Key Affiliate Program Components You're Probably Missing

Presented by: Geno PrussakovCEO, AM Navigator LLCaffiliate program management, audit & consulting

URL: www.amnavigator.comTel.: (+1) 888-588-8866Email: geno@amnavigator.comTwitter: www.twitter.com/ePrussakov .

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Otherwise…

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15 integral (yet overlooked) affiliate program management elements

Management Elements

1. Don’t Manage Affiliates

1. Don’t Manage Affiliates

… in reality:

we’re notaffiliate managers

but affiliate program managers

Be a Leader

7 Rs

• Reachable• Responsive• Real• Realistic

• Responsible

• Reflective

• Resonating

.

Be a Leader

7 Rs

• Reachable• Responsive• Real• Realistic• Responsible• Reflective• Resonating

3 IsTransformational Leadership

• inspirational motivation• intellectual stimulation• individualized consideration

.

2. Leak-Free Website

Leaks - Definition

Leaks – external links within your website that lead to sites which do not credit your affiliates for the work they perform.

Leaks - Examples

1. Phone Number2. Live Chat3. AdSense Units4. Affiliate Links5. Links to Related Stores/Sites6. Links to Other Merchants7. Links to Other Affiliates

Leak #1 – Phone Number

Leak #1 – Phone Number

Leak #2 – Live Chat

Leak #2 – Live ChatGood answer:

Leak #3 – AdSense

Leak #4 – Affiliate LinksAmazon widget example:

Leak #5 – Related Stores/Sites

Leak #6 – Other Merchants

Leak #7 – Links to Affiliates

Go Leak-Free!!

3. Dedicated Landing Pages

Dedicated Landing PagesWe’ve analyzed 50 randomly selected merchants

(from Internet Retailer Top 500 list) on 3 major affiliate networks (CJ, LinkShare, GAN)…

Dedicated Landing Pages

4 Points to Cover:

1. Reinforce promo/campaign's details

2. Provide detailed instructions (if customer needs to do something)

3. Spell out any restrictions

4. Have clear calls to action

.

4. Testing & Conversion Rate Optimization

Testing & Optimization

What to Test?

• Headlines• Calls to action• Page style & layout• Images• Descriptive copy• Pricing & promos.

Testing & Optimization

What to Test?

• Headlines• Calls to action• Page style & layout• Images• Descriptive copy• Pricing & promos

Tools to Employ

• Google Website Optimizer• Visual Website Optimizer• LiveBall• A/Bingo• PickFu• Vertster• Unbounce• Sitespect's A/B Testing• Five Second Test• Vanity

5. Program Agreement

Don’t confuse with affiliate network’s agreement!

5. Program Agreement

5. Program Agreement

Merchant naïvete -- loss of defensive behaviors and adaptations needed to deal with “predators”

Program agreement

What to Cover?• Coupon & discounts policy• Trademark policy• Policies on loyalty affiliates• Disclosure recommendation

Program agreementWhat to Cover?

• Coupon & discounts policy• Trademark policy• Policies on loyalty affiliates• Disclosure recommendation

How to Word It?1. Foreword2. Summary3. Agreement itself

Program agreementWhat to Cover?

• Coupon & discounts policy• Trademark policy• Policies on loyalty affiliates• Disclosure recommendation

How to Word It?1. Foreword2. Summary3. Agreement itself

“How often do you read TOS?”

Program agreement

Get your free sample:

www.AMNavigator.com/TOS.html

6. Policing & Enforcement

Monitor Trademark Use

In Paid Search Campaigns:

• iTrademarkBidding – www.itrademarkbidding.com• Brandverity PoachMark – brandverity.com/poachmark• SearchMonitor – thesearchmonitor.com/affiliate_monitor• AdGooroo Trademark Insight – www.adgooroo.com

In Domain Names:

• CitizenHawk – www.citizenhawk.com.

7. Approval Email

What % of your current affiliates are active?

7. Approval Email

Pattern to Follow1. Remind them of your program details

2. Include an activation promo

3. Enclose performance-based incentive

4. Pre-coded affiliate links (incl. coupons, feed, etc)

5. Detailed contact information

“What’s the maximum acceptable affiliate program application response time?”

8. Sense of Urgency

Create a Sense of Urgency!

9. Hard-to-Reach Goals

Unrealistic/Demotivating Goals

Important details: AOV ~$650 So, for 0.5% increase - 31 orders/mo …and for 1% bump - 91 such orders

Swimmer (illustration)

10. Commission Drops

Commission Drops

Commission Drops

As a valued [Merchant Name] affiliate partner, I wanted to let you know that we are currently working to make our program, and our partnerships, as successful as possible.

