Q. How Can You Identify a Legitimate Affiliate Marketing Program?
A. A legitimate program is transparent about its commission structure, offers clear terms and conditions, and provides real value to its customers and affiliates.
Have you ever come across an ad from some “marketing guru” claiming that they can teach you how to make $10,000 in one week or that they are now allowing people to join the affiliate program that made them so wealthy? All you have to do is pay $1,000 for exclusive registration.
How many times have you seen or heard someone say that affiliate marketing is all a scam?
If you spend a lot of time online or have ever looked for ways to make money online via marketing, there is a chance that you have experienced both scenarios.
The truth is that there are lots of bad actors in the affiliate marketing field who make it difficult for newcomers to make sense of what’s real and what’s not.
And that always brings to mind the all too familiar question: is affiliate marketing legit?
The simple answer: YES!
Affiliate Marketing is as legit as the sky is blue.
It’s the ladder that some renowned marketing experts climbed to become digital marketing experts across niches.
It’s one of the game-changing strategies that global brands like Amazon, AirBnB, and Shopify used and are still using to dominate their markets.
In fact, 81% of brands utilize affiliate programs to boost their sales and brand awareness. The global affiliate marketing industry is worth over $17 billion, with the U.S. affiliate marketing spending accounting for over $8.2 billion as of 2022.
Affiliate marketing is growing at a rate of 10% year-over-year, as many small and medium-scale businesses find their footing through legitimate affiliate marketing programs.
In essence, affiliate marketing is becoming more significant than ever in the digital marketing landscape.
Yet many people are still wondering if earning through affiliate marketing is just a fad with no substance.
If you are in that limbo, it might be comforting to know that you are not alone in your fear of affiliate marketing scams.
It is even more comforting to know that there are legitimate affiliate marketing programs you can tap into and record considerable progress.
In this post, we’ll help you with:
- the real meaning of affiliate marketing
- how to identify legitimate affiliate marketing programs
- tips for choosing affiliate programs.
So, settle in and enjoy the read!
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The Real Meaning of Affiliate Marketing
To distinguish legitimate affiliate marketing from scams, you must first understand what affiliate marketing entails and its different aspects.
Understanding Affiliate Marketing
According to Forbes:
“Affiliate marketing is when a company pays you (a third party) a commission to generate sales (or traffic) for them online, which you can do from anywhere and on the hours that work best for you and your client.”
The third parties involved in this marketing model are known as affiliates or affiliate marketers.
This simple definition covers the fundamentals of affiliate marketing and is helpful to bear in mind.
Affiliate marketing comes in different models, but the most common models are:
- Pay-per-lead
- Pay-per-sale
- Pay-per-click
Pay-per-Lead (PPL) Affiliate Marketing
In this sort of affiliate program, the affiliate is paid based on the number of converted leads they generate for an advertiser or business.
As an affiliate, your task mostly involves directing people to a company’s platform to complete a specific action.
The task may be to sign up for their services, download their software, or sign up for their free trials. The lead doesn’t necessarily have to convert to a sale.
In this model, you will be paid a fixed price for each lead you generate. They may pay you more for some leads, depending on the potential value of their background or demographic.
Pay-per-Sale (PPS) Affiliate Marketing
Here, the company pays you a commission from every sale that is generated from your referral link.
Unlike pay-per-lead where your referrals just have to take an action without necessarily spending money, this model requires that the leads you generate must place an order for a product or service.
The referral link is unique to you and allows the company to track the activities of all the leads you generated for their platform.
Pay-per-Click (PPC) Affiliate Marketing
PPC marketing is regarded as one of the easiest affiliate marketing models to follow.
An advertiser pays you, the affiliate, a commission every time someone clicks on an ad placed on your website or other platforms.
Google via Google AdSense is one of the most popular advertisers using this model. They display ads across different pages of your website, depending on the type of content therein.
You earn a commission every time someone clicks any such ads on your platform.
Role of Affiliate Marketers in Promoting Products and Services
As mentioned earlier, the growth of the affiliate marketing industry is, in part, a result of its increasing adoption by small and medium-scale businesses as a rewarding marketing strategy.
The global market is tilting more toward being driven by an attention economy. This, in essence, implies that for businesses to thrive, they have to devise useful means to grab the attention of target consumers wherever they are directing it the most.
