Finding the Golden Nuggets in Mature Affiliate Programs

Finding the Golden Nuggets in Mature Affiliate

ProgramsAffiliate Summit West 2014

John LoBrutto - Merchant◦1&1 Internet

Rick Gardiner - OPM◦iAffiliate Management

Mike Allen - Affiliate◦Shopping-Bargains.com

Jeannine Crooks - Network◦Affiliate Window

Our Panel

Presented “Growing a Mature Affiliate Program” at ASE13

Give me your card if you’d like a copy of the slide deck

Top-level review of those ideasDiving deeper into 10 of those ideas today

The Sequel

Make it like newStart with a full review of metrics Identify channels & trendsManage your program like Art!Develop a Business Plan/Sales Plan

John LoBrutto Recommendations

Expect churn and optimize your publishers

Make your program funShake things up on purposeDevelop Out-of-Box ideas

John LoBrutto Recommendations

Compare New vs. Old tactics and data

Conduct a publisher audit to know your affiliates better

Examine partner segmentation in multiple ways

Conduct a SWOT Program Analysis & Review

Rick Gardiner Recommendations

Complete a Competitive Analysis & Review

Explore Cross-Merchant promotion

Network expansionTaking Partners direct

Rick Gardiner Recommendations

Adopt “Old Faithful” MethodsCreate an open-door policyEstablish personal relationships

Give tailored contentOffer commission enhancements

Mike Allen Recommendations

Banish “Loser” IrritationsMissing or erroneous program information

One-size-fits-all incentivesIgnorant requestsBemoaning “lack of performance”

Comparing all sites to industry “whales”


Customize “Carrots” of MotivationLong term personal relationshipsProviding special affiliate tools, like trackable coupon codes

Trust that is reciprocatedTailored content that is truly exclusive


The Role of the NetworkBe a partner to both merchants and affiliates

Remove Road blocksKeep merchants aware of new affiliates and trends

Jeannine Crooks Recommendations

Develop new technologies meeting both merchant and affiliate needs

Search for beneficial merchant-affiliate opportunities

Identify synergies with other merchants

Jeannine Crooks Recommendations

Finding the Golden Nuggets in your Affiliate

ProgramJohn Lobrutto

Affiliate Summit West2014

BioJohn P. LoBrutto

Sales Manager

Technology Director

US Sales Director

Head of Global Distribution

Director Business Development Director Affiliate PartnershipsNorth America

President

Airport Manager

Act like you are new to the program

Think how you can change your perspective

Develop a Business Plan or Sales Plan

Get out of the grind and look at things fresh

Refresh your view S

Review the metrics Overall program performanceCommission review (is it working & competitive)Competitor Analysis (who is gaining Market)Are you competitive? (incentives/ creative/ tools)Program reviews (have networks pull GAP reports)Demographic changesReview creative strategyAsk your pubs!!!!Find the “Golden Nuggets”

(small opportunities in big numbers)

Looking for Gold

Business Plan/ Sales Plans

Review everything! Outline everyone’s duties, responsibilities, milestones, review KPIs!

Keep what works, but do not be afraid to take risks

Make a list of “Can’t do’s” and identify the cause or barrier (corporate policy, network limitations, etc.)

Trust your plan, follow it, update

Author the Plan!

Stay ahead of the Churn

25% of your active pubs will disappear each year

About 10% of your Top 20 pubs will drop off

Keep adding publishers (15 a month/ 3-4 a week)

Churn is part of our business, don’t think your performers will be there, keep finding new ones

Pick up the “Golden Nuggets” all around as you optimize

Keep Digging

1Look at New Markets

Nugget 1: Probe for International Activity

Expand your reach to encompass international markets.Funneled international traffic into your US site Identify US publishers that can expand your reach into CA & MXLeverage publishers in Spain for a MX program Leverage publishers in UK for .com and .ca programsCreate .com as international hub under one programBe bold and start something new!

2Gather Intelligence

Nugget 2: Leverage Everything

Take risk and develop a Worst to First

◦ Looking through verticals, find a publishers in your demographic.

