As much as I enjoy affiliate marketing, it is not without its own set of issues. Fortunately, what I may consider the downside to affiliate marketing shouldn’t be a deterrent to getting started.
Once you discover some of the pros and cons of affiliate marketing, you’ll be better equipped to grow your business. Investing in a good affiliate marketing course can also help you grow a profitable business faster (check out my Affiliate Escape Plan review as an example.)
Hey there! My name is Eartha and I’ve been doing affiliate marketing for quite some time now. I’ve dealt with a few things that some may consider a downside to affiliate marketing.
However, it is still one of the best online businesses to start. High-ticket affiliate marketing is one of the fastest ways to boost your online income.
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Downside to Affiliate Marketing
When you compare affiliate marketing to other business models, there will be many things that may be considered a downside to affiliate marketing. There are some things about affiliate marketing I wish were different.
However, these things do not deter me from doing affiliate marketing as a way to earn income online. In my opinion, the pros far outweigh the cons. You can even become an affiliate with no experience. Check out what some of the downsides are and some ways to achieve success despite them.
Advantages and Disadvantages of Affiliate Marketing
There are several advantages to affiliate marketing but it’s also important to understand some of the disadvantages as well. I cover what I’ve experienced below to help give you a better understanding of some of the pros and cons of affiliate marketing.
What are the Advantages of Affiliate Marketing?
Let’s begin with some of the advantages of affiliate marketing. These are some of my favorites and why I continue to do affiliate marketing today.
A Low-Cost and Low-Risk Online Business
In comparison to other online businesses, affiliate marketing remains one of the lowest-cost and lowest-risk to start. You can start for free by simply linking an affiliate link from a social media profile and directing people to it. Or you can create a blog or a sales funnel. All of these options don’t cost much and in many cases, you can get started for under $100.
Beginner-Friendly Online Business
Affiliate marketing is also a simple business model that is easy to learn. The most simple explanation of it is: Traffic + Offer = Sales
If you can generate a steady flow of traffic to a really good affiliate offer, you increase the likelihood of making sales which results in affiliate commissions for you.
The big advantage of affiliate marketing for beginners is that you do not need to create a product. You get to leverage another company’s product by recommending it to a target audience. You then get a commission for every sale that you refer.
Choose Any Niche You Want
There are so many affiliate products in so many different niches. Whatever niche you have an interest in, there is bound to be a product that you can promote as an affiliate. The top evergreen niches fall under these main niches: Health, Wealth, and Relationships.
A Variety of Affiliate Products You Can Promote
Amazon alone has millions of products and if you become an Amazon Associate (Amazon’s affiliate program), you get to promote any of those products. Now imagine how many different companies have an affiliate program for their products. This includes both physical and digital products. You’ll never run out of things to promote as an affiliate marketer.
Work From Home or Anywhere with a WiFi Connection
Affiliate marketing is location-independent. You do affiliate marketing from anywhere in the world as long as you have a WiFi connection. That is what makes it one of the most ideal businesses for those who like to live a nomadic lifestyle. If you simply want to have a career where you can work from home and set your own schedule, affiliate marketing offers that flexibility.
No Limit On How Much You Can Earn
Affiliate programs do not place a cap on how much you can earn. The more you make, the more the company makes. In most cases, if you are bringing in a lot of sales for a company, they may even negotiate a special commission rate just for you. Your earning potential is totally up to you and how much effort you put in.
What are the Disadvantages of Affiliate Marketing?
Now, let’s dive into some of the disadvantages of affiliate marketing. It’s important to understand these so that you can make the best decisions when choosing affiliate programs.
You Don’t Own Any Products
The biggest disadvantage to affiliate marketing is that you are not a product owner. Therefore, if the product owner decides that they are discontinuing a product, your income can disappear along with it. This is why it’s important not to place your eggs all in one basket. Diversify what you promote in the event if a product is no longer available, you are promoting others that still bring in affiliate commissions.
You’re at the Mercy of the Affiliate Programs
Affiliate programs can change or even shut down. For example, you may be alerted that an affiliate commission has changed which could impact your income as well. Or there may be times when a company cannot pay out commissions (it’s rare but it has happened.) Even still, some affiliate programs are shut down and one of your sources for affiliate commissions is gone.
Payments are not Immediate
Almost all affiliate programs have a minimum 30-day hold on commissions you’ve earned before they are paid out. Some are longer at 45 days. These holds are necessary for any refunds that may occur. Once you’re making steady commissions each month, these holds are not that big a deal. However, in the beginning, it can feel like a long wait to get your commissions.
It Can Be Challenging to Make a Steady Income
Affiliate income fluctuates and as a beginner, you may find it challenging to make a steady income online. What it comes down to is traffic. If you do not learn how to generate a steady flow of traffic, you will struggle as an affiliate marketer.
Benefits of an Affiliate Marketing Course
An affiliate marketing course can help you to reach success faster despite the disadvantages of affiliate marketing. A really good course will include a coaching program that can help significantly with making progress.
Choosing an Affiliate Marketing Course for Beginners
There are many good affiliate marketing courses available for beginners, intermediates, and experts. Most of the popular options are geared towards beginners. I have some criteria for choosing a good affiliate marketing course:
Is the Course Creator Legit?
You can do some quick research on the course creator. How accessible are they? Are they active on social media? If you reach out via DM (direct message) or a support email, how soon do you get a response?
Student Success Stories
Does the course creator have any student success stories? An experienced online business coach will likely have several student success stories and testimonials.
Does the Course Focus on the Area You’re Interested In?
There are many ways to do affiliate marketing. You can find courses that focus on blogging, sales funnels, CPA offers, and others. Find out where the course places its focus and if you resonate with it.
Conclusion
While there is some downside to affiliate marketing, I think the benefits far outweigh them. If your goal is to earn an income online, becoming an affiliate marketer is one of the best ways to get started.
There was a time when I could only dream of making an affiliate commission and today, they are a common occurrence for me. It takes a willingness to learn, taking action on what you learn, and consistent effort.