$ oldwh marketing in atin erica · 2017. 6. 6. · system, screen size and more. the mobile...

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Succeeding in a Fast Growing, Mobile-heavy Market

www.getCAKE.com

MarketingAffiliate

Latin America

AFFILIATE MARKETING IN LATIN AMERICA

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Advertising in the digital age is all about adaptation. As the devices, channels and applications that consumers use to engage with content continue to multiply and

advance, advertisers and the marketers who serve them must be able to keep pace with constant change.

While eMarketer reported that Latin America had the fastest-growing ad market, digital advertising investments were still lagging compared to spending on traditional media. eMarketer attributed this to the idea that “advertisers in Latin America have been slow to invest in digital advertising formats due to the lack of reliable measurement metrics when it comes to digital.” However, this is more perception than reality. Advertising technologies – in particular tools for measuring and tracking ad performance – have become more widely available, accurate and easy-to-use in recent years, offering an assist to marketers eager to scale their business.

This alone represents a big opportunity for advertisers and the networks that serve them – nearly 70 percent of LATAM’s digital ad budget is expected to go to mobile by 2020.¹ Affiliate marketing, which enlists online publishing partners to help advertise to digital audiences, offers a low-risk way to reach these new mobile users.

1. ExchangeWire https://www.exchangewire.com/blog/2016/10/03/70-latams-ad-budget-will-go-mobile-2020-jussi-integrates-programmatic-media-planning/

https://www.exchangewire.com/blog/2016/10/03/70-latams-ad-budget-will-go-mobile-2020-jussi-integrates-programmatic-media-planning/

https://www.exchangewire.com/blog/2016/10/03/70-latams-ad-budget-will-go-mobile-2020-jussi-integrates-programmatic-media-planning/


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Advertising networks operating in Latin America need to be ready to take advantage of the untapped opportunities presented by digital’s growth, especially in the mobile channel. Today, the door is wide open for smart providers to enlist

innovative technologies in order to boost the effectiveness of their affiliate marketing strategies and deliver greater ROI for their clients and partners.

This white paper will look at best practices for tracking affiliate advertising performance and optimizing digital campaign spend in the LATAM market.

2. http://www.digitalstrategyconsulting.com/intelligence/2016/05/global_apps_index_brazilians_most_active_demographic_infograpghic.php

BRAZILIANSMOST ACTIVE

APP

29 54USAGE

APPENGAGEMENT

AVERAGE OF 29 APPSON PHONE/PERSON

AVERAGE APP USE OF 54X/MONTH ²

i


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Affiliate Marketing is Powered by Performance Tracking Technology

For advertisers looking to engage with digital users in emerging markets like Latin America, launching an affiliate program is

an attractive option. By paying a commission to publishers (i.e., affiliates) who market on their behalf, advertisers can extend the reach of their campaigns with minimal upfront risk. This is because, in the affiliate world, advertisers only pay for verifiable impressions or conversions, not for ads that are ineffective or ignored.

The key word here is “verifiable.”

Affiliate marketers and affiliate networks succeed based on their ability to funnel

high-quality traffic to their advertiser clients. Quality can’t be determined by intuition and

guesswork – verifying the value of ad traffic delivered by affiliates requires technology that

accurately tracks actions such as click-throughs, app downloads and conversions. But as campaigns generate

larger and larger volumes of data, and cross multiple “touch-points” ranging from coupon and review sites to mobile apps and social media, this is easier said than done.

AFFILIATEMARKETING

CYCLE

Customer makes a purchase on the

merchant site

Customer makes a purchase on the

merchant site

Customer is sent to the merchant site

through tracking link

Customer is sent to the merchant site

through tracking link

Customer clicks the ad or link

Customer clicks the ad or link

The a�liate posts an ad for a

merchant on their website

The a�liate posts an ad for a

merchant on their website

A�liate gets paid their commissionA�liate gets paid their commission

The transaction is credited to the referring a�liate

The transaction is credited to the referring a�liate

The purchase is con�rmed by the

merchant as a valid sale

The purchase is con�rmed by the

merchant as a valid sale

A�liate network records the purchase

and transaction details

A�liate network records the purchase

and transaction details


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In the early days of affiliate marketing, only limited data points were available, and a simple spreadsheet could get the job done. But as the number of Internet users, mobile-connected devices and online marketing channels have exploded,

more robust and scalable solutions are needed to track large volumes of data quickly – and at a more granular level.