But there’s a catch: there are now far too many media technologies and platforms, and it is extremely capital-intensive for businesses to meaningfully reach out to their target customers across all the relevant platforms. More importantly, there is an immense need to niche down marketing efforts.
In comes the affiliate marketers.
The important thing is that you have or grow a platform (website or social media profile) with a niche following, creating a brand image that attracts relevant businesses to market their products or services through you.
This makes it easy for businesses to:
- Optimize their marketing efforts to be cost-effective and low-risk. That is, beyond contract fees (if any), they only have to pay commissions for leads that took specific actions. Some boost payments by offering affiliates subsidized or free access to some of their products or services.
- Grow their customer base organically
- Access foreign markets with ease
- Reach audience bases in the corners of the internet that would’ve been otherwise missed.
- Enjoy the flexibility of re-strategizing their marketing efforts as quickly as target customer behavior changes or new trends develop, thanks to feedback from affiliates who are mostly engaged with the customers.
- Enjoy high returns on their marketing investments.
- Tap into a third party’s credibility as an extension of their own credibility.
With affiliate marketers playing crucial roles that allow businesses to access and enjoy these benefits, it is no surprise that affiliate marketing accounts for over 16% of all internet orders in the U.S.
Affiliate marketers, in turn, enjoy numerous benefits beyond commissions. Thus:
- Affiliate marketing is a side hustle with low startup costs
- When done right, it is a business with very low risk.
- By associating with some brands, you can build a sense of authority in their industry and attract more brands in the same space.
- You have access to an additional income, with the flexibility to make it a primary income if you commit to it.
It is a win-win situation for everybody, really.
Industries Forging Forward with Affiliate Marketing
After an unsuccessful attempt at affiliate marketing, you may find yourself back to the point where you are asking: “is affiliate marketing legit? Is affiliate marketing profitable?”
If you are at this point, it may be necessary to review the industries holding your focus.
According to Authority Hacker, some industries that are known for high growth potential with affiliates raking substantial affiliate marketing revenue include the following:
- Education and eLearning industry, with successful affiliates earning average affiliate marketing revenue of $15,551 monthly
- Travel industry—affiliates earn an average of $13,847 monthly.
- Beauty/skincare industry—affiliates earn an average of $12,475 monthly.
- Finance industry—affiliates earn an average of $9,296 monthly
- Technology and digital marketing industries, where affiliates earn an average monthly income of $7,200 to $7,450, ballpark.
- Health and fitness industry— affiliates earn an average of $7,194 monthly
Companies offering SaaS-based or B2B products, such as Alliance Virtual Offices, pay their affiliates as much as 20% to 70% commission.
With 209.72% year-over-year growth, the home and garden industry is the fastest-growing industry in the affiliate marketing space.
Other industries to consider include:
- E-commerce
- Sports & Outdoors
- Entertainment
- Food & Nutrition
- Fashion
- Personal development
- Parenting and family
- Arts & crafts
If you are keen on earning through affiliate marketing, then joining a legitimate affiliate marketing program in these industries would at least get you toward the safe limits of earning an average monthly income of at least $1,000.
Legitimacy in Affiliate Marketing
Is affiliate marketing legit? Yes.
If so, why do many people view it as a scam or baseless hype?
Well, that’s mostly because a lot of dubious individuals have found a way to tap into the hype to create fraudulent affiliate marketing schemes targeting marketers and aspiring marketers looking to genuinely make the most of the industry.
Let’s address the major concerns in the industry.
Affiliate Marketing Misconceptions
Some myths and misconceptions are often portrayed as the truths of affiliate marketing. Consequently, those interested in legitimate affiliate marketing programs become wary of the industry in its entirety.
Let’s look at some below:
- Requires high technical know-how: You don’t need to be an IT whizz to be an affiliate marketer. Most businesses offering legitimate affiliate marketing programs will provide you with all the guidance to be a successful affiliate.
- Too late to join: There’s a common assumption that the affiliate marketing industry is already saturated and only the already-established, old-school affiliates are still making it. All that is left is hype. With yearly increases in affiliate marketing spending and the substantial increase in global affiliate marketing revenue, this notion is simply untrue. An average of 4.7 million businesses—$5.48 million in 2023—start in the U.S. each year, and most of them are looking to cut marketing overhead by having affiliates market their products and services.
