Standardization, Self-Governance and Self-Regulations as an Industry - can this become a reality?

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  • 1. Standardisation, Self Governance And Self Regulation As An Industry – Can This Become A Reality? Matt Bailey – Head of Affiliate – i-level Alistair Nichols – Head of Agency Sales – Webgains Helen Southgate – Head of Affiliate – dgm Pete Wilson – European Product Manager – buy.at
  • 2. Why is regulation important?
  • 3. WIN – WIN – WIN - WIN
  • 4. Satisfying all parties Network Merchant Affiliate Agency
  • 5. What we will cover • Affiliate Approval • Affiliate Business Model Categorisation • Protecting against fraud – Lead Generation • Spyware and adware • Brand Bidding • How to regulate
  • 6. Alistair •Affiliate Approval •Affiliate Categorisation Helen •Fraud identification •Lead Based Campaigns Peter •Bidding on brand •Malware
  • 7. Standardization, Self Governance And Self Regulation Affiliate Approval and Ongoing affiliate monitoring • Free to join networks – the benefits / disadvantages • Automated Programme Approval • Manual Approval and what Account Managers are looking for • Red Flags • How networks and affiliates categorise business models • Network Quality technology
  • 8. Manual Approval • Gives the client ultimate control over the affiliates on a programme • Easier Brand Control • Limits the business models on a programme • Easier to group affiliates • Sets up a relationship from the onset of a programme Red Flags • Check against database of known fraudsters • Controversial Content – pornography, violence, etc.. • Location – checked by IP Address • Check WHOIS details • Payment methods – Paypal / Cheque
  • 9. Affiliate Business Model Categorisation • Most networks categorise affiliates into one business model • Affiliates themselves nominate their category (usually their biggest revenue / traffic generator) • Problems arise when affiliates utilise two or more business models – Voucher and PPC • Network Quality Technology can categorise affiliates on the granular or source of traffic
  • 10. Protecting your Campaign Quality Vs Quantity Proactive Vs Reactive
  • 11. Being REACTIVE • What do you need to look out for? – Unusually high / low Conversion Rates (click to sale) – High Deletion / Rejection Rates – Unknown Referrer IDs / direct links in referrer IDs – Relevance of Web page – IP addresses – Human touch – Short Sales Lags
  • 12. Example
  • 13. Being PROACTIVE • Vet all affiliates onto your campaign – Do they have a relevant URL? – Are their contact details correct? – Have you had direct contact? • Have a validation system in place – Is there a cancellation period? – Spot check sales • Quality Assess Affiliates – Known affiliates on different terms – Trial new affiliates on longer validation / different remuneration
  • 14. Working with a network? • What systems do they have in place – Applications – Activity Monitors – Removal of unethical affiliates – Preventing re-sign ups – Dual network campaigns
  • 15. Lead Based Campaigns • More susceptible to unethical activity • What can you do to limit risk? – Have a clear lead validation process – Be able to check validity of leads – Have a closed campaign – Work with new affiliates on a trial basis – Do not over incentivise – Consider a commission based on conversion in addition to lead
  • 16. Brand Bidding • What is it? • The use of branded terms associated with an advertiser to display advertisements usually on a PPC basis. • Where can you see it? • Google Adwords, Yahoo search marketing, Microsoft Adcenter.
  • 17. What does it look like?
  • 18. What to look out for • High conversion rate • High number of clicks compared to other affiliates • Sales and clicks at certain times of the day usually outside office hours, when they think nobody is looking. • Referrers, they could be linking direct as in the example. – E.g http://www.google.co.uk/search?hl=en&q=gobaz&btn G=Google+Search&meta=&aq=f&oq=
  • 19. What can you do about it • Have firm terms and conditions about this e.g. Three strikes and your out • Your network should be monitoring this, ask them what tools they have? • Look for them, Use Firefox and a plugin called HTTP headers. This will show you all the tracking connections that your browser follows before getting to a page.
  • 20. Spyware and Adware • Adware or advertising-supported software is any software package which automatically plays, displays, or downloads advertisements to a computer after the software is installed on it or while the application is being used. Some types of adware are also spyware and can be classified as privacy-invasive software. • Probably the biggest non publicised negative effect on your Affiliate Account. • They are usually adding no value at all and effectively stealing sales.
  • 21. What to look for • Very high clicks with a very low conversion rate. You should be seeing a conversion rate of 2% plus for the majority of affiliates. • Strange or no referrers. • Poor website but seeing more sales than you would expect.
  • 22. What can you do? • Unless your network has invested in technology to combat this, very little. • Ask your network what they can do to combat Spyware and Adware.
  • 23. What does it look like? • Video to go here
  • 24. Regulation – is it feasible? • Demands understanding of the channel • Requires buy in from all parties • Zero tolerance
  • 25. What we’ve done in the UK • IAB Affiliate Marketing Council • Not a regulatory body • Best practice guidelines issued – Managing an affiliate campaign – Voucher codes – Rebate catching toolbars
  • 26. Questions for delegates • What would you like to see covered? • Is the UK experiencing the same issues as the rest of Europe? • How far can we go?