Affiliate marketing is getting a makeover, again.
As brands pivot away from increasingly expensive paid media, they are turning to collaborations built on trust, efficiency, and accountability.
The Global State of Affiliate Marketing in 2025 Report by impact.com revealed that 74% of brands globally have boosted their affiliate investment to achieve stronger returns and measurable growth.
The research surveyed over 1,500 marketers, creators, and publishers across eight countries, including Australia, and found that 71% of marketers now consider affiliate marketing more cost-effective than other channels, while 66% report stronger return on ad spend (ROAS).
In Australia, 83% of marketers view affiliate marketing as more cost-effective, and 80% have seen improved ROAS, aligning closely with global trends.
Adam Furness, Managing Director APJ at impact.com, said the findings reflect a “global shift in mindset.”
“Brands are reallocating budgets based on what is driving measurable, cost-effective growth,” Furness said. “Affiliate marketing has matured from transactional relationships to strategic partnership programs that deliver across the entire funnel.”
The report highlights five key drivers of affiliate growth: partner diversification, AI integration, creator collaboration, strategic investment, and improved measurement models.
Big league brands are partnering not only with traditional affiliates but also with creators, content publishers, and commerce platforms to reach audiences at every stage of the customer journey.
Creator partnerships are gaining global recognition, with 59% of brands planning to allocate at least 25% of their partnership budgets to creators.
“Creators have become one of our most effective performance channels,” said Sarah Ann Lim, Global Partnership Manager, Affiliates and Creators at Castlery. “We’re seeing real ROI from partnerships that combine creative storytelling with measurable outcomes,” Lim added.
AI always wins
AI is playing a crucial part in this evolution, with almost all brands (97%) incorporating AI to boost partner analysis, personalisation, and automation, though most have only explored a few potential use cases so far.
Meanwhile, 94% of brands are experimenting with new attribution models that move beyond last-click tracking toward mixed-media and position-based approaches. However, the report shows room for improvement, with only 20% of brands tracking Customer Acquisition Cost and 18% measuring Average Order Value.
Regionally, affiliate marketing is set to grow fastest in markets like Singapore, while Australia continues to scale rapidly as local programs expand globally.
“Affiliate marketing is no longer a niche tactic. It’s a core part of the modern marketing mix,” added Furness.
“To unlock its full potential, brands need to back the right partners, adopt smarter tools, and shift from transactional thinking to long-term strategies.”