- It’s capital intensive: You don’t need a lot of money to become an affiliate. The intensive thing about affiliate marketing is all the commitment you have to put in to grow a followership or user base that brands consider attractive. Most people who spend money do so on affiliate marketing courses. Most of the information therein are pointers you will find freely on YouTube or at cheaper rates on e-learning platforms.
- Go big or go home: This myth taunts both affiliate marketers and SMEs. The assumption that you can only make it as an affiliate if you are associated with big brands is as flawed as the assumption that being a small business means you don’t have the inherent capacity to run a successful affiliate marketing program. In both cases, if there’s an established niche and minimum viable product, the ground is fertile for both parties to engage.
Lastly, there are myths implying that affiliate marketing is not a serious marketing strategy. Looking at some of the data presented earlier, you know this myth is far from the truth.
It’s an industry shaped by evolving consumer preferences and online shopping behaviors. The growth has been shown to be exponential, and as brands realize its benefits, it will mostly expand to be a prominent fixture in the marketing landscape, according to Entrepreneur.
The Many Red Flags of Disreputable Affiliate Programs
There are certain things that should or would set off all your alarms when looking for a legitimate affiliate marketing program to join.
And when those alarms do go off, you better heed them.
Here are some common red flags to note:
- Get rich quick!: If a supposed affiliate program touts itself as your one-way ticket to becoming an instant millionaire, you should immediately look the other way. Such claims are unrealistic and might put you in hot water. Even in industries where the average monthly earning for affiliates is about $15,000, the revenue is, in almost all cases, a result of many months of hard work. Depending on your dedication, it might take you over a year to join that revenue bracket.
- If it looks like a pyramid scheme, it’s probably a pyramid scheme: If a supposed affiliate program informs you that your income would be dependent on you bringing in more persons to join the program and earn a cut from their registration fees, it’s a pyramid scheme.
- Complex sales system: Affiliate marketing, especially B2C affiliate marketing, is straightforward in that clicking your referral link takes the lead to the advertiser’s sales page. If the lead has to take many actions to get to the advertised product or service page after clicking on your referral link, it would be extremely difficult for you to make a sale.
- Lack of transparency: If an advertiser is unclear on how your commissions will be determined or doesn’t appear to have a concrete product or service in its stables, that should be a sign that you should withdraw your interest.
- Pay to join: You are joining an affiliate program to get paid by the advertiser; things shouldn’t go the other way around. They may require you to have a certain type or number of audience members and have certain experiences, but that’s mostly all there is to it.
Lastly, beware of fake affiliate marketing gurus with no tangible product, service, user base, or testimonials that are mostly keen on pressuring you to buy their course before a certain limited-time offer expires.
Tips for Choosing Affiliate Programs
Here are some tips to guide you in your journey to becoming an affiliate marketer.
- Research the advertiser or company: Run background checks to confirm the reputation of their program.
- Verify claims that appear bogus: If their products or services appear to be this all-in-one wonder, it’s necessary to do in-depth assessments to confirm you are not about to associate your brand with something that might be detrimental to your image.
- Go for programs that align with your values and goals: You may find that you will be better off working with brands that share your values and goals.
- Transparent processes: Ensure that the terms of reference or contract are clear on the deliverables, the user journey, and the commission/revenue structure.
- Maximize affiliate networks: Join affiliate marketers’ communities to be up-to-date on affiliate marketing trends, including rewarding marketing strategies and new scams targeting affiliate marketers.
- Evaluate advertiser’s policies and rules: If you find that an advertiser’s rules are unnecessarily stringent or are ones that may be hard to keep up with, it might be best to avoid them entirely.
- Work with reputable businesses and products: If the products, services, and the company appear shady, they are likely packed with risks you don’t want to be associated with. Ensure the legality of all elements involved.
Lastly, trust your guts. If you are skeptical or concerned about anything, don’t turn a blind eye to it.
Choosing a Reputable Affiliate Program
When you choose a good affiliate program, you have a better chance of sustained success. But how do you know that you are in one?
Characteristics of a Good Affiliate Program
For as much as fraudulent affiliate programs would raise your eyebrows, a good affiliate program would likely fill you with a sense of comforting calm when you find one.
Away from gut feelings and sentiments, here are some ways to tell that an affiliate program is legit.
Clear Terms and Conditions
Reputable affiliate programs have well-detailed terms of use or terms of service that inform the affiliates of their responsibilities and limitations when engaging in the program.
The fine print should not be a potpourri of jargon that entraps you into a situation that hurts your brand.
