In a recent report from the UK, it looks like performance marketing is continuing to grow rapidly and produce exceptional returns on investment for brands. In fact, affiliate sales are now delivering a full 1% of the entire gross domestic product in the UK. This is quite incredible when you think about the fact that affiliate marketing is primarily used for online sales and has only really been around in its current form for a couple of decades.
Today, online performance marketing is generating about €16.5 billion in sales for advertisers and brands. What is maybe even more impressive is the fact that for every €1 spent in performance marketing, it generates €15 in return. This is according to the third annual Online Performance Marketing Study, produced by the IAB and PwC.
Dan Bunyan, who is the senior manager at PwC, said, “OPM has grown to a near-€17 billion industry tue to the fact that all parties continue to benefit.” This really hits the nail on the head. Performance marketing is an ideal option for everyone involved. The brands get increased sales with exceptional ROI, the customers have an easier time finding what they need, and can get better deals from it too. Of course, the affiliates are getting a great income as well.
Also in the report is a statistic that shows that nearly four out of five Brits are using online affiliate marketing to make purchases over the course of the year. Of course, some of them will make many purchases, and others only one, but having such a massive percentage of people actually using this type of system is quite amazing.
While this specific report is all about the UK marketing, the numbers aren’t out of line with what is being seen in other countries around the world. Just about everywhere that you have widespread use of the Internet (especially when mobile devices are involved) you are seeing great success with performance marketing. Millions have already benefited from performance marketing, and the future is looking brighter than ever for this rapidly growing industry.
