DM CONFIDENTIAL: Last week we talked about an issue facing the more traditional side of affiliate marketing, one that has already had incredibly serious implications for the affiliate marketing space and could have equally monumental implications for the broader performance marketing space. While this affiliate tax issue has received a fair amount of press, the overall awareness feels low in relation to the seriousness of the topic and the effort being expended by individuals, companies, and organizations to fight it.
If that is a correct perception, the reason stems not from the amazing efforts of those fighting it but our nature. Most people worry about today and tomorrow. They don’t focus on a long-term threat. We like doing things where we can feel and see what happens as a result. In the fight against affiliate tax, it’s like funding research. We see some advances, but it’s the type of fight where you have to give and support it even though there isn’t a clear or tangible path to victory.
The affiliate tax, like many taxes, is driven by one thing – money. The state governments need it. There biggest source of revenue is still not where they are used to having it, and unlike other businesses, once governments get used to spending a certain amount, they don’t have the nimbleness to cut back.
Read the rest of the story at DM Confidential.