I presented this at the Travel Distribution Summit on May 19th 09. The presentation discusses the intricacies of the travel sector, the implications this has for affiliate marketing and what I think makes a successful campaign in this sector.
2. Agenda
My Background
Travel Sector and Affiliates
Key points for a successful affiliate campaign
What stage is the travel affiliate channel at?
Summary
Questions
3. About Me
A Life in Affiliate Marketing
Helen Southgate
Head of Affiliate at dgm
Nearly 7 years in the Industry
Variety of Sectors
Current Travel Clients
4. Agenda
My Background
Travel Sector and Affiliates
What makes a good campaign?
How can the sector improve?
Summary
Questions
5. Travel Sector - Trends
How do Customers Search?
On average customers:
Make 12 related travel searches
Visit 22 different websites
Take 29 days to purchase
Visit the purchase site 2.5 times
Use a generic term at the start of their
search 54% of the time
10% of time don’t use a branded
search at all (i.e. Easyjet, Thomson)
29% of searches start with a non-brand
term but finish with a brand term
6. What does this mean for Affiliate Marketing?
The Importance of having an
affiliate campaign in the travel
sector
You want to have touch points at
the beginning of the search
You need reach across a wide range
of long tail terms
You need your brand to interact as
many times as possible within the
customer search
You want the customer to trust your
brand an affiliates reinforce that
7. Agenda
My Background
Travel Sector and Affiliates
What makes a good
campaign?
How can the sector improve?
Summary
Questions
8. What should you expect from an affiliate
campaign?
Affiliates drive incremental sales
Affiliates add value to the customer purchase
Affiliates promote your brand ethically
Affiliates are rewarded for sales that they can reasonably justify that
they have contributed significantly to
9. The Cookie
Cookie period in travel is important
29 days average purchase time
(click to sale)
Most travel campaigns are 30
days, should this be reviewed?
PI cookies
De-duping
10. The Affiliate Mix
Super Affiliates
Large Affiliates
This sector of affiliates is key
Medium Affiliates for a travel affiliate campaign
EARNINGS
Long Tail Affiliates
AFFILIATES
12. How can you attract affiliates?
Competitive EPC
(earnings per click)
Rewards / Incentives
Promotional Materials
Communication
Account Management
Bespoke management
13. Competitive EPC
Affiliates compare campaigns
using Earnings per Click
How can you influence the EPC for
affiliates?
Increase the commission
Increase your on site conversion rate
(OSC)
Landing pages / deep linking
Increase the affiliates Click through rate
(CTR)
Influencing the affiliates CTR
Regular updates of copy / creative
Interactive creative (i.e. searchable
banners)
Analysing creative / content
14. Motivating Affiliates
Think of your affiliates as your sales force, how would you motivate your top
sales person?
Salary
Bonus
Perks
Status
Different affiliates will be motivated by differing levels of reward:
Top Affiliate + =
Top Affiliate + =
15. Promotional Materials
What is key?
Make it easy for affiliates to promote
you
dgmKnowledge
Offer promotional materials that aid
conversion
Regularly review materials
Look to use API / RSS / Product Feeds
for “real time” data / availability
changes
Update your affiliates with all new
promotions / offers
16. Communicating with Affiliates
How do you break through
the noise?
Use all channels
Make sure you have a consistent
message
Find out what channel your
affiliates would prefer to use
Monitor the effectiveness of each
channel
Email is a necessary evil
Communicating effectively and
regularly, but not too much!
17. Account Management
It’s not a myth that relationships
are key to success
Good account management is:
Talking regularly to key affiliates
Supporting smaller affiliates
Being responsive
Being pro-active
Problem solving
Innovative
Communication
Treat affiliates as you would your
sales force
18. Bespoke Management
One size fits all affiliate campaign
has been and gone
Need to work with affiliates on a
bespoke basis:
Communications
Commissions
Promotions
Incentives
Relationships
Remuneration
19. Pay on all Actions
Holiday
Booking
More information
request
Brochure
Request
CPA
Repeat
purchases
3rd party sale (airport
parking, insurance)
20. Monitoring Quality
Risk factor = commission paid on booking not
fulfilment of sale
How to limit the risk:
Check all applications – know who you are doing
business with
Monitor quality of sale
Ensure you can validate all sales
Assess any loopholes in payment process
99% of affiliates are ethical but you need to
watch for that 1%
21. Agenda
My Background
Travel Sector and Affiliates
What makes a good campaign?
Where is the Travel Sector
now?
Questions
22. Where is the Travel sector?
More scope to innovate & improve
Understanding the consumer journey and adapting to this is key
Last click model
Long tail growth
23. Summary
Understand the customer journey for your product
Tailor your campaign
Know and understand your affiliates
Treat your affiliates as your sales force
Don’t be afraid to innovate
24. Agenda
My Background
Travel Sector and Affiliates
What makes a good campaign?
How can the sector improve?
Summary
Questions
25. Thanks for your time
Helen Southgate
Head of Affiliate
Direct: +44 (0)20 7943 4270
Email: helen.southgate@dgm-uk.com
Web: www.dgm-uk.com