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    • 2010 AFFILIATE SUMMIT AFFSTAT REPORTAffiliate Marketing Benchmarks Affiliate Summit realdeal@affiliatesummit.com http://www.affiliatesummit.com http://www.affstat.com
    • ASE10AUGUST 15-17 - HILTON NEW YORK ASE10Register today @ www.AffiliateSummit.com
    • 2010 Affiliate Summit AFFSTAT REPORTTable of ContentsSECTION1:THE SURVEYAffiliate Marketing by the Numbers 4SECTION2:THEIR WORDSAffiliates Speak Out 23SECTION3:RESOURCESGlossary 28Message Boards 32Blogs 33 2 Page Copyright  2010. Affiliate Summit – http://www.affiliatesummit.com Some Rights Reserved.
    • 2010 Affiliate Summit AFFSTAT REPORT 1 SectionAffiliate Facts & FiguresState of the Industry in Affiliate MarketingF or the last seven years, AffStat has delivered annual affiliate marketing benchmarks that are crucial to the development of any affiliate marketing program. The 2010 Affiliate Summit AffStat report is no exception.Over eleven hundred and fifty affiliates were surveyed for the 8th Annual Edition, on their methods,preferences, and strategies based on their experience in the industry.The research has been designed to increase awareness and foster best-practices in the affiliatemarketing industry. As you peruse this report, it is our hope that you consider the results and how theyaffect your role as an affiliate, merchant, network or vendor.Missy Ward & Shawn CollinsCo-Founders, Affiliate Summit 3 Page Copyright 2010. Affiliate Summit – http://www.affiliatesummit.com Some Rights Reserved.
    • 2010 Affiliate Summit AFFSTAT REPORTAffiliate Marketing by the Numbers Do you maintain an opt-in e-mail list for your site(s)? No 48.5% Yes 51.5% Do you promote your affiliate links in PPC search engines? Yes 44.5% Yes No No 55.5% 4 Page Copyright 2010. Affiliate Summit – http://www.affiliatesummit.com Some Rights Reserved.
    • 2010 Affiliate Summit AFFSTAT REPORT Finish this sentence: I have been an affiliate since... 1997, 2.6% 1996, 2.6% 2010, 9.6% 1998, 2.2% 1999, 4.8% 2000, 5.3% 2001, 3.9% 2009, 16.7% 2002, 3.1% 2003, 5.3% 2004, 5.3% 2008, 8.8% 2005, 11.4% 2007, 9.6% 2006, 8.8% 5 Page Copyright 2010. Affiliate Summit – http://www.affiliatesummit.com Some Rights Reserved.
    • 2010 Affiliate Summit AFFSTAT REPORT Do you prefer network or independent affiliate programs? Independent programs 14.0% No preference 38.6% Network programs 47.4% How many affiliate programs do you actively promote? 1 51 or more 10.9% 21.0% 41-50 0.9% 2-5 31-40 26.6% 0.9% 21-30 9.6% 11-20 10.0% 6-10 6 20.1% Page Copyright 2010. Affiliate Summit – http://www.affiliatesummit.com Some Rights Reserved.
    • 2010 Affiliate Summit AFFSTAT REPORT How many return days for cookies would you consider to be fair? 365 Days Lifetime 2.7% 2.7% 1 - 7 Days 13.0% 91 - 180 Days 4.8% 8 - 14 Days 0.7% 90 Days 12.3% 60 Days 22.6% 15 - 30 Days 40.4% 31 - 59 Days 0.7% Do commission payment policies (how often a program pays) affect your decision to promote an affiliate offer? No 41.0% Yes 59.0% 7 Page Copyright 2010. Affiliate Summit – http://www.affiliatesummit.com Some Rights Reserved.
    • 2010 Affiliate Summit AFFSTAT REPORT Have you successfully requested an increase in commission from an affiliate manager? Yes 38.1% No 61.9% How many domains do you own? 0 1 0.8% 13.7% 5 to 10 11.7% 5 to 10 11.7% 21 or more 31.0% 11 to 20 6.5% 2 to 4 8 24.6% Page Copyright 2010. Affiliate Summit – http://www.affiliatesummit.com Some Rights Reserved.