◦ If there is no traction but potential to optimize - take a risk! ◦ Identify high click or high conversion publishers as targets◦ Discuss a partnership with investment in their model

Try a targeted sales approach

◦ one product spikes with a publisher but at low volumeAsk top partners for their competitors

◦ Leverage the competition between rivals◦ Walk in with a competitive offer for immediate performance

3Break a Barrier

Nugget 3: Do a Can’t Do!

Go back to that “Can’t Do” List and break a barrierRe-canvass for publishers that can now be optimizedRegroup targeted publishers and launch the new programCreate a Loyalty Program

◦ Develop a loyalty strategy using percent commissions◦ Review placement and partnership opportunities◦ Re-launch merchant program with new terms for this group

Use Coupons & Special Affiliate promotionsAdd a Product FeedDevelop a new long tail incentive program

3 Nuggets of Growing a Mature Affiliate

ProgramRick Gardiner

Affiliate Summit West2014

What kinds of affiliates are most successful in my program?

What risk and/or exposure do I have?

How can I get more performance out of my existing partners?

What is the data telling me?◦Month over Month◦Quarterly

Understanding your program

By Status◦ Active, Inactive, Sales, Performer

By Category & Sub-Category◦ Blogger, Coupon, Deal Curation,

Loyalty, Review, etc.

By Traffic Source◦ Display, Email, Organic, SEM,

Social, Video, etc.

Partner Segmentation

Partner Segmentation

What are my competitors doing that I’m not?

Who are my competitors’ top affiliates?

What opportunities am I missing out on?

Competitive Analysis & Review


Competitive Analysis

Me Competitor A Competitor B Competitor C

Default Commission

30% 18%100% of first

month subscription

8%

Referral Period

120 Days 45 Days 120 Days 45 Days

Coupons Yes No No Yes

Paid Search Policy

Restricted Closed Open Open

Special Program

TermsYes No Yes Yes

Network(s) Affiliate Window Shareasale CJ & In-house Linkshare

Network Performance

$.84 EPCTop 100 Power

Rank4-Bar Advertiser $.01 EPC


Loyalty Analysis

Default Comm.

Me30% 10% 20% N/A 10% 15% N/A 30%

Competitor A18% 10% N/A 10% 10% N/A N/A 18%

Competitor B

100% of first month subscriptio

n

N/A N/A 50% N/A N/A N/A N/A

Competitor C8% N/A N/A 5% N/A N/A 5% N/A

Creating a Plan What is my revenue goal for the year?

Identify 3 epic wins/failures that we can learn from for the coming year?

What is my marketing budget for affiliate?

What resources do I need to be successful this year?

Creating your Plan

Affiliate Marketing Plan and Promotional Calendar

November December January February MarchFocus Activation Activation Recruitment Recruitment Recruitment

EventsThanksgiving, Black Friday,

Cyber Monday Christmas, New Years Eve Vacations & New Year Promos Valentines Day NCAA March Madness

Marketing Development Funds $15,000 $20,000 $10,000 $10,000 $10,000

Affiliate Promotion

Show us where you’re promoting our brand, earn a

bonus.

Year End Contest: Most Sales in Dec., Best

Conversion Rate, 2014 MVP Affiliate.

New Affiliates Earn a $10 bonus on each of your first 25

sales in Jan. Up to $250.

Show us where you’re promoting our brand, earn

a bonus. Increase your Conversion

Rate 2.5% Bonus Incentive.

Standard Coupon Offer 50% Off 50% Off 10% Off N/A 10% Off Site Wide

Premium Coupon Offer 60% off BF/CM50% Off - New Computer

Promo $10 off any order of $100+30% Off - Product

Promotion30% Off - Product

Promotion

Creative Refresh Yes Yes Yes No Yes

Newsletter CommunicationBlack Friday/Cyber Monday

Deals

Software Essentials for your new Computer or

DeviceStay protected in 2014 with

XYZ ProductAffiliate Activation

Newsletter

March Madness / Stay Protected- spring break

travel

Recruitment 25 25 TBD TBD TBD

Activation % 12% 15% TBD TBD TBD

Summary Nugget #1: Take the plunge. Understand the

moving pieces of your affiliate program and how each affect performance.

