NEW YORK--(BUSINESS WIRE)--JupiterResearch, a leading authority on the impact of the Internet and emerging consumer technologies on business, has found that affiliate marketing continues to play a key role in online marketers' ability to reach and acquire customers. In 2008, online marketers will spend $2.1 billion on affiliate marketing fees, with US online affiliate marketing spending reaching $3.3 billion in 2012, as indicated in a new report US Online Affiliate Marketing Forecast, 2007-2012, published by JupiterResearch.
According to the report, affiliate marketing remains a highly attractive endeavor because it is performance based, presenting low risk and requiring low initial investment. Over time, marketers tend to work with affiliates that drive the most traffic to their sites, resulting in a small number of affiliates driving the majority of traffic and sales.
Because affiliate marketing is so heavily intertwined with the search engine marketing industry, Google is the one wild card that might affect the overall growth of the industry. Google’s dominance over SEM forces affiliates to be sensitive to Google’s Quality Score,", which prevents lower-quality 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 Patti Freeman Evans, Online Retail Analyst and lead author of the report for JupiterResearch.
According to David Schatsky, President of JupiterResearch, “To date, an alternate way to generate traffic from search has not materialized. However, the development of niche outlets such as blogs and social networking sites does provide balance to the consolidation of top affiliates.”
The complete findings of this report are immediately available to JupiterResearch clients online at www.jupiterresearch.com. For details on JupiterResearch's methodology, visit www.jupiterresearch.com/bin/item.pl/methodology or email firstname.lastname@example.org to request a detailed methodology statement. For additional information on this report or JupiterResearch's Online Marketing research service, visit www.jupiterresearch.com or contact Kieran Kelly, Senior Vice President of Global Sales and Client Service, at 1-800-481-1212 or email@example.com.
Analyst Weblog: Patti Freeman Evans