Visualsoft's continuing efforts to educate users of their highly successful e-commerce platform lead to a client forum event held at the NEC in Birmingham during 2012. It was here that some of the more complex website marketing practices were explained in workshop format. This workshop lead by Affiliate Manager Luke Atherton gives small to medium businesses an introduction to Affiliate Marketing with steps on how to set a website up on an affiliate network as well as how this is used to generate leads and revenue.
2. Today’s workshop…
1.What is affiliate marketing?
2.How does it work?
3.How to setup an affiliate programme
4.Technical Aspects
5.Types of affiliates
6.Building relationships
7.Discount codes and offers
8.Banners
9.Tenancy explained
10.Costs
3. What is affiliate marketing?
Definition
"Affiliate marketing is a marketing practice in which
one or more affiliates are rewarded upon
generating successful sales for a merchant
through their own marketing practices."
5. Anyone who has a website through which...
1.They sell products
2.Provide services
Business to business does not work very well!
What is affiliate marketing?
Who can run an affiliate programme?
6. 1.What is affiliate marketing?
2.How does it work?
3.How to setup an affiliate programme
4.Technical Aspects
5.Types of affiliates
6.Building relationships
7.Discount codes and offers
8.Banners
9.Tenancy explained
10.Costs
8. 1.What is affiliate marketing?
2.How does it work?
3.How to setup an affiliate programme
4.Technical Aspects
5.Types of affiliates
6.Building relationships
7.Discount codes and offers
8.Banners
9.Tenancy explained
10.Costs
10. 1.Contact the network
2.Request proposal
3.Sign contract
4.Pay any setup fees
5.Fill out all programme details
How to setup an affiliate programme
Signing up
11. How to setup an affiliate programme.
Signing up - Webgains
www.webgains.com
●Choose ‘Merchants’
●Use contact form
●Or call
12. How to setup an affiliate programme.
Signing up – Affiliate Window
www.affiliatewindow.com
1.Choose ‘become a merchant’
2.Use contact form
3.Or call
13. How to setup an affiliate programme
Deciding commission
Regular Commission Example
£100.00 (sale value) = 8% (commission)
+ 30% (network override)
Total you pay for £100.00 sale is:
(8% of £100 = £8 ) + (30% of £8 = £2.40 )
£10.40
14. How to setup an affiliate programme
Deciding commission
Tiered Commission Example
0 – 10 Sales = 8%
10 – 20 Sales = 9%
20+ Sales = 10%
£100.00 (sale value) = See Above (commission)
+ 30% (network override)
Total you pay for £100.00 sale is:
Based on performance
15. How to setup an affiliate programme
Setting up commission - Webgains
16. How to setup an affiliate programme.
Setting up commission - Webgains
17. How to setup an affiliate programme.
Setting up commission - Webgains
18. How to setup an affiliate programme.
Setting up commission – Affiliate Window
19. How to setup an affiliate programme.
Setting up commission – Affiliate Window
20. 1.What is affiliate marketing?
2.How does it work?
3.How to setup an affiliate programme
4.Technical Aspects
5.Types of affiliates
6.Building relationships
7.Discount codes and offers
8.Banners
9.Tenancy explained
10.Costs
21. Technical Aspects
Implementing a tracking code
●Self-managed programmes - contact Visualsoft
by putting a ticket in to receive a quote
●Visualsoft-managed programmes - pay nothing,
we will integrate the tracking code for you
22. Technical Aspects
Product feed implementation
●Self-managed programmes - contact Visualsoft
by putting a ticket in to receive a quote
●Visualsoft-managed programmes - pay nothing,
we will create the feed for you
23. Technical Aspects
Bespoke product feeds
Some affiliates require bespoke product feeds
●Self-managed programmes - contact Visualsoft
by putting a ticket in to receive a quote
●Visualsoft-managed programmes - we will
identify and create the feeds for you
24. Technical Aspects
Checking your setup (monthly)
●Check tracking of voucher codes
●Check tracking of all currencies
●Check product feeds are updating
●Check latest data is in product feeds
25. 1.What is affiliate marketing?
