When Dumitru Brinzan launched AcademiaThemes in early 2014, he did so with the goal of providing high quality themes for the education sector. With one year under his belt, I reached out to Brinzan to find out how the business is doing. The first year was rough, thanks in large part to algorithm changes implemented by Google to its search engine in early 2014.
The updates negatively impacted a majority of AcademiaThemes affiliates, “Many of our affiliates simply lost all of their traffic, so we lost basically all sales generated by them, which is an important source of revenue for new shops.” With affiliates having a hard time getting search engine traffic, Brinzan is finding it difficult to get new traffic to his site, “Now with almost all of the main affiliates out of the picture, it’s become incredibly hard to get traffic to our shop.”
Despite a significant loss in traffic and affiliate revenue, Brinzan will continue to operate the site. In fact, he’s opened a new theme shop called EnergyThemes aimed at the fitness market. EnergyThemes is the third theme company he owns that’s aimed at a specific niche. In addition to AcademiaThemes, he operates HermesThemes which offers themes for hotels.
The Achilles’ Heel of Affiliate Programs
I’ve never owned a WordPress theme shop, but I understand how important affiliate programs are. They provide free advertising while helping to generate sales. I never realized updates to Google’s search engine could drastically reduce affiliate revenue and traffic if sites perform poorly based on those updates. This is an important thing to consider if you’re thinking about utilizing an affiliate program.
Affiliate marketers are the dirty little secret that dominates the theme sales market for any shop that doesn’t already have an established and effective marketing channel. Without affiliates, I would have had almost zero sales in the first six months. And even now they still account for about 1/3 of sales — probably more, because I’m sure at least some people discover me through an affiliate, then send a link on to a third-party to purchase.
There are better and worse affiliates. But by and large they’re the ones creating all the “25+ Best ***** WordPress Themes” pages that clog all the top spots in Google search results. These are the kinds of pages Google is targeting when it updates its algorithm, so it’s an acknowledged part of the risk. This summer I really struggled after my 2 top-performing affiliates lost their positions for important keywords (one has since worked his way all the way to the top, even beating ThemeForest!).
One thing I’ve found is that for competitive keywords there’s a lot of movement. In the last six months I’ve seen half a dozen new entrants to the first page of Google results for the main phrase I follow, and some former top players got kicked off completely.
The fact is that people go hunting for themes on Google and what they get there is a set of results completely dominated by affiliate marketers. As a community member, I hate this. As a business owner, it’s a system I buy into. I’ve never been really comfortable with this. But I have to acknowledge that it’s one of the only effective marketing channels I’ve found.