    • 2010 Affiliate Summit AFFSTAT REPORT Do you own any domains dedicated to a particular affiliate program? Yes 47.3% No 52.7% How often would you like to hear from your affiliate managers? Never 3.8% Weekly Quarterly 36.1% 11.1% Monthly 49.0% 9 Page Copyright 2010. Affiliate Summit – http://www.affiliatesummit.com Some Rights Reserved.
    • 2010 Affiliate Summit AFFSTAT REPORT How do you most often find out about an affiliate program and then join? Research of Network Offerings Advertising in 6.2% Word of Mouth print publications 1.3% 4.6% Personal Research 5.7% Other 1.0% Affiliate directory 18.3% Google Affiliate Forums 18.0% 1.3% Affiliate Manager blogs 5.7% Conferences 11.3% Affiliate Manager Contacts You Affiliate Manager Affiliate Manager 16.2% is on Twitter is active on 3.9% message boards 6.4% 10 Page Copyright 2010. Affiliate Summit – http://www.affiliatesummit.com Some Rights Reserved.
    • 2010 Affiliate Summit AFFSTAT REPORT What is your preferred method for finding out information from an affiliate manager? Video Affiliate Forum Twitter 1.9% 0.5% 2.4% Social Network Site 1.0% Blog 8.1% Phone 1.4% Company site 13.8% Network internal email 21.4% Instant Messenger 2.4% Network area for Merchant Email merchant 41.0% 6.2% 11 Page Copyright 2010. Affiliate Summit – http://www.affiliatesummit.com Some Rights Reserved.
    • 2010 Affiliate Summit AFFSTAT REPORT How much information should an affiliate manager make available to you? Twitter 2.4% Email 35.2% Phone, IM & Email 40.4% IM Phone 6.3% 15.7% How would you prefer to be contacted by affiliate managers on an individual basis? Phone, IM and Social Network Email 0.8% 11.9% Phone 12.6% Email Network Interface 64.4% 0.8% IM 9.5% 12 Page Copyright 2010. Affiliate Summit – http://www.affiliatesummit.com Some Rights Reserved.
    • 2010 Affiliate Summit AFFSTAT REPORT What is your preferred method of commission payment? ePassporte 0.5% PayPal 17.0% Check 17.0% Wire 3.4% Direct deposit 62.1% What is your preferred payment threshold? Over $100 2.0% $0 15.2% $100 28.9% $25 24.5% $50 29.4% 13 Page Copyright 2010. Affiliate Summit – http://www.affiliatesummit.com Some Rights Reserved.
    • 2010 Affiliate Summit AFFSTAT REPORT What industry/merchant types do you prefer to promote? Contests/Giveaways 0.10% Travel & Auto 6.75% Apparel Toys & Hobbies Wedding 6.45% Books, Movies & Music 5.44% 0.10% 6.75% Sports & Recreation 5.95% Career/Business Opp Spiritual 0.30% 0.20% Real Estate Dating 0.10% 0.71% Pets Computers & 0.40% Electronics 8.97% Department Outlet & Discount Stores 3.73% 4.33% Education 0.40% Office & Business 7.46% Event Tickets 0.10% Medical Financial 0.10% 0.10% Flowers & Gifts Magazines 4.64% 2.52% Food & Entertaining Jewelry & Accessories 5.85% 4.74% Gaming 0.10% Home & Garden Insurance / Financial 6.15% Services Health & Beauty Green/Eco Gift Certificates 5.54% 8.47% 0.20% 3.33% 14 Page Copyright 2010. Affiliate Summit – http://www.affiliatesummit.com Some Rights Reserved.