2.How does it work?
3.How to setup an affiliate programme
4.Technical Aspects
5.Types of affiliates
6.Building relationships
7.Discount codes and offers
8.Banners
9.Tenancy explained
10.Costs
26. Types of Affiliates
The different types
●Voucher Code Websites
●Cash Back Websites
●Price Comparison Websites
●Specialist Affiliate Websites
27. Types of Affiliates
Voucher code websites
●Promotes offers and discount codes for
merchants
●Provides a solid starting point for any programme
●Excellent way to increase exposure, even on
search engines
●Usually one of the top earners on a programme
28. Types of Affiliates
Voucher code websites - process
Customer searches Google for a voucher code.
Top Tip! Voucher codes can help convert those
sales that might otherwise have left your website
30. Types of Affiliates
Voucher code websites - process
Customer can now browse your active discounts and offers
31. Types of Affiliates
Voucher code websites - best practices
●You can run any kind of discount code
●You don’t have to run discount codes, you can
run offers and promotions to
●Having at least one discount code and one
promotion is essential
●You can release the same offers and discount
codes to multiple affiliates
●They can offer you extra exposure for exclusive
discount codes
32. Types of Affiliates
Cash back websites
●‘Pays’ customers to shop
●Pass on the commission to their users,
incentivising them to shop
●High conversion rates due to above
●Also uses product feeds and discount codes
33. Types of Affiliates
Cash back websites - process
Cash back customer searches for a shop
Top Tip! Cash back websites have a high
conversion rate because the decision to ‘shop’
has already been made
34. Types of Affiliates
Cash back websites - process
Customer finds the most appealing cash back
offer
35. Types of Affiliates
Cash back websites - process
Customer clicks through to merchant and shops as usual.
36. Types of Affiliates
Cash back websites – best practices
●Having a higher commission rate than your
competition can help your brand awareness with
customers
●Offer higher rates for short periods in return for
extra exposure
●Cash back is an excellent brand building
exercise, customers will return after first sale
●Many big name brands have low cash back, this
is your ‘way in’
37. Types of Affiliates
Price comparison
●Makes big use of product feeds and product data
●Can send a lot of traffic to your website
●Excellent way to target your competition
●Great way to gain new customers that will keep
coming back
●Excellent way to associate yourself with a product
or brand
38. Types of Affiliates
Price comparison - process
Customer searches for product or brand.
Top Tip: Price comparison websites are often
product orientated, if you're competitive on one
product and not another then push it!
40. Types of Affiliates
Price comparison - process
Customer clicks through to one of the cheapest merchants.
41. Types of Affiliates
Price comparison – best practices
●You need to be competitive
●Having a simple but lucrative commission
structure will help you get listed
●Try to price match key products and brands
●Running temporary sales or offers can provide
spikes in sales
42. Types of Affiliates
Specialist affiliates
●Can drive much more relevant traffic
●Focuses on your market where you are most
suited
●Harder to find and get listed, usually work with a
select few
●Can generate excellent sales and returning
customers quickly
43. Types of Affiliates
Specialist affiliates – best practices
●Use the affiliate network to find potential affiliates
●Be willing to negotiate. And sell your business
●Communicate new brand launches and top
sellers
●Consider CPC affiliates
44. 1.What is affiliate marketing?
2.How does it work?
3.How to setup an affiliate programme
4.Technical Aspects
5.Types of affiliates
6.Building relationships
7.Discount codes and offers
8.Banners
9.Tenancy explained
10.Costs
46. Building Relationships
Relationship - success funnel
Strong Relationships.
All Channels Targeted.
Some Strong Relationships.
Most Channels Targeted.
The Odd Relationship.
Some Channels
Targeted.
No Relationships.
Some Channels
Targeted.
NO RELATIONSHIPS, VERY FEW CHANNELS TARGETED.
47. 1.What is affiliate marketing?
