Sponsored by: Organised by:
Boosting Other Brands Marketing Channels with Your Affiliate
Programme and Bridge the Gap Between Online and OfflineHardeep Sohal - Commission Junction
Boost other marketing channels with your affiliate programme and bridge the gap between online & offline
What's the goal of an Affiliate Programme?
3
“…to expand the reach of brand & product beyond the means of a merchant’s own internal marketing. The promotion of the brand on external sites is in itself an endorsement of the brand which should not be undervalued…”
On
lin
e
4
Tracking Reach Speed
• Accuracy
• Rapidity
• Targeted
• Metrics
• Optimisation
• Results
Offl
ine
Traditional Try before you Buy
Considered Purchases
• Spend
• Established
• Experience
• Immediacy
• Consultative
• Service
5
Technology
Publisher
Network Merchant
Lets talk ‘INNOVATION’
6
Technology
• Merges the real world with the virtual world
• Incorporates information/promotions for user location
• Transactions can be made both on & offline
• Commercial viability comes second to user experience
7
Publisher• Learning's taken from existing Merchant relationships
• Driving users into stores using incentives
• Social, Local & Mobile being increasingly adopted
• Using Local & Mobile to drive members into merchant store
• Aiming to increase both online and offline sales for merchant
• Check-in CR: 16%
• Growth• Clicks: 54%• Sales: 59%• CR: 12%
• In-store cashback for full visibility
8
Publisher• Learning's taken from existing Merchant relationships
• Driving users into stores using incentives
• Social, Local & Mobile being increasingly adopted
• After a point, ROI on paid search drops below the cost
• Partnering with a PPC specialist within your Affiliate program can help maximize ROI on the long tail of search terms.
9
Merchant
• Agreement between online & offline departments
• Opportunity must be mutually beneficial
• Work with X-platform tracking
• Visibility on user journey
• Simple enough right?
• Message best delivered consultatively (a.k.a in person)
• Incremental? Profitable?
10
Network
• Technological flexibility
• Minimize risk & leakage
• Understand offline KPI’s as well as online
Summary
11
Technology
Publisher
Network Merchant
Innovation builds bridges
12
Sponsored by: Organised by:
Revolutionise your Affiliate Program using in-depth analytics!
Teresa Lawrence – Stream:20
Analytics and InsightRevolutionize your Affiliate program
Teresa LawrenceSenior Consultant
Who are Stream:20?
Specialisms
Affiliates
SEO
Channel Management
PPC
Display
Conversion
Social Media
What we do
Stream:20 is a digital marketing consultancy, est. 2005.
Stream:20 provide the in-house digital marketing capabilities and momentum businesses need to drive key initiatives forward. Mobile
Focus: hitting client KPIs
We’ve worked with…
Stream:20 do two things in affiliates
Work on the front line – managing programs Sit with generals - working through strategy
Plan Analyse Action
Data without analytics is just information overload
Two Building blocks
1. KPIs Are you using the correct metrics? Three rarely used KPIs
2. Reporting Simple visual representation
The KPIs they use have to count –
they have to give insight
F1 Drivers can only use a few dials to make split-second decisions
What really ends up happening on affiliate programs?
Lifecycle of a Affiliate Partnership
Affiliate engaged
Affiliate active Traffic being driven
Lapsed Partners
Driving Momentum
Affiliate becomes key sales
driver
Affiliate drives low
level of sales
1 2 4
Gro
wth
Str
ate
gy
Affiliate sign up
Recruit affiliates Monitor performance top level Focus on top performers Group affiliates by type / performance
Traditional metrics Visits, sales, CPA Group top affiliates All top line
3
Lifecycle of a Affiliate Partnership
Affiliate engaged
Affiliate active Traffic being driven
Lapsed Partners
Driving Momentum
Affiliate becomes key sales
driver
Affiliate drives low
level of sales
1 2 3 4
Policing
Communicate
Optimise
5
Gro
wth
Str
ate
gy
Affiliate sign up
Tip of the icebergTop affiliates
Rest of the base
What we see is often only a fractional part of what it really is
Most of the focus is on Top performers
What about the long tail??
Affiliates – Introducing New KPIs
Recruitment:• Number of new sales driving affiliates
Retention:• Number of sales driving affiliates lost
Activation:• Percentage of registered affiliates that
drive sales
Growth:• Number of affiliates driving on average
over 5 sales a month• Percentage of affiliates driving more
sales in 2012 than 2011
27
Recruitment
Activation
Retention
Growth
New Affiliates Existing Affiliates
Core
KPI
Impa
ct K
PI
Ensuring underlying metrics are hit maintains the program strength whilst ensures both current and long term sales targets are met.
• Objective: grow active affiliates
• Actions: incentives/ eCRM program
Positive growth in number of affiliates driving sales eliminates channel risk
# of active affiliates (as reported by networks) steady over the year
DATA SCENARIOS HOW YOU CAN ACT
• Objective: maximise sales
• Actions: ongoing communication and optimisation
Affiliate KPIs - Detail
Affiliate KPIs - Detail
Number of large volume sales driving affiliates follows overall sales trend
• Objective: grow mid tier• Action: optimisation,
target incentive strategy
DATA SCENARIOS HOW YOU CAN ACT
Little uplift but constant influx of new affiliates throughout the year maintains momentum
• Objective: grow lower tier, reactivate
• Action: nurture program, activation incentives
eCRM for Affiliates
An effective email/eCRM program can be expected to efficiently:
1. Understand and extend the lifetime value of an affiliate
2. Increase engagement by broadening the partner’s business
and product experience
3. Maximise the value of an affiliate
4. Mitigate churn and deliver value on a rolling basis.
eCRM for Affiliates
Identify Segments Welcome/New Active Pending Lapsed Lapsed Reg/ Not active
Identify Value
Objective:Educate Reduce early churnX-sellReturn users to site
Identify Preferences Objective: Capture explicit and implicit partner business preferences to relevant emails that cut through the inbox clutter and generate incremental sales
VIP High Value Mid Value Low Value No Value
Objective: Create SCV of customers for RFM modelling to create loyalty scheme and messaging .
Objective:Maintain engageUpsell/XsellReward success
Objective:Identify partnersshowing a propensity to lapse and encourage re-engagement.
Objective:Create a winback strategyto re-engage lapsed customers.
Objective:Trigger campaigns for partners with no product uptake after registration.
Email campaign management best practice:- Reporting/Tracking- Deliverability management- Creative best practice/testing- List management
Implement an effective email/eCRM program
SCENARIO 2: GETTING TO 60% COMING FROM TOP 5
SCENARIO 1: 80% COMING FROM TOP 5
Categorizing affiliates by value
Top Affiliates60%
Long tail40%
Top Affil-iates80%
Long tail20%
Categorizing affiliates by type
What verticals you target with your strategy makes a difference You can layer in new affiliate verticals to drive incremental sales As new verticals come on, there is some cannibalisation, but
over all you will get incremental revenue
Un-tap the power of data
1. Data is your friend - identify what matters
2. Analyse data to show you:where you are performing wellkey revenue drivers where specific improvements are
needed the modelled impact of those
improvements
3. Uncover the hidden insights in your data Engage in strategic discussions to help
you take effective and meaningful action
THANK YOU
Teresa LawrenceSenior ConsultantStream:20
Sponsored by: Organised by:
A Decade of Affiliate Marketing Already Under Our Belts, But
What's Coming Next For Us All?Nicky Iapino – RO Eye
Sponsored by: Organised by:
Powering Performance Marketing: How key technology choices benefit your e-
commerce businessRory Murphy – Equinix Europe
Owen Hewitson – Affiliate Window
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