Nugget #2: Know thy competition. Dig into their affiliate program and discover how they are innovating.

Nugget #3: Create and work your plan. A month-by-month roadmap keeps you accountable and identify what resources you need to grow revenue.

Rick Gardiner, iAffiliate Management +1.612.216.1833 [email protected] linkedin.com/in/rickgardiner

Questions?

Finding the Golden Nuggets in Mature Affiliate Programs

Affiliate Summit West 2014

Snap, Crackle & Pop

Gnomic elves resembling brothers

Names are an onomatopoeia

First appeared on packaging in 1933

“Snap” (baker’s hat) is older brother problem solver

“Crackle” (stocking hat) is unsure “middle child”

“Pop” (military marching band hat) is mischievous youngster

Snap, Crackle & Pop with Success!

SNAPin some affiliate-

friendly technology

CRACKLEwith exclusive attention for your best affiliates

POPinto new markets via

creative affiliates

(problem solver) (unsure “middle child”) (mischievous youngster)

Snap in Affiliate-Friendly Technology…Use advanced tools

Clearly define & enforce termsGet professional help

Network tools, VPNs, 3rd party servicesListen to your affiliatesRoot out fraud (seriously)

Remove leaks / improve conversionsImprove landing pages

SiteTuners, split testing, responsive design, etc.Trackable coupon codes

Social media, print, t-shirts, billboards, even airplane banners!

Snap in Affiliate-Friendly Technology…Use advanced tools

Clearly define & enforce termsGet professional help

Network tools, VPNs, 3rd party servicesListen to your affiliatesRoot out fraud (seriously)

Remove leaks / improve conversionsImprove landing pages

SiteTuners, split testing, responsive design, etc.Trackable coupon codes

Social media, print, t-shirts, billboards, even airplane banners!

Crackle with Exclusive Attention…

You are a powerful insider!Larger margins (usually)The branded product

Give and it shall be given unto you

Data, resources, marketing schedules Give more details, extra photos, enhanced

data

Special editions / custom productsReward good works

Not just money but access, exclusivity, status, prizes

Crackle with Exclusive Attention…

You are a powerful insider!Larger margins (usually)The branded product

Give and it shall be given unto youData, resources, marketing

schedulesGive more details, extra photos, enhanced

dataSpecial editions / custom productsReward good works

Not just money but access, exclusivity, status, prizes, time with you

Pop into New Markets…

Bundling & co-brandingStrategic partnershipsJoint marketing

Niche audiencesProducts used in unintended ways

Duct tape, super glue, latex, even the Internet

Outside your reach / abilityInternational, political, religious,

ethnic, social

Pop into New Markets…

Bundling & co-brandingStrategic partnershipsJoint marketing

Niche audiencesProducts used in unintended ways

Duct tape, super glue, latex, even the Internet

Outside your reach / abilityInternational, political, religious,

ethnic, social

Snap, Crackle & Pop with Success!

SNAPin some affiliate-

friendly technology

CRACKLEwith exclusive attention for your best affiliates

POPinto new markets via

creative affiliates

(problem solver) (unsure “middle child”) (mischievous youngster)

Mike Allen | Shopping-Bargains® / Businesswright Consulting

[email protected] Twitter: @mta1 / @istudybusiness

Learn the interfaceAll the reportsAll the recruiting toolsJoin as an affiliate to check out your competition

Follow the blog, Facebook page, Twitter stream

Leverage research

Partner with Your Network

Develop a relationship with your Account Rep/ManagerAsk for strong performer recommendations

Request new tools or reports

Be the Squeaky Wheel!

Partner with Your Network

Jeannine Crooks, Senior Account Manager

[email protected]

@Jeannine_Crooks410-302-8592www.AffiliateWindow.com

Contact Info

John LoBrutto◦[email protected]

Rick Gardiner◦[email protected]

Mike Allen◦[email protected]

Jeannine Crooks◦[email protected]

Questions