Fair Commission Structure
Most reputable affiliate programs do not cap commissions or enforce obligations and minimum commitments. The more referrals you have, the more you earn.
If they say you will earn 50 cents for every click, that will remain the case. They won’t suddenly say that since you have already earned more than $100,000 or $1,000,000, they need to cap your commission.
They also won’t suggest that you have to make a certain number of sales before you start earning through affiliate marketing on their platform.
Adequate Support
Affiliate programs are not akin to Alone or some other survivalist program where you are thrown into the wild without appropriate guidance or round-the-clock support.
You know you are in a good affiliate program when they provide you with marketing resources and strategies you need to market their products to your audience effectively.
They will also provide access to affiliate experts who will support you throughout your journey with them.
Transparency
Some advertisers might be sneaky about how they track your performance so that you are never fully sure of how much you have earned.
When you register with a legitimate affiliate marketing program, you should have access to your own affiliate dashboard.
Here, you will have a comprehensive overview of how your referral link is performing: the clicks, sales, commissions, and other performance indicators.
Affiliate Marketing with Alliance Virtual Offices
Looking for an affiliate program with the above-mentioned qualities and even more? Tired of asking: is affiliate marketing legit?
Then, you should consider registering with the Alliance Virtual Offices Affiliate Program and avail yourself of the opportunity to earn assuredly and lucratively in the affiliate marketing industry.
The AVO Affiliate Program keeps things simple with a clear path for affiliates to join and start earning with its high-ticket affiliate marketing strategies.
With a 90-day affiliate cookie duration, zero commission cap, and a library of ready-to-post content for affiliates, AVO offers affiliates a less stressful route to high-ticket rewards of up to $550 per sale.
This places the program on par with other top high-ticket affiliate marketing programs such as Shopify’s and HubSpot’s.
Even better, the virtual office space industry is witnessing a boom alongside the boom in hybrid and remote work models. Consequently, the industry needs more affiliates to reach the growing workforce of hybrid businesses and workers.
The Alliance Virtual Offices Affiliate Programs provides all the resources and support to tap into this growing market.
Benefits of Partnering with Reputable Affiliate Programs like Alliance Virtual Offices’
At a glance, the Alliance Virtual Offices Affiliate Program offers the following benefits:
- Established partnership with an industry leader with a global audience and market across the Americas, Europe, Asia, and Australia.
- Access to a rich library of ready-to-post content that enables you to save time and money on content creation. This makes it easier for you to sell and earn commissions.
- A highly lucrative commission structure that allows you to earn up to $550 per sale with no commission cap! This is more than other key industry players are willing to offer.
- Additionally, we offer multi-tier commissions, which allow affiliates to earn commissions on the sales they generate and a little more from sales generated by their referrals.
- A top-tier affiliate dashboard provides you with an unlimited overview of your earnings and overall performance, allowing you to track your progress in real time.
- Access to dedicated account managers who will help you with strategies and all the support you need to align your affiliate marketing plans with the needs of your audience.
More so, the boom in the industry and the fact that Alliance Virtual Offices has been leading the market for about 20 years offers numerous potentials for our affiliate program to become a sustainable source of income for you.
Needless to say, you are always welcome to maximize the full benefits of our dedicated support system for affiliates to guarantee your success.
Key Takeaways: Is Affiliate Marketing Legit?
Is affiliate marketing legit? Again, YES!
From all we’ve detailed here, it is clear that affiliate marketing is legit. However, that doesn’t mean there are no fraudulent affiliate marketing schemes out there.
Follow our tips for choosing legitimate affiliate marketing programs to avoid the murky waters and land yourself a program that is equally as rewarding as it is fulfilling.
Be sure to do your due diligence to understand your advertiser or affiliate program’s industry, products, services, and reputation to ascertain their legitimacy and alignment with your values.
Further reading:
- The Complete Guide to Making Your Business Recession Proof
- How Long Does a Recession Last?
- What Does a Recession Mean for Me and My Business?
- Your Quick and Easy Guide to Online Virtual Offices
We cannot overemphasize the value of partnering with reputable programs like Alliance Virtual Offices affiliate programs with high ticket rewards, an established and fast-growing market, and all the resources you need to succeed and start earning through affiliate marketing with less stress.
Contact us to learn more about earning with our affiliate program.
Or, click here to download our Affiliate Quick Start Guide and create your own affiliate marketing revenue stream.
