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Demystifying affiliate marketing Ken Cheung – Head of Affiliate Marketing
Affiliates are a big opportunity Affiliate marketing increased to 38.2% in 2009 to reach £72.6Million (UK) (marketingweek May 2010) Econsultancy Jupiter Research
What is it? ,[object Object]
Think partnerships.,[object Object]
Today’s typical affiliate ,[object Object]
Organised Businesses (e.g. Econversions, Quidco, Nectar)
Generating hundreds of millions in revenues for major brands
Regulated (IAB),[object Object]
We need to gain control PPC Price Comparison What are you trying to achieve? Which affiliates are you going to use? How are you going to convert traffic? True Content Loyalty/ Cashback High Traffic/ Portal New Technologies  Email Voucher Code
Control is key Controlling the quality of affiliates Allocating affiliate budgets Ensuring incremental value
Penetration online Conversion rate Brand/reputation Commission Consumer incentive AOV Price
‘Data is the new oil’ Gerd Leonhard "It’s only when you process oil that it demonstrates its value, and data is the same" MEC Richard Lloyd
Take a scientific approach  Test and use data  Plan with this in mind Take controlled risks Understand that cross effect
Key issues Should you form your own network? Should you use cashback sites? Are voucher codes evil? How do you protect your brand?
Your Own Network? Selecting and communicating to affiliates Paying affiliates Payment thresholds If you build it will affiliates join? What are you trying to achieve?
Cashback does it add value?
What is their role in the marketing strategy? Control consumer behaviour Tap into database Don’t make it a habit How does this fit with your own loyalty CRM
Voucher codes Source: Google
Value = Benefits/Cost
The Recession prioritises ££££
Size Email database Premium placements Timing Structure codes to communicate value Market share Consumer behaviour
Brand protection
How we will manage the Cashback sites www.quidco.com
How we will drive more value from the voucher code sites
Controlling the affiliates through T&C’s Control voucher codes / cash back sites Control PPC and Organic rankings Control PPC activity Control brand messages Encourage partnerships
Hide the voucher code box Banners and creative inventory Control affiliate approvals Incentivise high value affiliates Co-ordinate with wider marketing strategy
Adding value and experience Interactive widgets Improve conversion rate Enhance user experience Distributed to relevant affiliates
Leverage off data feed technology Provides smoother sales process for consumer Easy to setup Supports niche affiliates

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Blue Barracuda Breakfast Club: Affiliate Marketing

  • 1. Demystifying affiliate marketing Ken Cheung – Head of Affiliate Marketing
  • 2. Affiliates are a big opportunity Affiliate marketing increased to 38.2% in 2009 to reach £72.6Million (UK) (marketingweek May 2010) Econsultancy Jupiter Research
  • 3.
  • 4.
  • 5.
  • 6. Organised Businesses (e.g. Econversions, Quidco, Nectar)
  • 7. Generating hundreds of millions in revenues for major brands
  • 8.
  • 9. We need to gain control PPC Price Comparison What are you trying to achieve? Which affiliates are you going to use? How are you going to convert traffic? True Content Loyalty/ Cashback High Traffic/ Portal New Technologies Email Voucher Code
  • 10. Control is key Controlling the quality of affiliates Allocating affiliate budgets Ensuring incremental value
  • 11. Penetration online Conversion rate Brand/reputation Commission Consumer incentive AOV Price
  • 12. ‘Data is the new oil’ Gerd Leonhard "It’s only when you process oil that it demonstrates its value, and data is the same" MEC Richard Lloyd
  • 13. Take a scientific approach Test and use data Plan with this in mind Take controlled risks Understand that cross effect
  • 14. Key issues Should you form your own network? Should you use cashback sites? Are voucher codes evil? How do you protect your brand?
  • 15. Your Own Network? Selecting and communicating to affiliates Paying affiliates Payment thresholds If you build it will affiliates join? What are you trying to achieve?
  • 16. Cashback does it add value?
  • 17. What is their role in the marketing strategy? Control consumer behaviour Tap into database Don’t make it a habit How does this fit with your own loyalty CRM
  • 21. Size Email database Premium placements Timing Structure codes to communicate value Market share Consumer behaviour
  • 23. How we will manage the Cashback sites www.quidco.com
  • 24. How we will drive more value from the voucher code sites
  • 25. Controlling the affiliates through T&C’s Control voucher codes / cash back sites Control PPC and Organic rankings Control PPC activity Control brand messages Encourage partnerships
  • 26. Hide the voucher code box Banners and creative inventory Control affiliate approvals Incentivise high value affiliates Co-ordinate with wider marketing strategy
  • 27. Adding value and experience Interactive widgets Improve conversion rate Enhance user experience Distributed to relevant affiliates
  • 28. Leverage off data feed technology Provides smoother sales process for consumer Easy to setup Supports niche affiliates
  • 29. Incremental sales 5 Channels 2 channels ‘Pure’