Simply understanding how many clicks an advertisement receives is no longer going to cut it for advertisers who seek more advanced reporting and metrics. They want to understand key insights including:

• How variables like the specific type of mobile device used and the geographic area that consumers live in correlates to campaign performance.

• Which publishers are bringing them the highest quality traffic.

• Which ads, offers and channels are driving the most profitable results.

• How to more successfully allocate their digital spend.

DigitalMarketing Insights

Allocationof digital

spendHigh-qualitytraffic

Adschannelsand offers

Mobiledevicetype

Geographicarea

“How many clicks are we getting?” is no longer enough for advertisers


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To make matters even more complicated, networks need to be able to capture this insight for multiple advertisers across multiple campaigns and affiliates.

The bottom line is that advanced performance tracking technology is a must for providers of affiliate marketing services, especially in growing but swiftly evolving digital markets. What are the options for LATAM networks that want to take the next step with performance tracking? And how can a provider determine the best approach?

Taking the Leap with Advanced Tracking Technology: Things to Consider

When it comes to deploying advanced tracking technology, networks have two options: build or buy. While homegrown solutions can be 100 percent

customized to meet a business’ unique and specific needs, they also require an investment in IT resources, data science expertise, plus ongoing administration and maintenance.

Due to the vast advancements in tracking technology, “buy” is a very attractive and often more accurate and robust alternative. SaaS solutions give networks the ability to simply and easily deploy advanced tracking technology, manage multiple clients, affiliate partners and campaigns. Additionally, users can scale tracking capabilities across channels and customers as their business grows.

For providers who choose to buy, there are a number of factors to consider. Here are some of the most important:

Emerging digital advertising market

Scaling and managing

affiliate program growth

Lack of transparency into digital

performance

Challenges for Affiliate Marketers

in Latin America


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Granular Metrics

In the early days of affiliate marketing, payouts to publishing partners were based on impressions and measured by clicks. Now that greater volumes of performance data are available, networks can set commission models based on more tangible results. For example, they can offer payouts for actual actions taken by consumers, whether that means filling out a lead generation form, downloading an app or making a purchase on an ecommerce site. Granular metrics allow for a higher level of transparency into affiliate performance so that advertisers can be assured that they are getting value for their investment. Likewise, advanced tracking helps networks better communicate with the publishers they partner with, keeping them up to speed on the results and commissions generated by their traffic.

Performance data can also be used to engage in multi-touch attribution to measure how various touch points on the path to a conversion contributed to the final result. This is vital, as it helps marketers allocate budgets to the strategies and channels that are most effective. To capture a complete and transparent picture of affiliate campaign performance, a solution’s ability to track events is critical.

Post-conversion events such as site logins, app usage and additional purchases are also important, as they provide marketers with additional insights about the lifetime value of the traffic generated by affiliates.

Finally, granular tracking can be used to test various affiliate marketing strategies.

• Which offers are performing better on which types of devices?

• Does a coupon get more responses via text message or through a coupon site?

• Which traffic sources are the best match for specific types of advertisers?

Questions such as these can more easily be answered with advanced tracking technology, leading to better campaign decisions.

1Events may include any action that a consumer takes along the path to a conversion, from clicking on a mobile display ad or using a voucher code, to watching a video, “liking” a Facebook page or saving an item in an e-commerce shopping cart.


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Real-time Performance

Now that consumers have the ability to purchase products anytime and anywhere – advertisers and marketers alike need to quickly adapt to consumer needs. The shelf life of digital data is short, and even the most advanced data tracking is useless if information can’t be interpreted and acted on as quickly as possible. Real-time insight about what actions consumers are taking from moment-to-moment (such as A/B testing and conversion rates by device) empowers affiliate marketers to adjust and refine program strategies even while they are still in progress, and ultimately deliver the greatest bang for their client’s buck.

There is some debate about how long the time delay can be between data being generated and data being accessible for analysis in order for it to be defined as “real-time.” Realistically, a little lag time is ok (seconds or even minutes) as long as the data is accurate and actionable the moment that it is delivered.

CAKE Customer Profile

• Performance marketing and branding agency founded in Uruguay, uses CAKE to track marketing campaigns across multiple channels and clients.

• With CAKE, they are able to automate and centralize its multi-channel digital marketing information on a single platform.

• The agency is gaining a competitive edge with granular, real-time data that empowers it to react quickly to changing insights.

