an exception?

[MarkB]

I've already spoken to Google about it, and they do not want the ads on this particular site (due to some topics discussed). Shame, really :-\

I guess my best shot at making some money off it is targetted advertising. We'll see! :)

[cpnmm]

I'm also trying to figure out how to monetize a forum.

I've used adsense, banner ads and amazon. So far the my best results have been to have a single, fairly large ad to a book on amazon related to the content of my forum.

The other thing you could do is use the site to generate a high PR. Once my forum was large enough I was able to do a blitz of related websites getting them to link to me. I have not bothered with trying to get links for ages but when I went back to trying I got a lot of high ranking sites to link to me.

Once the PR is higher you can then use it to link to your other sites or have sections such as a large AWS on the site which would benefit from the PR. This is what I am now planning to do for my site.

I get the feeling the best bet is to create a product that you can use the site to sell. Perhaps for your forums you could start selling CDs of unsigned artists or something. I'm not sure what to do with mine but I might write an e-book using all the info gathered from the forum and advertise it on the forum.

[chromate]

What's your forum cpnmm?

[Chris]

Not all sites can monetize well. Sometimes the only solution is to make a second site that does monetize well and cross promote.

[pas]

-

[Yoda]

Originally posted by Chris
IMO the best asset for long term (decades) Internet success is a popular message board. Popular forums have more staying power than any other type of site.
This is very true. I've seen boards wherein people will leave due to circumstances offline, only to return and check in months, or even a year later, at times. And I'm sure more extreme examples exist.

I've been a regular on boards where members have met up, and even gotten married, announcing their engagement on the forums. I run a site which has people who signed up near the beginning, over 3 years ago, and still check in every now and then. If you constitute a person's first forum experience, as odd as it sounds, there's a good chance they'll always remember yoru site, and hold a certain affinity for it. People make genuine emotional connections to message boards and the people in them.

It's really quite remarkable.

[incka]

I too am a member of a forum where members have become friends, then partners then married. Sadly some members have died, one of my friends died recently and I was upset for a few days. Even if I suddenly decide to sell my websites and go into, lets say the property business, I would still check back occasionaly...

[MarkB]

I met my wife on a message board :)

[MarkB]

She wasn't my wife at the time, though ;)

[Mike]

Not many females on this board...so doubt same's gonna happen here with anyone :)

[incka]

There is a few on sitepoint but they are way to old for me and mike... A few my age on murmurs though... :)

[Kyle]

Pardon the morbidity of this post...
Also this post pertains to affiliate shopping sites like AWS and the various others out there (like mine, www.discount-shoes.info)

I think affiliate marketing will be around for a long time.
As the years go on, the people who have not and will never use the Internet will die, bringing in the new generations who will of course be spoon fed the Internet in school. The online shopping scene is going to continue to grow. For many years to come, there will still be ways to "hide" links to affiliate sites from search engines through non-spammy ways (many people do this, its legit). So even if search engines start instantly banning sites that link to places like *www.qksrv.net*, this can be avoided.

When will affiliate marketing be really dead? Not for many many years. What is for sure?

- Affiliate sites will need to offer lots of unique and interesting original content. This will become more and more of a neccessity over time.

- Affilite sites will need to increase their product range in order to keep their income steady. As the years go by, it will get much harder to keep your profits growing or at least hold your average.

Sites like www.movieforums.com have it made... A community focused on movies? How awesome is that. If you can grow a community centered around a consumer product...that's golden.

[Mike]

The online shopping part HAS to grow. In years to come people aren't going to be going out shopping on a Saturday, they will do everything online in a fraction of the time. Surely this means that some of the large retailers will release affiliate programs.

[Kyle]

Yep. I dont have the %'s memorized, but I believe CNN or MSNBC had some statistics from last Christmas (yes, i said christmas not holiday season :)) on how many people shopped online, and how many went out to stores.

And the only % was EXTREMELY LOW! like less than 10% shopped online. If anyone recalls this news or the %'s, post.