2.How does it work?
3.How to setup an affiliate programme
4.Technical Aspects
5.Types of affiliates
6.Building relationships
7.Discount codes and offers
8.Banners
9.Tenancy explained
10.Costs
48. Discount Codes & Offers
Types of discount code
●Site wide
●Brand/category specific
●Percentage/value discount
●Buy one get one free
●Postage discount
●Global offer
49. Discount Codes & Offers
Releasing a discount code
●Setup your code in VS admin
●Add the details to your network
●Send an email to relevant affiliates
●Post a blog and forum article on relevant sites
54. Discount Codes & Offers
Releasing a code – blogs & forums
Post your offers and discount codes to popular
affiliate blogs and forums, such as:
●A4U - Affiliate Marketing Forum
●Webgains - Blog
●Affiliate Window - The Hub (Blog)
55. Discount Codes & Offers
Example 1
10% Off Men’s Jackets
Free Next Day Delivery
Top Performer 1
Top Performer 2
Affiliate
Affiliate
Affiliate
Affiliate
Affiliate
56. Discount Codes & Offers
Example 2
10% Off Men’s Jackets Increased Commission
Voucher Code Affiliate
Voucher Code Affiliate
Cash Back Affiliate
Cash Back Affiliate
Voucher Code Affiliate
Voucher Code Affiliate
Voucher Code Affiliate
Cash Back Affiliate
Cash Back Affiliate
Cash Back Affiliate
Separate exclusives based on affiliate if necessary
57. 1.What is affiliate marketing?
2.How does it work?
3.How to setup an affiliate programme
4.Technical Aspects
5.Types of affiliates
6.Building relationships
7.Discount codes and offers
8.Banners
9.Tenancy explained
10.Costs
58. Banners
Using banners
●Used as advertising links on websites
●All affiliates use them to some degree
●Various sizes required
●Some affiliates may request bespoke sizes
59. Banners
Getting new banners
●If you run your own programme you can upload
your own banners or request a quote from our
design team
●If Visualsoft manage your programme we will
organise all banners for you
60. 200 x 40 160 x 100 250 x 250
88 x 31 120 x 60 125 x 125
120 x 600 234 x 60 468 x 60
Banners
Banner sizes
66. 1.What is affiliate marketing?
2.How does it work?
3.How to setup an affiliate programme
4.Technical Aspects
5.Types of affiliates
6.Building relationships
7.Discount codes and offers
8.Banners
9.Tenancy explained
10.Costs
67. Tenancy explained
What is tenancy?
●Tenancy is a paid advertising slot on a website
●It usually costs a one off fee in the region of £250
for one week
●If your programme and brand are strong on the
site you can gain a boost in visits and sales
68. Tenancy explained
Who offers tenancy?
●Voucher code websites
●Cash back websites
●Some specialist affiliates
●And many others
70. Tenancy explained
Tenancy – best practices
●Choose sites that you have a strong presence on
●Shop around for the best deals
●Negotiate a reduction in return for an exclusive
offer
71. 1.What is affiliate marketing?
2.How does it work?
3.How to setup an affiliate programme
4.Technical Aspects
5.Types of affiliates
6.Building relationships
7.Discount codes and offers
8.Banners
9.Tenancy explained
10.Costs
72. Costs
Signup costs - Webgains
If you run your own programme:
●£950 setup
●£350 monthly Webgains account management and
technical support fee.
●£1000 top up (used to pay commission)
If Visualsoft run your programme:
●£500 setup
●£100 monthly Webgains technical support fee.
●£1000 top up (used to pay commission)
73. Costs
Signup costs – Affiliate Window
Example 2011 costs:
If you run your own programme:
●Variable, discuss with network
If Visualsoft run your programme:
●£1500 setup fee
●£200 monthly network fee
74. Costs
Signup costs – Visualsoft
●If you have a marketing retainer already you can add
our affiliate marketing service to it.
(Please speak to David Duke who is just outside
about our retainer services and costs)