Affiliate marketing - SpeedieAffiliates

Affiliate Marketing

Affiliate Marketing - What is it?
An affiliate advertises a product or service on behalf of a merchant, in return for an agreed commission for a sale or a lead.

Benefits of Affiliate Marketing
Drive Revenue
Low risk business
Fully Trackable
Improves brand awareness at no cost
Complements other Internet marketing activity
Exploits skills gaps in business by outsourcing on a performance basis

Size of Affiliate Marketing Opportunity
UK Affiliate Marketing was
£3.82bn in 2008
Over £4bn in 2009
Source: Econsultancy Nov 2009

Types of Affiliates
True Content (SEO based Affiliate) 36%
Paid Search (PPC based Affiliate) 20%
Price Comparison 11%
Blogs and Forums 8%
Cashback and Reward Sites 5%
Email Marketing 5%
Voucher Codes 5%
Shopping Directories 4%
Social Networking 3%
Corporate Intranets 2%
Source: Econsultancy Nov 2009

Affiliate Marketing Management
Manage Affiliate Relationships via:
Direct Relationships
Affiliate Network
Affiliate Agency
Consistency of marketing messages
React to opportunities with existing affiliates
Recruitment of new affiliates
Development of new creative sizes and types

Affiliate Marketing Strategy
Two programme approach
Use Affiliate Network
Big reach
Volume traffic across all affiliates
Creative appear on huge number and types of websites
Direct Network
Offers higher commissions (No network overrides)
Controls relationship for bigger partners
Offers white labelling for integration of products and services

Affiliate Program Setup Options
Once you have made the first decision to run an Affiliate Marketing Campaign you need to decide whether to run it in-house or outsource it. There are several benefits for doing both.

In-House Affiliate Program Management
Advantages
Tight control over approval of affiliates
Tight control over Brand
Control your affiliate base
No cost for running affiliate program (No Overrides to Network Partners)
Can create second tier program

In-House Affiliate Program Management
Disadvantages
Time consuming
Need to spend time recruiting affiliates
Slower start to build Sales
Skills needed in house
Payments need to be managed in house

Outsourced Affiliate Program Management
Advantages
Large Affiliate Sales force already built. Your product is advertised to them and they can join your program.
Using a ready made network service adds credibility.
All tracking and software is provided by third party.
It is quick to implement a program.
No skills needed in house.
Single Payment to Network provider then they pay affiliates

Outsourced Affiliate Program Management
Disadvantages
Costs more (Sign up fees, monthly network fees and Override fees in some cases)
No direct control over affiliates
No direct contact with affiliates (Normally done via Network and in some cases with Costs)
If Network shuts down you have lost your affiliate network

How we can help?
We can help you to try and grow your business and create a virtual workforce by:
showing you the right way to set up a program for your business;
helping manage an existing program;
recruiting finance affiliates and insurance affiliates.

Contact Us
If you need help or want more information please get in touch:
Jason Hulott
Director
Speedie Consultants Limited
Tel: 01843 831088
Mob: 07940 521056
Email: jason@speediepr.co.uk
Web: www.speedieaffiliates.com

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Affiliate marketing - SpeedieAffiliates

by Jason Hulott on Mar 16, 2010

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