    • 2010 Affiliate Summit AFFSTAT REPORT What is the minimum EPC (earnings per 100 clicks) for you to promote an affiliate program? Less than $5.00 More than 15.0% $30.00 24.2% $25.01 - $30.00 5.0% $5.01 - $10.00 $20.01 - $25.00 30.8% 9.2% $15.00 - $20.00 10.8% $10.01 - $15.00 5.0% What is the highest reversal rate you would accept? 20-25% 16-20% 5.0% 6.9% 0% 9.9% 11-15% 5.9% 6-10% 21.8% 1-5% 50.5% 15 Page Copyright 2010. Affiliate Summit – http://www.affiliatesummit.com Some Rights Reserved.
    • 2010 Affiliate Summit AFFSTAT REPORT What is the most important factor in choosing a merchant? Search Marketing Competition Product or 0.5% Affiliate Service Quality management or Uniqueness 16.1% 8.0% Allows incentivized Payout amount traffic 30.7% 0.5% Optimized Creatives & Brand Landing Pges EPC awareness 0.5% 18.1% 25.6% What are your preferred link types? Widgets 0.4% Text 24.5% Storefronts Banners 6.4% 25.8% Data feed Product Photos 12.2% 0.4% Pop-ups Dynamic Rich 3.2% Media Landing Pages 7.1% 12.2% HTML for solo e- 16 mail 7.7% Page Copyright 2010. Affiliate Summit – http://www.affiliatesummit.com Some Rights Reserved.
    • 2010 Affiliate Summit AFFSTAT REPORT Do you cloak links (CGI, .htaccess, meta redirect, etc.)? Yes 38.4% No 61.6% What is your average gross monthly income with affiliate programs? $100 - $500 4.5% $501 - $1000 Under $100 2.0% 4.5% $1,001 - $5,000 7.4% $5, 001 - $10,000 1.5% $10,001 - $15,000 5.0% I would rather not say 55.4% Over $15,000 4.0% 17 Dont know 15.8% Page Copyright 2010. Affiliate Summit – http://www.affiliatesummit.com Some Rights Reserved.
    • 2010 Affiliate Summit AFFSTAT REPORT Are you currently using any URL Shortening Services in your marketing efforts? Yes 40.4% No 59.6% If you answered YES to the question above, which URL Shortening Services are you actively using? twurl.nl tinyurl.com 3.5% 1.8% WP Pretty Link su.pr 0.9% 0.9% ow.ly 38.9% bit.ly 42.5% itshrunk.com 0.9% budurl.com 3.5% 18 is.gd Custom cli.gs 4.4% 1.8% Page 0.9% Copyright 2010. Affiliate Summit – http://www.affiliatesummit.com Some Rights Reserved.
    • 2010 Affiliate Summit AFFSTAT REPORT Does your affiliate marketing plan currently incorporate marketing on social networking sites? No, 32.5% 67.5% If you answered YES to the above questions, which social networking sites are you currently using in your affiliate marketing efforts? bebo del.icio.us 1.2% 6.3% digg 7.7% Twitter Facebook 26.9% 25.9% Stumbleupon 8.0% Reddit 0.2% Friendster Ning 1.5% 0.2% Myspace Google Buzz 19 9.0% LinkedIn 0.2% hi5 Page 10.2% 2.7% Copyright 2010. Affiliate Summit – http://www.affiliatesummit.com Some Rights Reserved.
    • 2010 Affiliate Summit AFFSTAT REPORT Are you currently integrating video in your affiliate marketing plan? Yes, 29.4% 70.6% Are you currently using any WordPress plugins or widgets designed for affiliate marketing efforts? Yes, 32.0% No, 68.0% 20 Page Copyright 2010. Affiliate Summit – http://www.affiliatesummit.com Some Rights Reserved.
    • 2010 Affiliate Summit AFFSTAT REPORT If you answered YES to the above question, which affiliate marketing related plugins and widgets are you currently using? 123Linkit WP-Marketer 1.1% 9.8% WFReview 4.3% Avantlink Widget Simple Link Cloaker Amazon 1.1% 5.4% Reloaded for WordPress 20.7% Bounce.cc ShareASale Make a 4.3% Widget 14.1% Buy.at Content DataFeedr Widget 2.2% Self-developed 1.1% 1.1% DataFeedFile.com Featured Product MaxBlogPress Ninja Plugin Affiliate eBay 5.4% 2.2% 1.1% LinkShare RSS LinkShare Link DealFeed Lookup LinkShare AdMix 10.9% 9.8% 5.4% 21 Page Copyright 2010. Affiliate Summit – http://www.affiliatesummit.com Some Rights Reserved.
