The Internet as a phenomenon rocked the civilized world. Nowadays innovations in the sphere of digital development are one of the main things that impact our lives. The digital innovations involve almost all the spheres of our life: security and safety, education, communication, business, entertainment. Digital technology has become an engine of common progress. It started changing the obsolete systems globally.
Business and trade have not become exceptions. They, on the contrary, are those spheres which for a while have become the first to come to one's mind if there is a word about rapidly developing digital technologies. E-commerce now presents a new spiral of the trade development as a whole. Digitalization made such a thing as digital economy possible. The digital economy is a general term that includes all the types of activity that exists between the industries, the innovation they use, the data they develop, the processes taking place within them as well as customers, but taking into consideration that all of these are activated and work thanks to the digital.
In spite of the fact that it is really a challenge to count the volume of the digital economy, Huawei states in 2017 it increased up to more than $12.9 trillion. The company presupposes that the number will rise by almost $10 trillion by 2025! Statista, which is an online portal of the business and market statistics, says in 2017 retail e-commerce sales all over the world made $2290 billion and in 2018 it is expected to grow by almost $5 billion. In such a way global e-commerce sales are expected to grow by 20% which is a really good achievement, especially taking into consideration that the industry demonstrates the smooth progress without the shadow of any kind of decline.
The thing that really inspires is that not only the highly developed countries are interested in and are involved in the digital economy, but the developing ones are as well. It gives them an opportunity to reduce the gap between rich and poor nations. India, for example, makes $25 billion profit in frames of the digital economy every year and it is not going to stop. As a result, the progress is expected to reflect in 95% growth by 2021, which is equal to almost $4.5 billion revenue contribution to the global digital economy.
The main factors that encourage the development of the sector are the growing e-enlightenment among people all over the world, exploitation of the high-end trade technologies and a good level of fertility of the digital industry itself. Nowadays there is a great number of various strategies and methods for promoting and purchasing goods and services online. Each of them works for its purpose like to attract clients, to preserve them, to open up new levels of sales, to high-level reputation, etc. Among the others, Affiliate Marketing proved to be one of the best methods, if not the best one.
To put it simply, Affiliate Marketing is the way to boost sales by means of attracting a publisher who will promote your goods and services, he or she will focus on reaching the same audience as yours and get his or her commission for that. It does not mean that the price for a good or a service is going to grow because of attracting new sources of promotion. The publisher will get the commission only in case if his or her promotion works, i.e. results in a click, a lead or a purchase. Thus, revenue distribution and performance dependence are two pillars of the Affiliate Marketing.
Recently Forbes brought out an article stating that in 2017 Affiliate Marketing invaded both social commerce and banner advertising and settled the score with the email marketing. As a result, Affiliate Marketing now presents 16% of the e-commerce sales. Moreover, with the efficiency of its performance, the speed of its development grows. One more sustainable premier research agency Forrester Consulting expects the Affiliate Marketing will be able to boast of its annual growth rate by 2020, as it is going to account for 10%. People are ready to give great sums of money to affiliates as their strategies show really good results. Advertisers now cannot afford not to cooperate with the affiliates as they have already taken a chance to see how awesome affiliate marketing expands the frontiers.
International affiliate networks are especially advantageous for advertisers as they greatly facilitate the activation of various traffic sources when it comes to the global projects. And, of course, that makes sense, because the international networks gather publishers from all over the world. Just imagine a team of publishers that from many different points of the globe work on promoting the same goods and services.
And here we have an exchange of goods and services between countries, i.e. Cross-Border Trade (CBT). It expands the frontiers of the trade as well. Since ancient times people have come to each other to do barter trade. Trade has no nationality. Its main focus is the same as that of the technologies, i.e. progress. We believe that any international cooperation and CBT is one of the best examples of it is for nothing but for the good.
Before we conclude, we would like to touch upon one more issue. Some of us have just got used to e-commerce when it is already one more type, i.e. m-commerce. It is not difficult to understand what stands for the M letter. That would be really difficult to go outside and to try to count to ten without seeing a person with his or her mobile phone. Good or bad, but they have become an integral part of our everyday life. Having realized that, marketers rushed to the customers' small screens. Nowadays m-commerce is the greatest trend tool in digital marketing. Such a thing as cross-device targeting emerges. It helps to keep a close watch on the target audience and advance the goods and services.
Affiliate Marketing has in its store a great number of effective strategies and tools, its potential may be unlimited. That is why it has all the chances to become 'a chief assistant' of the digital economy. We continue keeping abreast of the innovations within the sector so that we could gladden our customers with the most advanced and the most efficient instruments to do a really cool business!