09 Jul 06
05 Jun 13 4:22 am
I think it's more an issue of making sure you're not putting all your eggs in one basket.
A couple of years ago (and this may be what Dale is referring to) quite a lot of affiliates saw their search engine rankings (and therefore their earnings) drop off overnight as Google altered its algorithm.
Before that we also saw the "Google Slap" (way back in the day now) where affiliates saw their pay-per-click minimum bids increase a huge amount, meaning that their pay-per-click campaigns could no longer be profitable, and killing their earnings too.
In both cases you could say that their downfall was not having a sufficiently diverse range of traffic sources. If it's possible to kill your earnings by shutting off one particular traffic stream, then your income is vulnerable.
Ways to overcome this include using a variety of methods to get traffic to your website (social media/sharing, SEO, PPC, newsletter lists, etc), and building a portfolio of affiliate sites rather than relying on just one for your income.
That way if Google changes their algorithm again, or if the niche you're in loses popularity, you're not going to be totally destitute.
This isn't something unique to affiliate marketing. I've seen physical, real-world businesses go belly-up because they relied too heavily on one particular client (and then that client decided to use someone else), or because the market for a product or service dried up.
I've also seen real-world business owners working away in a day-job until they felt sufficiently invincible in their own business.
Just approach affiliate marketing like any other serious business venture and you'll be fine.