    • 2010 Affiliate Summit AFFSTAT REPORT If you are currently using WordPress to build out affiliate sites, what is your preferred WordPress theme? WPNow 4.8% Woo Themes 9.6% Affiliate Theme 26.5% Thesis for WordPress Custom built 26.5% 8.4% Elegant Themes 2.4% Thematic 2.4% Headway StudioPress Pagelines 3.6% 14.5% iBlogPro 1.2% 22 Page Copyright 2010. Affiliate Summit – http://www.affiliatesummit.com Some Rights Reserved.
    • 2010 Affiliate Summit AFFSTAT REPORT 2 SectionAffiliates: Their WordsWhen given a soapbox, what do affiliates have to say about things?T he statistics tell one version of the story. But to truly get a complete picture of the triumphs and hurdles of affiliates, you’ve got to hear things straight from their mouths. The following is an uncensored view into the opinions of affiliates on a variety of other subjects.Affiliates were asked to share any complaints, ideas, suggestions or opinions they have regarding affiliatemarketing.Read what happens when affiliates stop being polite, and start being real. This is the Real World – Affiliate style. 23 Page Copyright 2010. Affiliate Summit – http://www.affiliatesummit.com Some Rights Reserved.
    • 2010 Affiliate Summit AFFSTAT REPORTAffiliates Speak Out on the Issues Please give us advance notice of new products where possible, it makes all the difference Own up to your company mistakes - even if it costs you money. My biggest complaint is that companies that the average person havent heard of you always seem to get automatically accepted, and the brand name companies you always seem to get rejected. Whats up with that? My web site is called Brand Name Depot, I will only put Brand Name companies on my site. The whole purpose of my site is to offer my visitors convenient one stop shopping with companies that were all familiar with, and to offer them as many choices in each category so they could do their comparison shopping all within one site. When I keep getting rejection notices, it make the possibility of easy comparison shopping for my visitors, and takes away a little of my site credibility. I cant help but wonder, are these companies afraid of a little competition, competing with companies already on my site, on the same level as them? Something to think about. My filling out the applications, I do to go through the motions to get affiliated with them. Also, what I am really doing, is inviting them to be on my site. Are they always that gracious in accepting invitations? Need more input from affiliate managers. Cookie based programs are designed to benefit Advertiser and Networks not the affiliate or publishers. Many times Networks are walking my money back and forth for weeks but not finished reaches my bank account. - These situations only lead to loss of confidence in affiliate networks and advertisers. Update with new promos regularly, and make me aware of them. Also think critically about the quality of your feed. Lousy feeds are a waste of everyones time. We as affiliates do not like it when affiliate managers pull shady stuff, like allowing certain publishers to break the rules. If you piss us off enough, all it takes is one phone call to the CEO of the advertiser that you are working for and we can let them know exactly how they can save hundreds of thousands of dollars (in some cases, millions) by dumping your ass. (and reversing the commissions of your buddy who happens to be in the affiliate program breaking all of the rules) Play fair, or face the vindictive wrath of the publishers! Just remember, we got the exact same eyeballs on you, that you got on us. Pay attention to your affiliates and whats happening in our industry. It would be really nice to have easier access to product codes. Update your tools and creatives often to keep up with the changing look/feel of the web. Run more Promotions, where you can earn a bonus if you reach a given goal. I dislike it when an advertiser is overly restrictive of keywords that can be used. For example, there was a company trying to sell wood chips for fuel, but they wont let you bid on wood chips as a keyword? 24 Whats up with that? Page Copyright 2010. Affiliate Summit – http://www.affiliatesummit.com Some Rights Reserved.