In order to continue to support the success of our current partnership we are unable to continue to offer you a flat 4% commission on all goods. Starting at the end of February, our new offer will be lowered to 1.5% on all goods.

Commission Drops

11. Competitive Intelligence

5 Ways to Spy on Competition

1. Analyze their performance stats

2. Become their customer & affiliate

3. Create automatic monitoring campaigns

4. Do friend and follow them

5. Employ traffic measuring tools

12. Proactive Management

Proactive Management

Proactive – “Acting in anticipation of future problems, needs, or changes” (Webster's Dictionary)

13. 2-Way Communication Channel

Chernobyl (illustration)

Global Problem

Global Problem

Communication Channel

Build a two-way communication channel (via all available means, including social media)

Preferred Communication Methods

Email - over 62%

Website - 14%

Social media - 12%

Source: 2010 AffStat Report

Communication Frequency

Source: 2010 AffStat Report

Motivate Through CommunicationCongratulations! You have been chosen as a CSN Stores Affiliate Program Rising Star. All the members of this group have been able to bring in a significant amount of traffic to our sites over the last few month. We want to help you make sure those visits lead to sales and commissions! For the next month, April 1st- May 1st, the CSN Stores Affiliate program will be offering an exclusive promotion to the members of this Rising Stars group.

If in the month of April you can convert just 10 sales you will receive an additional $150 bonus on top of your commissions.

Motivate Through CommunicationTo motivate others effectively, managers must have “a clear, unbiased

understanding of the situation at hand, deep insights into the vagaries of human nature, the establishment of appropriate and reasonable expectations and goals, and the constructions of a balanced set of… incentives.”

Bronwyn Fryer, "Moving Mountains“ (Harvard Business Review on Motivating People, 2003)

Start with the truth Appeal to greatness Make them proud Stick to your values Provide constant & consistent communication channel Build trust Care for the little guy Set different incentive levels

14. Dedicated Affiliate Mini-Site

Recruitment Through Their Eyes

Source: 2010 AffStat Report

Google - 18%

Research - 5.7%

Blog - 5.7%

TOTAL: ~30%

Affiliate Program Mini-Site

Minimum• Program Details (with sign-up link/form)• Program Agreement• Blog

Ideally1. Program Details2. Program Agreement3. FAQ Section4. Tips & Ideas5. Creatives6. Blog7. Contact Us.

15. Playing Without the BallPerhaps the most important part of offensive

basketball is the part played by each man without the ball.

~ John Woden, Naismith Hall of Fame Coach

One of the most difficult coaching tasks is to teach players to carry out actions that don’t involve the basketball — the magnet of the game.

~ Krause, Meyer & Meyer, Basketball Skills & Drills

Moving without the ball requires you to be adept at starting, stopping, faking, and changing directions. You must have excellent court awareness and vision…

~ Ralph Pim, Winning Basketball

15. Playing Without the BallPerhaps the most important part of offensive

basketball is the part played by each man without the ball.

~ John Woden, Naismith Hall of Fame Coach

One of the most difficult coaching tasks is to teach players to carry out actions that don’t involve the basketball — the magnet of the game.

~ Krause, Meyer & Meyer, Basketball Skills & Drills

Moving without the ball requires you to be adept at starting, stopping, faking, and changing directions. You must have excellent court awareness and vision…

~ Ralph Pim, Winning Basketball

In Conclusion…

Thank you!

Got questions?

Mistakes & Areas to Rethink

1. Managing affiliates

2. Leaks

3. Dedicated landing pages

4. Testing & optimization

5. Program agreement

6. Policing & enforcement

7. Approval email

8. Sense of urgency

9. Hard-to-reach goals

10. Commission drops

11. Competitive intelligence

12. Proactive management

13. Communication channel

14. Dedicated affiliate mini-site

15. Playing without the ball

Got questions?www.amnavigator.com/blog | 1-888-588-8866 | geno@amnavigator.com

Mistakes & Areas to Rethink

1. Managing affiliates

2. Leaks

3. Dedicated landing pages

4. Testing & optimization

5. Program agreement

6. Policing & enforcement

7. Approval email

8. Sense of urgency

9. Hard-to-reach goals

10. Commission drops

11. Competitive intelligence

12. Proactive management

13. Communication channel

14. Dedicated affiliate mini-site

15. Playing without the ball