So I woke up this morning to an email from Charles Ngo, one of the top affiliate marketers out there, and it was an email from his newsletter regarding the current status of the affiliate marketing industry. He basically stated in his article that affiliate marketing was dead in 2021, or at the very least on the way out. It’s a very good read, so I wanted to write about it here.
Is Affiliate Marketing Dead In 2021
Of course not and he says that as well, but I think in his article Charles was really referring to the death of “easy affiliate marketing”. Like any industry, as things mature, easy profits are squeezed out as things get over saturated.
Affiliate marketing basically has zero barriers to entry, and gone are the days where you could slap a campaign together and have it be profitable from the beginning.
I also think his article referred more to affiliates that use “paid traffic”. It’s just basic economics that when more people compete to drive traffic prices up, eventually profits go down to zero as affiliates engage in a bidding war to the death.
However obviously if you are an affiliate promoting offers on a blog that gets “free traffic” from places like the Google and Social Media, the “death of affiliate marketing” doesn’t necessarily apply as much to you.
So Is Paid Traffic Dead In 2021
Again of course not. However I think though paid traffic really separates the “men from the boys”.
Anyone (like myself) who has been running paid traffic for years now knows that the price of traffic only goes in one direction, and that’s up. Nobody ever says “Wow it’s been a while since I ran Facebook Ads and the price has dropped like crazy!!!”
So what ends up happening is the vast majority of profits go to the biggest super affiliates (those with the best payouts and largest budgets) and over time smaller affiliates are squeezed out and eventually quit.
Or if you’re an ambitious smaller affiliate that’s getting destroyed, you eventually recognize running paid traffic to other people’s products is wack, and you end up creating your own product (something I highly recommend).
My Final Thoughts
Affiliate marketing is not dead, it’s just gotten a lot harder than it was say 5 years ago.
If you’re not relying on paid traffic, then there is plenty of money you can still make off free search engine and social media traffic.
If you’re using paid traffic, I think you either become one of the “Big Boys”, venture out and create your own products/services, or just quit. The choice is yours really in this situation.
So no matter how you’re running your affiliate marketing campaigns there is a path to profits for you, it’s just a little tougher than it was before.