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Navigating Next Generation Affiliate Programs

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Affiliate marketing is changing rapidly and the future of affiliate marketing is no longer limited to the traditional players in the space. New partners and technology platforms have come into the mix that are shaping the affiliate channel moving forward. Brands are developing and managing strategic and integrated large-scale performance partnerships such as marketing, business or other digital partnerships on a global basis.

Robert Glazer will share best practices on how to elevate your affiliate channel so you can deliver on the promise of incremental revenue, new customers and raising brand awareness. He’ll also share case studies from leading retailers on how they have applied these strategies to improve results.

Attendees will learn how to transform their affiliate program by:

Building the right team
Valuing the right metrics
Managing payouts to reward the most valuable affiliates
Recruiting high-quality affiliates and performance based partners to your program
Demanding transparency with centralized reporting, automatic payments and a standardized operating framework

Veröffentlicht in: Marketing
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Navigating Next Generation Affiliate Programs

  1. 1. Kissmetrics Webinar Series NAVIGATING NEXT GENERATION AFFILIATE PROGRAMS The webinar starts at 11am Pacific Time Slides and Recording will be sent out within 24 hours of the webinar Q&A after the presentation, but feel free to enter questions as they come up 10 min Demo of Kissmetrics Analytics after the Q&A
  2. 2. Navigating Next Generation Affiliate Programs
  3. 3. @Kissmetrics #KissWebinar @thuelmadsen
  4. 4. Thue is the Kissmetrics Webinar Wizard and Marketing Ops Manager. Before joining forces with Kissmetrics, he was a Lyft driver in SF, which is also how he ended up as a Kissmetrics marketer. Whenever Thue is not trying to automate everything around him, you can find him hiking in the Sierras. THUE MADSEN Marketing Operations Manager, Kissmetrics @ThueLMadsen Robert is an award winning customer acquisition specialist with an exceptional track record in increasing revenue and profits for fast-growing consumer businesses. He has extensive experience in the consumer, e-commerce, retail, online marketing, and ad- tech industries.In his spare time, Robert is an avid skier, traveler, biker and serial home renovator. ROBERT GLAZER Founder & Managing Director, Acceleration Partners @robert_glazer
  5. 5. @Accelerationpar #KissWebinar @robert_glazer
  6. 6. 1 Why Marketers Are Choosing Performance 2 3 Evolution of Affiliate Marketing TABLE OF CONTENTS 4 Gen 3: Performance Partnerships • Forces of Change • Gen 1 to Gen 2 State of Affiliate Marketing
  7. 7. WATCH WEBINAR RECORDING NOW
  8. 8. Why Marketers Are Choosing Performance
  9. 9. RISE OF AD BLOCKING 10% to 15% of US internet users are actively blocking digital ads, particularly the younger demographics.
  10. 10. MARKETING SPENDING: DISPLAY A 'CRISIS' IN ONLINE ADS:
 ONE-THIRD OF TRAFFIC IS BOGUS
 • As digital advertising climbs toward $50 Billion this year, marketers battle fraudulent visitors • Fighting fraud costs money, and just about every company in the ecosystem can benefit in some way from it. • The result is a push towards viewability and downstream channels.
  11. 11. State of Affiliate Marketing
  12. 12. STATE OF AFFILIATE MARKETING
  13. 13. STATE OF AFFILIATE MARKETING z
  14. 14. Evolution of Affiliate Marketing
  15. 15. EVOLUTION OF SERVICES & PLATFORMS Technology & Services start separate (BeFree) The era of the network begins. BeFree acquired by CJ (Technology & Services offered together) 
 Technology & Services are “consciously uncoupling”. Market price set on technology driving major changes. 1 2 3 1 2 3
  16. 16. WHAT IS DRIVING CHANGE? NEW OPPORTUNITIES • Retailers want more measurement across all channels • Partners are coming directly to brands • More relationships need to be tracked and paid in a standardized way ATTRIBUTION & VALUE • 10-90-90 rule. 10 publishers represent 90% of revenue for 90% of large programs • Misaligned incentives with performance fees • Pay for performance model colliding with cross channel attribution