[GCT13]

Originally posted by Yoda
People make genuine emotional connections to message boards and the people in them.Indeed. Quasi-off-topic but it reinforces the point-

Back in 2000 I ran a popular message board. The board had a good group of regular members with steady growth. Unfortunately, due to extenuating circumstances it had to close down after only 6 months online. Within days of the closure the regular members banded together and started up a forum on ezboard, and they were back together that week without missing a beat.

While the board was operational I was able to meet a handful of the members here in New York and elsewhere. One member even let me stay with her and her boyfriend for two days while I was touring Texas; they took me to all the hot tourist spots of their town... how great is that?? :D

About a year after the closure I received an email from a former member informing me she had married another former member. Across space, time, 6 states and a time zone they found each other via the message board. She personally thanked me for giving her the opporunity to meet her future husband. I even got a handful of wedding pictures. Ah... I should have requested they name their first boy after me... :cool: :D :p

[incka]

I love forums... My literature forum is only 1 & 1/2 weeks old but is growing fast, I've had loads of comments on how friendly it is etc. I'm growing friends with some of the members that I didn't know already... Perhaps I will meet someone over it?

[chromate]

I met my current gf on the net. I've been with her for over 3 years now and we're living together. That's partly why I wanted to start a dating affiliate site. Not that I met my gf using a dating service! :) I met her on IRC.

Also, talking of affiliate sites... I'm certain online dating is something that will grow big time in the future (even more so than now). Can't wait until I get the site secured in the search engines. It should be good! :)

Another thing concerning affiliate sites is that, whilst a person in the future may directly use a search engine to find "a product" such a froogle, there will always people wanting to search for comparisons, reviews and details about particular products. That's a harder aspect for the search engines to cater for directly because there are so many variables that could be involved - not simply: name, price, category.

[GCT13]

Originally posted by chromate
Can't wait until I get [my dating] site secured in the search engines.Perhaps incka could use it and meet someone... :)

[Chris]

Originally posted by chromate
I met my current gf on the net. I've been with her for over 3 years now and we're living together. That's partly why I wanted to start a dating affiliate site. Not that I met my gf using a dating service! :) I met her on IRC.

Also, talking of affiliate sites... I'm certain online dating is something that will grow big time in the future (even more so than now). Can't wait until I get the site secured in the search engines. It should be good! :)

Another thing concerning affiliate sites is that, whilst a person in the future may directly use a search engine to find "a product" such a froogle, there will always people wanting to search for comparisons, reviews and details about particular products. That's a harder aspect for the search engines to cater for directly because there are so many variables that could be involved - not simply: name, price, category.

I met my wife online. She used to work with 2 people who met their husbands online. Just to get completely off topic.

[incka]

I think I best set more forums up... More chances then ;)

[flyingpylon]

I met my wife when web pages were all gray with black text and the information on them was mostly true. But we didn't "meet" online.

Regarding the % of business done on the internet, I think it will certainly continue to grow, but don't discount the need for instant gratification and the ability to see and touch things. It's the same reason books and newspapers will never go away.

[Yoda]

Generally, I wouldn't admit to this, but the girl I'm dating now I met online, too.

I don't imagine it'll be long before this sort of thing is commonplace enough that it won't warrant any potential embarrassment.

[MarkB]

At the forum I used to run (where I met my wife), 4 other couples also met and got married, 3 of them now having kids! And there're also countless flings going on.

My wife works with a chap who met HIS wife on the net, too.

The only bad thing about online dating is that distance can play a heavy role. I spent over $6000 AUD in airfares going back and forth to visit my wife (our first meeting was paid for by a company I was freelancing for... they thought I was there to work!:p) from Australia to England.

[chromate]

Well, this has certainly turned into an interesting thread! ...and there's me thinking I was the only one :)

[Mike]

Originally posted by MarkB

The only bad thing about online dating is that distance can play a heavy role. I spent over $6000 AUD in airfares going back and forth to visit my wife (our first meeting was paid for by a company I was freelancing for... they thought I was there to work!:p) from Australia to England.

Australian? Nice ;)

[incka]

Didn't you realise? I've known for ages...

[michael_gersitz]

Originally posted by incka
I think I best set more forums up... More chances then ;)
Quality over Quanity...

[incka]

Yeah, but with quantity there are more to choose from :p

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