    • 2010 Affiliate Summit AFFSTAT REPORT Link Networking. Link Networking. Link Networking. Nothing else matters except backlinks to your web site and that takes link networking. It should be easier to reach affiliate managers or at least know who is managing programs before signing up. I appreciate quick responses to questions about affiliate programs, same day or quicker. Thanks! Affiliate managers rarely make any effort to respond to my problems, complaints or request for help. Prompt email response time is always a plus, but thats a given. Be clearer about what levels/tiers need to be reach in order for commission level to be increased. This way, less wasted efforts can be placed on programs/campaigns with stricter budget and less flexibility. Need more video across the board; YouTube-like video, clickable. Please dont terminate poor performing advertisers. I had a site which was slowly gaining in traffic, but the affiliate manager terminated the agreement, due to lack of sales. So I signed up with their competition, and as the traffic finally hit, I made money from the new program. I think some manager just didnt like the look of his report, so they trimmed out the underperformers, to make the report (and their efforts ) look better. The underperformers are not hurting anything, you never know when the search engine algorithm will be tweaked to favor certain on or off page factors. Performance Incentives are a must for any serious affiliate program. While top affiliates can always attempt to contact the affiliate manager, having an automatic tiered system for different levels of affiliate is key to continued affiliate satisfaction. Never, under any circumstances, lie to a publisher. If you dont an answer to a question admit that and either move on, or find out. Making stuff up will have me going elsewhere regardless of payout Affiliate managers need to take a more public stance on industry issues; many are all too silent on critical issues including parasites, toolbars, and merchant good standards and practices. I also believe that the affiliate -merchant TOS needs to become more balanced and protect affiliates more. Why arent more marketers offering PayPal as a choice for payment? Not all of us have programming capability, so programs or networks that provide me the ability to display multiple products in one place with minimal effort are preferable to me - SAS has this and AvantLink also, with options to create product displays in HTML or JAVA - programs that only have banners are just too hard to promote these days. More tools, more communication, more ideas shared help. I believe before a company can reverse a commission they should give a specific reason why not only to prevent it from happening in the future but also as a courtesy to the affiliate so that we know what is going on. 25 I would like to hear from my affiliate managers if they discontinue or change an item. This could be a Page monthly email newsletter. Copyright 2010. Affiliate Summit – http://www.affiliatesummit.com Some Rights Reserved.
    • 2010 Affiliate Summit AFFSTAT REPORT Cookies should last forever. Commission should be distributed as long as customer retains the service and remain with the advertiser. This industry is the worst example of fairness in compensation! Internet sales have gone up and up while publisher commissions have gone down and down over the years. Somethings not adding up, and it is frankly insulting to see that ad networks think so little of their publishers ad space. Ad technologies virtually take over the viewer experience, and the presenter is left with lost audiences and nothing to show for it. Ad networks need to start compensating fairly, or they will run their network dry. Most affiliate managers do not respond in a timely manner. Most often commissions are not tracked or paid in a timely manner. Need more apps for bloggers I dont have TIME to be replacing offers all the time. I have a content site. Ads are secondary. I need the ads to take care of themselves. I understand the need to have minimum payment thresholds, but if I never make the threshold, then I should still get my money that I earned from below the minimum. Some companies need to make their image links easier to use -- some of the images appear extremely small or extremely large on a website. In addition there are times that you can click on the same image two different times and each time it takes you to a different landing page -- e.g. one time it goes to a landing page for the product. The next time it goes to the home page for the company. These people need to be fired: Affiliate managers who do not respond to emails, who expire publishers without warning or explanation, who will not help a publisher with a problem concerning an advertiser, who treat publishers as second class citizens. Offer up the best method for promoting your product based on what you have seen. video, twitter, Facebook, PPC, mailing lists, etc. Weekly payouts please. Policies are too fuzzy most dont understand the difference between bidding on a trademark (TM) or a TM + specific term, like TM review, TM deals etc. They dont understand that in the second case search engine customers are not looking for their site. Am frustrated with merchants who refuse to place my Google Conversion code on their thank you pages (even though I consistently generate at least $5K/mo revenue for one in particular). Also, paying out only once per month is difficult for programs that I promote solely via PPC. I think that publishers should get paid twice a month. Allowing this will give participants faster time to reinvest their advertisers. 26 I would like to see better and more honest reporting, better uptimes. Page Copyright 2010. Affiliate Summit – http://www.affiliatesummit.com Some Rights Reserved.