  17. 17. BUT… • Brands won’t pay 2-3% of revenue or 20-30% of commissions for relationships they originate • They don’t want to pay performance in perpetuity • They want more brand control
  18. 18. An affiliate program is not a marketing channel. It is a way to pay for media.” “
  19. 19. Gen 1 to Gen 2
  20. 20. MANAGEMENT: GEN 1 MISALIGNED INCENTIVES JUNIOR STAFF LEADS ENGAGEMENTS BLOCKING & TACKLING STATUS QUO QUANTITY MANAGEMENT
  21. 21. MANAGEMENT: GEN 2 STRATEGIC& INSIGHTFUL SENIOR TALENT LEADS ENGAGEMENTS DIVES DEEP TO LEARN YOUR BUSINESS ADAPTS BEST PRACTICES TO NEW MARKETS CAN EXECUTE ACROSS CHANNELS DEEP ANALYTICS
  22. 22. NETWORKS: GEN 1
  23. 23. NETWORKS: GEN 2 + LARGE & DIRECT PARTNERS MID & LONG TAIL +
  24. 24. AFFILIATES: GEN 1
  25. 25. AFFILIATES: GEN 2
  26. 26. AFFILIATES IN MANY CHANNELS EMAIL PAID SEARCH SOCIAL DEALS PARTNERSHIPS REFERRALS
  27. 27. EXAMPLE AFFILIATE TYPES COUPON and DEAL Primary focus are coupons and deals for their audience (ie. RetailMeNot and Slick Deals) LOYALTY and REWARD Collect an audience base by offering a unique reward or loyalty incentive (eBates) CONTENT Focus on quality content (mommy blogs and product review sites) NETWORK Network of sub-affiliates (FlexOffers.com and rewardStyle) STOREFRONTS Schools, nonprofits, and other groups promote to their networks
  28. 28. REEBOK AFFILIATE: RONDA ROUSEY
  29. 29. TINYPRINTS PHOTOGRAPHER STOREFRONTS
  30. 30. REWARDSTYLE FASHION BLOGGER AFFILIATES
  31. 31. YIELDIFY ONSITE CONVERSIONS
  32. 32. MARKETING GEN 1
  33. 33. MARKETING GEN 2
  34. 34. METRICS & PAYOUT GEN 1
  35. 35. METRICS & PAYOUT GEN 2 LEAP FROG BLOGGER COUPONS 11/27 10:07 11/27 11:28 11/27 11:29 Paid Commission Transaction AffiliateClick $ LATE ENTRANCE COUPON 11/27 11:28 11/27 11:29 COUPONS COUPON Paid Commission Transaction Reduced Commission AffiliateClick $
  36. 36. WAYFAIR CASE STUDY LEAP FROG BLOGGER COUPON/LOYALTY 11/27 10:07 11/27 11:28 11/27 11:29 Paid Commission Transaction $ External policy of only paying last affiliate site a visitor clicks on before adding something to the cart
  37. 37. Gen 3: Performance Partnerships™
  38. 38. MANAGEMENT Custom Strategy Program Operations New Ideas & Best Practices Recruitment & Engagement Compliance Measurement & Optimization BRAND ProvidesGoals& Strategy Internal Business Knowledge Branding Guidelines& Creative Origination of Campaigns & Promotions TRACKING & PAYMENT PLATFORM Real-TimeTracking Analytics& Reporting (APIs) Global Payouts Contract Administration
  39. 39. WHAT MERCHANTS WANT BRAND ALIGNED PARTNERS INCREMENTAL SALES BETTER ATTRIBUTION IMPROVED ROI
  40. 40. MOBILE: BUTTON
  41. 41. ONE MEASUREMENT PLATFORM CRM Influencers NATIVE affiliate social partnerships referrals SEARCH Business Development
  42. 42. GOING GLOBAL THE SMART WAY CHICAGO GERMANY NEW ZEALAND Multiple airlinesworking as one team Seamless check-in, baggage handling and transfers
  43. 43. GOING GLOBAL FRAMEWORK EXAMPLE 1 Merchant Point Agency US Network Tracking Account Management Global SaaS Platform Tracking Account Management UK/EU Network Tracking Account Management Tracking Account Management US Agency Tracking Account Management ROW Agency
  44. 44. GOING GLOBAL FRAMEWORK EXAMPLE 2 Merchant Point Agency Global SaaS Platform Tracking Account Management US Network Tracking Account Management Tracking Account Management US Agency European Agency Tracking Account Management Australian Agency Tracking Account Management
  45. 45. GEN 3 PERFORMANCE MARKETING • Performance Partnerships • Improved attribution modeling • Consolidated measurement and tracking platforms • Price transparency for technology and services • Global expansion and coordination
  46. 46. LEARN MORE NOW Discover how Kissmetrics can help you optimize your marketing
  47. 47. Is there room for improvement in your affiliate program? Find our with our free Affiliate Grader! Get started today by visiting: www.affiliategrader.com
  48. 48. ROBERT GLAZER Founder & Managing Director, Acceleration Partners @robert_glazer rglazer@accelerationpartners.com THUE MADSEN Marketing Operations Manager, Kissmetrics @ThueLMadsen tmadsen@kissmetrics.com Questions?

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