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Mobile Capabilities

Smartphone use continues to grow in Latin America, opening up a world of new opportunities for advertisers to engage with digital audiences. For affiliate marketing providers operating in this region, mobile tracking capabilities are a must, and should include features designed to deal with the complexities inherent in a mobile environment. Tracking mobile campaigns is more challenging than desktop campaign tracking for a number of reasons, including the fact that many mobile activities, like actions within apps, cannot be tracked using cookies.

Mobile advertisers want to reach consumers with ads relevant to their location, language, device type, operating system, screen size and more. The mobile affiliate channel also spans display ads, search, location-based offers and apps. Optimizing affiliate marketing in mobile environments demands tracking at a very granular level, which brings us to our next consideration.

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Asia-Pacific

51%

Europeans

28%

Americans

26%

Latin America

65%

People planning on making more transactions on their mobile devices³

3. eMarketer


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Fraud Prevention

Ad fraud is an ongoing problem in the digital advertising market, and bad players (bot traffic cheats, for example) thrive when they can operate under the radar. When each step along the customer journey is captured and analyzed using advanced tracking, it is easier to spot potential red flags.

For example, are conversion rates for a handful of affiliates surprisingly high? It may be worth investigating their traffic further to make sure

it’s legitimate. High click counts paired with low conversions could indicate poor traffic. It is also important to monitor referring URLs. Are they all coming from the same address? If so, it’s either a fantastic affiliate performer or potentially a bot. Being diligent about affiliate program management and putting safeguards in place (such as only paying for verified leads) will help networks avoid losing money to fraudulent traffic and losing their clients’ trust.

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Intuitive Campaign Management and Visual Reporting Tools

With so many partners to manage and data points to analyze, networks need ways to organize, view and act on information in an intuitive and transparent way. Advanced tracking and data visualization should go hand-in-hand. And the best solutions give users tools to make sense of incoming data at-a-glance — allowing for quicker decisions about how, where and when to allocate campaign resources.

According to research from 3M, people process visual

data 60,000 times faster than text.⁴

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4. http://www.business2community.com/digital-marketing/visual-marketing-pictures-worth-60000-words-01126256#QweMsg7KepmoGaDd.97

http://www.business2community.com/digital-marketing/visual-marketing-pictures-worth-60000-words-01126256#QweMsg7KepmoGaDd.97


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Cost and Scalability

Networks operating in growth markets like Latin America require affordable technology solutions that can easily scale with their business. SaaS solutions provide a means for marketing providers to get up and running with advanced tracking, without having to make big investments in in-house infrastructures and technical expertise. Rather, they can funnel these cost savings back into acquiring and building relationships with their affiliates. As networks add more partners and sign-up more clients, SaaS technology can be tapped to quickly scale performance tracking efforts.

C2 CPA Network was looking to scale its affiliate network within the Brazilian market and needed a platform to support rapid growth. Today, C2 CPA uses CAKE to manage a network of more than 3,000 affiliates and structure payouts in real-time. Since deploying CAKE, C2 CPA Network experienced a revenue increase of 300%

year-over-year growth.

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Success Story

“We have gained valuable functionality from CAKE, including the ability to seamlessly connect with thousands of affiliates and promote our proprietary offers. As C2 CPA Network continues to expand, we can rely on CAKE to help drive our progression into new regions, as well as to extend our offer base to cover ecommerce, lead generation and mobile CPI.”

Ramon Vailatti, CEO of C2 CPA Network


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Staying One Step Ahead in an Evolving Market

As the digital advertising landscape in Latin America continues to grow and evolve, marketing providers can use advanced tracking technology to stay one step ahead. Advanced tracking empowers agencies, networks and related types of businesses to:

• Better understand campaign performance

• Efficiently manage client and partner relationships

• Automate payouts and combat quality issues like cookie stuffing and bot fraud

Most important of all, advanced tracking brings the power of transparency and data-driven decision making to affiliate marketing, helping providers exceed their clients’ expectations, adapt to change and ultimately grow and thrive in LATAM’s digital advertising market.

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CAKE provides a SaaS-based solution to track, attribute and optimize the performance

of return on ad spend, in real-time. Bringing clarity to multi-channel marketing

campaigns, CAKE empowers advertisers, publishers and networks with the insight to

make intelligent marketing decisions.

Learn More

Contact us for a complimentary demo to find out how CAKE can help you build

successful performance campaigns in a mobile first market.

www.getCAKE.com

$ oldwh marketing in atin erica · 2017. 6. 6. · system, screen size and more. the mobile...

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