d1p41630incentivised traffickevin edwards 1224503282171616 9
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Understanding Incentivised Traffic in
Affiliate MarketingKevin Edwards
Partnerships Director Affiliate Window
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Background
• Online loyalty: 10% less than high street...*
• £1.2m ‘lost’ per 100 customers over lifetime*
• Cashback, viral, codes all on rise
• Clear strategy essential *Webloyalty, Sept 2008
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What is Incentivised Traffic?
Offering a reward or added perceived value to a consumer for transacting:
• Cashback• Loyalty or Reward Sites• Voucher Codes
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Rapid Growth
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The Issues - Cashback
• Understand the cashback consumer
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Money Saving Expert
• Popular consumer site• 5k new subscribers every week• 3m uniques a month• 12,500 posts a day• Alexa ranking higher than Channel 4, ITV and similar to Yell and Daily Mail• Martin Lewis frequently on TV
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“The cashback site told us to submit a ticket, so we did. We sent them all the necessary proof of purchase and everything
they wanted.”
“Obviously, we are not getting anywhere and we have been
screwed out of £45.”“Is it time that we called in Moneyclaim.gov and put
our claim in front of someone who will get us our
rightfully owed cash?”
“RBS are con merchants.I refuse point blank to use RBS products
now”
“DON’T USE RBS COMPANIES”
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Understand the cashback consumer• Savvy online consumer• Appreciate savings are available online• Accesses multiple points of reference• Loyal to cashback site or cashback concept• Know the consumer; know cashback sites
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The Issues - Cashback
• Understand the cashback consumer • Brand or price led?
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Brand or price led?
3%?2.5%?4%?
3.5%?
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Brand or price led?
3.5%
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Brand or price led?
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Cashback example
• ‘Landgrab’ to ‘buy traffic’ from competitors• Utility company offered higher rate to two cashback sites• Home page coverage, newsletter support & extra online exposure
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Cashback example
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Cashback example
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The Issues - Cashback
• Understand the cashback consumer • Brand or price led? • New customers & commissions
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New customers & commissions
• New customer acquisition• Incentives• Reduced cashback commission BUT launched voucher code• Why not trial new customer codes?• 5% base to 10% for new customer• Don’t offer automated tiers
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The Issues - Cashback
• Understand the cashback consumer • Brand or price led? • Delivering new customers• Monitoring quality of leads
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Monitoring Leads
• Appreciate ‘savvy’ consumers can take advantage of lead programmes• Set commissions accordingly• Monitor lead quality using your network• Set appropriate T&Cs
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The Issues - Cashback
• Understand the cashback consumer • Brand or price led? • Delivering new customers• Monitoring quality of leads• Supporting marketing channels
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Supporting marketing channels
• Newsletters, blog posts, emails etc...
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Cashback Summary
Cashback sites have used your cost of sale to create a consumer
proposition: Use cashback sites to your
advantage
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Loyalty & Reward Site
• Long standing brand equity• Offer sophisticated sites and loyal users• Potential multi-channel coverage• ‘Value add’ competitions, engaged content
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Case Study -
•Airmiles run double and bonus Airmiles promotions at regular intervals• Agree in advance increased commissions with ‘cornerstone’ partners• On-site exposure, newsletter coverage and occasional direct marketing pieces
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January 2008 Airmiles Statement
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January 2008 Airmiles Statement
Merchant relationships sourced through networks
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aerwerwer
qwerqwerwer3
January 2008 Airmiles Statement
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January 2008 Airmiles Statement
Sales more than doubled for ‘double Airmiles’ promotion compared to normal earn rate periods
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January 2008 Airmiles Statement
In line with the increase in sales was a more than doubling of the sales value
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Benefit from their brand equity built over time; ‘value add’ rather than
pure cashback.Offer engaged content and build
affinity partnership opportunities. Wide scope for future growth.
Loyalty - Summary
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• 12-fold increase in searches for ‘vouchers’ over last three years*• Neilsen named as 4th fastest growing site in the UK (June ‘08)
• Growth outstrips other affiliate groups• New entrants• PPC, SEO, Email, Forums, Offline• New tools and technologies
*Hitwise, Aug 2008
Voucher Codes
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Voucher Codes – The growth
Top two voucher code sites currently driving over £6m in sales every month with Affiliate Window
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• Displaying codes
Voucher codes
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Voucher codes – Displaying codes
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Voucher codes – Displaying codes
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• ‘Click to reveal’ codes• Bespoke codes
Voucher codes
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Voucher codes – Bespoke codes
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Voucher codes – Bespoke codes
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• ‘Click to reveal’ codes• Bespoke codes• Monitoring and tracking
Voucher codes
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Voucher Codes - Tracking
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Voucher Codes – Monitoring
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• ‘Click to reveal’ codes• Bespoke codes• Monitoring & tracking• Test & optimise
Voucher codes
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Voucher codes – Test & optimise ‘Stretch and Save’
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Voucher codes – Summary
Be adaptable in your approach but closely monitor and optimise. Use for key pushes and promotions & mould
for business goals.Work your commissions according to
your ROI
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• Improved reporting• Multiple referrer rewards• Revised commissions• Mainstream coverage • Amalgamation of technologies• New entrants; mass market
Incentivised Traffic – The Future
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Understanding Incentivised Traffic in
Affiliate MarketingKevin Edwards
Partnerships Director Affiliate Window
[email protected] 7553 0354