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UK Affiliate Marketing Landscape Linus Gregoriadis, Head of Research, E-consultancy
Overview of presentation ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
About E-consultancy ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Survey-based research ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
A buoyant industry growing fast … ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Benchmarking affiliate marketing  ,[object Object],[object Object]
Benchmarking affiliate marketing Source: E-consultancy / buy.at Affiliate Marketing Merchants Report 2007
Benchmarking affiliate marketing ,[object Object],[object Object],[object Object]
Benchmarking affiliate marketing Source: E-consultancy / buy.at Affiliate Marketing Merchants Report 2007
Progress made … ,[object Object],[object Object],[object Object],[object Object]
Progress made … Source: Duncan Jennings,  eConversions Professional affiliate individuals and companies with dedicated resources Part time affiliates Desktop Widgets & RSS Google AdSense  Email Offer Newsletters CPM Banners Cash back and reward sites with long term user bases Free Stuff Sites Closed groups of approved affiliates providing complimentary PPC with performance targets and accountability. Emphasis and rewards on long tail Unauthorised PPC activity High quality sites utilising user-generated content and comparison engines Spam SEO sites Affiliate 2.0 Affiliate 1.0  >>>>>
Changes in the affiliate world … ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
But plenty of room for improvement ,[object Object],[object Object]
Barriers to success ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Barrier: Lack of internal resource ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Barrier: Poorly converting website ,[object Object],[object Object]
Barrier: Restricted budget ,[object Object],[object Object],[object Object],[object Object]
Barrier: Difficulty in attracting affiliates ,[object Object],[object Object],[object Object]
Barrier: Problems with tracking ,[object Object],[object Object],[object Object]
Voice of the merchants … “ A few super affiliates with a drop in volume and standard to the next group .”   “ There are too many search affiliates. I wish an affiliate network could actively move away from this model. ” “ Fraud is a major issue. Takes a lot of our resource that could be better used optimising our activity.” “ Counter-bidding on paid search can be a real obstacle with some affiliates .”
Voice of the affiliate … “ I find that deep links often do not work and just take the customer to the home page. A good selection of deep links with good photos of products are essential. Customers are put off by having to search for products.”   The biggest reason for affiliates  not  promoting merchants after making the effort to sign up for programs is because of insufficient  quality & quantity of links .
Role of Networks
Use of networks by merchants ,[object Object],[object Object],[object Object],[object Object],[object Object]
Branding is increasingly important ,[object Object],[object Object],[object Object]
Voice of the agencies … “ The distinct lack of actual experience and understanding [is a barrier]. It would be good to see some kind of accreditation for affiliate managers that was recognised in the industry.”   “ As soon as empathy, understanding and real communication from all sides come into play then we will see the real growth happen in this industry ”. “ There is a bit of a challenge with educating merchants on the added value of affiliate marketing. Some are convinced they would get the sale anyway as a portion of affiliate sales are from returning customers .”
Key takeaways ,[object Object],[object Object],[object Object]
[object Object],[object Object],[object Object]

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UK Affiliate Marketing Landscape

  • 1. UK Affiliate Marketing Landscape Linus Gregoriadis, Head of Research, E-consultancy
  • 2.
  • 3.
  • 4.
  • 5.
  • 6.
  • 7. Benchmarking affiliate marketing Source: E-consultancy / buy.at Affiliate Marketing Merchants Report 2007
  • 8.
  • 9. Benchmarking affiliate marketing Source: E-consultancy / buy.at Affiliate Marketing Merchants Report 2007
  • 10.
  • 11. Progress made … Source: Duncan Jennings, eConversions Professional affiliate individuals and companies with dedicated resources Part time affiliates Desktop Widgets & RSS Google AdSense Email Offer Newsletters CPM Banners Cash back and reward sites with long term user bases Free Stuff Sites Closed groups of approved affiliates providing complimentary PPC with performance targets and accountability. Emphasis and rewards on long tail Unauthorised PPC activity High quality sites utilising user-generated content and comparison engines Spam SEO sites Affiliate 2.0 Affiliate 1.0 >>>>>
  • 12.
  • 13.
  • 14.
  • 15.
  • 16.
  • 17.
  • 18.
  • 19.
  • 20. Voice of the merchants … “ A few super affiliates with a drop in volume and standard to the next group .” “ There are too many search affiliates. I wish an affiliate network could actively move away from this model. ” “ Fraud is a major issue. Takes a lot of our resource that could be better used optimising our activity.” “ Counter-bidding on paid search can be a real obstacle with some affiliates .”
  • 21. Voice of the affiliate … “ I find that deep links often do not work and just take the customer to the home page. A good selection of deep links with good photos of products are essential. Customers are put off by having to search for products.” The biggest reason for affiliates not promoting merchants after making the effort to sign up for programs is because of insufficient quality & quantity of links .
  • 23.
  • 24.
  • 25. Voice of the agencies … “ The distinct lack of actual experience and understanding [is a barrier]. It would be good to see some kind of accreditation for affiliate managers that was recognised in the industry.” “ As soon as empathy, understanding and real communication from all sides come into play then we will see the real growth happen in this industry ”. “ There is a bit of a challenge with educating merchants on the added value of affiliate marketing. Some are convinced they would get the sale anyway as a portion of affiliate sales are from returning customers .”
  • 26.
  • 27.