Induction Affiliate Marketing ASE
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Transcript of Induction Affiliate Marketing ASE
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Affiliate Marketing
ASE, Bucharest, 03.12.2014
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What is affiliate marketing?
Performance marketing channel that exists from the beginning of the ecommerce
You pay only the performance. The advertiser offers a commission only action basedetc.The advertiser sets up the commissioning scheme and the conditions for validating
The most performant solution from the ROI perspective, you are always in control o
Excellent solution for the advertisers that dont have consistent budgets on CPM/CP
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Key players in affiliate marketing
ADVERTISER
AFFILIATECLIENT
RECOMMEDATIONS, NEWS, ETC
CONVERSIONS REWARD
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Advertisers that use affiliate marketing in
Currently there are about 400 advertisers in Romania that use affiliate marketing in their
online marketing campaigns.
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The affiliate network
Offers for the advertisers andaffiliates the platform and thenecessary instruments for bothsides.
Tracking
Financial
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Cookie Tracking
When a visitors clicks on an affiliate link, a cookie its
stored on the visitors browser
When the visitors buys from the advertiser,
if its find a match between a cookie and an
action, the order details are sent to the
affiliate network to register in the
affiliate/advertiser account the commission
Besides having a commission offered by the
advertiser, each cookie has a lifetime, set by
the advertiser.
If the cookie expires, the conversion will not
be registered in the affiliate platform
d34513191e051e5903415eb
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Cost models in affiliate marketing
CPA (Cost-per-Action)
CPS (Cost per sale) and CPL (cost per lead) are the most popmethods for commissioning the affiliates
CPS can be a percent or a fixed amount for the sale, used mecommerce websites
CPL its a fixed commission used mostly for tracking a single (completing a form, subscribing to a newsletter, etc)
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Cost per SaleCPS
4%
Comissio
28.35 Lei
From the price wit
708.87 Lei
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Cost per lead
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How are promoting the affiliates?BANNERS & WIDGETS
CONTENT, ARTICLES,
REVIEWS
GOOGLE ADWO
&
FACEBOOK A
Big publishers use widgets or banners.
With proper targeting, on this websites
the graphic instruments offer a good
conversion rate.
Affiliates are sharing on their
websites opinions or reviews about
the advertisers products and/or
services.
These websites are upper in the sales
funnel and have a good conversion
rate.
The affiliates are riski
promote the advertise
such as Google AdWo
With a good budget t
clients and convince t
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Niche websites
RESULTS:
Orders: 56
Orders value: 31.294 lei
Commissions offered by the advertise
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Niche websites
RESULTS:
Orders : 9
Orders value : 2.826 lei
Comissions: 386 lei
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Websites/personal blogs
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News websites
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PPC Google Search
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Social networks
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Video
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Cashback websites
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Price comparison websites
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How do affiliates choose which advertispromote?
60% of the affiliates are promoting only 3 advertisers, and 8promoting up to 5 advertisers
The most important thing for affiliates are the commissions and the advertisers reputation
Affiliates are calculating their revenue based on EPC; the higconversion rate and the commissions, the higher the EPC
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EPC
Conversion Rate
(usability, one-page checkout, offers, availability)
Average order value
(cross-sell & upsell)
Commissions and cookie lifetime
(Atractive for the affiliates, sustainable by the advertise
Approval rate of the commissions
(In stock products, fast shipping, etc)
EPC(Earnings per
100 clicks)
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Terms and conditions for the affiliate pr
Has the same importance as the commissions in determininwhether affiliates will promote or not the advertiser
The affiliates usually read the T&C and if something its notexplicitly denied, they will consider that as acceptable prommethod
Always be carefull when setting the T&C!
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Affiliate marketing performance indicat
New visitors
Average order value
Bounce rate
Customer lifetime value
Assisted conversions
Relevant
KPIs
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Recommendations for advertisers
Without navigation errors
FAST load time of the website
Friendly UX Design
Stable links for the landing pages
Optimised for online conversion (without
aggressive phone number display, etc)
Visit from Profitshare
Converted visitor
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Classic online advertising Affiliate marketing Limited budgets
Standard display banner sizes
Fixed locations
Limited optimization for the website
owner
Unlimited budgets
Various creatives
Any locations in the website (even
Can be easily optimized for perform
They are complementary!
Advantages for affiliate marketing
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Record payments
The biggest payment to an
affiliate ever in Profitshare:79.080 Lei
Affiliates can easily earn anextra income with littleeffort
Top affiliates are earningmore than 5.000 lei eachmonth. We have regularpayments of 20.000 lei ormore
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...Now we go BLACK
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Black Friday 2014 Objectives
2013 results
35 advertisers
25k sales
15M lei sales amount
46 affiliates with over 1.000 lei commissions in one day
1319 affiliates with commissions registered in one day
2014 objectives
50k sales (+100% YoY)
30M sales amount (+100% YoY)
+10% affiliates with over 1.000 lei coday
+10% affiliates with commissions reg
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Challenge
How to double the number of conversions and sales am
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We needed something bi
We had experience in driving good results for clients based on Black FHe organised competitions for all the affiliates for 2 times (Incinge Conve
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What motivates affiliates?
Competition
Reputation & Acknoledgement
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paid
AdWordsDisplay
Video
Bloggers
FacebookAds
special logo
newsletter(adv &
affiliates)
Landing Page
How did we promote the campaign?
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Realtime ranking
In order to keep affiliates
motivated we had arealtime ranking for thenumber of conversiongenerated and showingaffiliates position
Affiliates could adjust theirstrategy real-time
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Black Friday 2014 Results
2014 objectives 2014 results
86.318 sales
40.000.000 LEI sales amount for Pr
51 affiliates with over 1.000 lei com
23 affiliates with over 1.000 sales i
1798 affiliates with commissions o
50k sales (+100% YoY)
30M sales amount (+100% YoY)
+10% affiliates with over 1.000 leicommissions in one day
+10% affiliates with commissions registeredin one day
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Thank you!Follow us on:
blog.profitshare.ro
facebook.com/Profitshare
facebook.com/conversion.ro
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