The Internet offers boundless possibilities for earning a living online. Upwork and Freelancers Union found that 35% of the American workforce did some freelance work in 2019. Furthermore, 77% of them said that technology made it easier to find freelance work.

Affiliate marketing is one way to make money on the Internet. Affiliate marketing is supposed to produce passive income, but does it really work? Let’s take a closer look.

KEY TAKEAWAYS

  • In simple terms, affiliate marketing means selling goods and services from another person or company.
  • Nine percent of publishers surveyed produced more than $50,000 in affiliate income in 2016.
  • Always remember that you’re likely to make more money with affiliate marketing content that is similar to your own.
  • Traditional advertisements and selling your own products can help if your affiliate-marketing revenue dries up.

Affiliate Marketing Defined

In simple terms, affiliate marketing means selling goods and services from another person or company. It is like a referral service. You set up a website or blog and join affiliate programs that are relevant to your audience. You can connect to these programs through affiliate networks, which provide you with a link that you include on your site. When someone clicks the link and buys the product, you get a portion of the sale as a commission.

How Much Can You Earn?

The affiliate marketing industry is growing steadily. Statista reported that spending on affiliate marketing in the U.S. was predicted to reach $8.2 billion by2022. That’s up considerably from $5.4 billion in 2017 and $1.6 billion in 2010.Another study from VigLink offers a closer look at just how much income affiliate marketers are making. According to the survey, 9% of publishers produced more than $50,000 in affiliate income in 2016. The majority of merchants—65%—said they were making between 5% and 20% of their annual revenue from affiliate marketing. The survey also showed a link between experience and revenues. Among the merchants with the most revenue, 60% had been involved in affiliate marketing for five years or more.                    [READ MORE….]