Calling an International Expansion? Get your global digits right with programme management


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Susan Jamie, LBi bigmouthmedia, Leanne Johnson, Skype

a4uexpo Barcelona 2012

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  • Key is to talk about why these 3 territories have been chosen, key locations for skype hence they are a priority for the program. Can’t just use a blanket approach and assume what works well in UK will be the same for other territories. Important to look at the variances between different affiliate models as to which work best in certain territories, but also need to consider each market from a consumer perspective and how that will affect strategy.Important to look at the variances between markets to roll out a localised approach to the affiliate strategyInsight from an affiliate marketing and consumer perspective
  • Russia is poised to become the largest e-commerce market in Europe by 2018, if it maintains its current pace of growth. In September 2011, Russia overtook Germany as the European country with the most Internet users. In a December 2011 poll half of Russian urbanites said that they used the Internet at least once a day.The growth of Russia’s online audience combined with the country’s vast territory and underdeveloped retail sector makes it ideal for online shopping. e-Commerce has been growing by between 22 percent and 30 percent a year since 2009, and is expected to continue this pace in 2012. That year, Data Insight estimates the market will be worth $12.6 billion.Source: Russian Association of Communication Agencies (AKAR); detailed data - for star
  • Talk around each difference and how we took these on board and integrated it into our program strategy
  • New network launches, improving affiliate toolkit on a local level, international affiliate webinar, affiliate survey
  • Affiliate hub, vouchercodes, commission increases
  • 1 – global strategy for program overall, then ensure this is fed back into the individual territories that you are covering. For example, creative was developed to push the key Skype products, then localised for our key territories.2 – Vital to consider affiliate feedback, however as the program is global or international, its likely that the requests will be wide ranging dependent on the market. You need to get buy in from senior management to secure the resources to implement the requests from affiliates. To do this, its important to look at trends in key markets and use this to support your request for resources – eg Russia is an emerging market so there is huge scope to capture some of that market. Networks and affiliates will be able to help with forecasts to support how many sales they will drive if specific resources are made available3 – Affiliate networks are key in supporting the international program’s growth. How to get them involved and working to drive the program forward? When we were pitching for the new networks, we stipulated that we would need support from local account managers in each of the territories, and that this was part of the criteria for selection. Getting in place an SLA that clearly states the level of local support from the networks is fundamental in getting the right levels of support.4- All the insights that we covered in the first section have been vital for the program’s global growth. For example we have implemented some tenancies in UK and US but not with European affiliates, for these locations we have been researching working with a retargeting partner. When looking at new networks we had considered an in house affiliate program, but as these are not overly common in Germany we decided that going through a network was the best solution, especially as we get the support of the account managers in local territories.
  • Calling an International Expansion? Get your global digits right with programme management

    1. 1. Calling an International Expansion?Get your Global Digits Right with Program Management19th June 2012 – A4U Expo Barcelona
    2. 2. Introductions• Susan Jamie – Senior Affiliate Manager at LBi bigmouthmedia• Aaron Shaw – Search and Affiliate Manager at Skype
    3. 3. Agenda• Key variances between markets − Europe, USA and Russia − How these have influenced program strategy• Skype affiliate program case study − Key considerations for expanding the global program, along with challenges faced and strategies to drive program growth• Summary• Q&A
    4. 4. Key Variances Between Markets
    5. 5. Market Differences – Skype Local Insights Brand Awareness Large familiarity with the brand, perceived as a collaboration tool Products Full range offered across voice, video, messaging, business and other e.g. Wifi Challenges Payment options
    6. 6. Market Differences Europe Affiliate Issues of Importance Google of German 49% Updates & Impact European shoppers visit Most Used Links In-house affiliate affiliates favour - Vouchercodes before purchase programsLinks – 1. Text are not the CPA model Forrester 2. Banners common Datafeed in Germany A4U European Research 2009 3. Datafeeds Landscape Report 2011
    7. 7. Market Differences – Skype Local Insights Brand Awareness Skype has high brand popularity in Russia market, seen as a versatile brand (innovative and multi disciplined) Partnerships • Penetrate and distribute via partners including Groupon • Expand via Broadcast and PR partnerships Challenges • Fraud • Payment systems
    8. 8. Market Differences – Russia Media adspend rose by 21% in 2011, within this total internet spend increased 56%
    9. 9. Market Differences – Skype Local Insights Brand Awareness Skype has over 85% brand awareness in the US market Perceived as a fun and innovative brand Products Full range offered across voice, video, messaging, business and other e.g. Wifi Challenges Regulation around bundling calling products
    10. 10. Market Differences – USA Brand awareness Most Used Links is a key 1. Banners consideration for 2. Text links affiliates choosing a merchant to promote
    11. 11. Skype Affiliate Case Case StudySkype Affiliate Program Study
    12. 12. Skype Global Facts• 250 million connected users per month• Run rate of more than 300 billion minutes annually• Approximately 50% of the (above 300 billion minutes stat) are video calls• For Q3 FY12 Skype users made more than 100 billion minutes of calls, an increase of 40% from the prior year’s third quarter• More than 40 million concurrent users at peak times
    13. 13. Skype’s Objectives“Now Skype is part of Microsoft. Together we will bring innovativetechnology to friends, family and colleagues everywhere. We willenable more people to connect in more ways that transform andenhance their lives.And this is just the beginning” – Tony BatesEngage 1 Billion Connected Users• Continue to drive user led marketing strategies• Increase the number of connected users and active days• Drive awareness, education and adoption of multiple products and features, moving people from free to paid
    14. 14. Driving Efficiencies with LBi • Recruitment focused on key Skype territories • Reporting on a global level Process • Fraud / Reversals • Payments in local currency • Increase frequency and type of communications • Build relationships with key partners in key Communication territories • Enhance perception management internally • Drive incremental sales across key territories • Increase product ranges sold globally Financials • Restructure network fees and commission structure
    15. 15. Overcoming challenges Process Communication Financials New Affiliate Payment Model
    16. 16. Integrating with other channels Affiliate SEO Increased widget & keyword FTP sales infographics analysis for Skype
    17. 17. Strategies to grow the global campaign
    18. 18. Strategies to grow the global campaign
    19. 19. Skype Affiliate Case Study Summary• Skype FTP numbers increased by 49% in the first 6 months of the new payment model going live• Program now delivers a positive ROI• Affiliate feedback on communication levels• Fraud levels are minimal across all locations• FTPs from key locations increased − Germany up from 5% to 13% − USA up from 47% to 65%
    20. 20. Summary
    21. 21. Key Considerations1. Think global, act local2. Act on affiliate feedback3. Affiliate network support in local markets4. Research into local markets and have individual territory strategies to tie into this
    22. 22. Questions?• Susan Jamie – Lbi bigmouthmediaSusan.jamie@bigmouthmedia.comSkype: bigmouthmedia.susan.jamie• Aaron Shaw – SkypeAaron.Shaw@skype.netSkype/Twitter: @aaronbshaw