    • 2010 Affiliate Summit AFFSTAT REPORT Learn my nickname. I hate being called my full name. If Im going to bring your company $20k/month in sales, you can at least afford to learn my preferred name. Thats all I ask. Reach out. More information is better than no information. Dont be afraid to email us often. I wish there was more emphasis on quality over quantity of affiliates. I also wish there was more emphasis on ethics and building long-term trust. Its annoying when program managers spam my Inbox with useless stuff! I tend to ignore those that email me too often. On the other hand, I DO appreciate information that is actually useful to me and sent ONLY when its actually warranted. Dont know the difference? Send me ONE email and ask me to subscribe if I want more. Id like to see more banner ads with African American models. I run a Website thats focused on the African American community but Im having a difficult time getting my audience to click because there a few ads with people that look like them. I have had affiliate managers quietly implement changes to their keyword policy without notifying me and then reverse my commissions when they catch me violating the TOS. This practice is unprofessional and unethical. This has personally cost me over a thousand dollars in ad expenses and several times that in commission in just the past 3 months. 27 Page Copyright 2010. Affiliate Summit – http://www.affiliatesummit.com Some Rights Reserved.
    • 2010 Affiliate Summit AFFSTAT REPORT 3 SectionAffiliate Marketing ResourcesSome things to make your job easier.T here are some great resources out there that can make your job a whole lot easier. Here is a glossary to explain all of the industry terms, plus lists of suggested message boards, blogs, and Twitter accounts that you should know about. 28 Page Copyright 2010. Affiliate Summit – http://www.affiliatesummit.com Some Rights Reserved.
    • 2010 Affiliate Summit AFFSTAT REPORTAffiliate Marketing GlossaryAffiliate marketing has a language all its own. Below is a collection of some of the frequently used terms I’vedefined over time.Affiliate: a Web site owner that earns a commission for referring clicks, leads, or sales to a merchant.Affiliate Agreement: terms between a merchant and an affiliate that govern the relationship.Affiliate Information Page: a page or pages on your Web site that explains clearly and concisely what youraffiliate program is all about.Affiliate Link: a piece of code residing in a graphic image or piece of text placed on an affiliates Web page thatnotifies the merchant that an affiliate should be credited for the customer or visitor sent to their Web site.Affiliate Manager: the manager of an Affiliate Program who is responsible for creating a newsletter, establishingincentive programs, forecasting and budgeting, overseeing front-end marketing of the program, and monitoringthe industry for news and trends.Affiliate Program (also an Associate, Partner, Referral, or Revenue Sharing Program): a merchant pays acommission to an affiliate for generating clicks, leads, or sales from a graphic or text link located on the affiliatessite.Affiliate Program Directory: directory of affiliate programs, featuring information such as the commission rate,number of affiliates, and affiliate solution provider. Associate-It, AssociatePrograms.com and Refer-it are amongthe largest Affiliate Program Directories.Affiliate Solution Provider: company that provides the network, software, and services needed to create andtrack an affiliate program.Auto-Approve: affiliate application approval process where all applicants are automatically approved for anaffiliate program.Commission: income an affiliate receives for generating a sale, lead or click-through to a merchants Web site.Sometimes called a referral fee, a finders fee or a bounty.Cookies: small files stored on the visitors computer, which record information that is of interest to themerchant site. With affiliate programs, cookies have two primary functions: to keep track of what a customerpurchases, and to track which affiliate was responsible for generating the sale (and is due a commission).Contextual Link: integration of affiliate links with related text.Conversion Rate: percentage of clicks that result in a commissionable activity (sale or lead).CPA (Cost Per Action): cost metric for each time a commissionable action takes place.CPC (Cost Per Click): cost metric for each click of an advertising link. 29CPM (Cost Per Thousand): cost metric for one thousand banner advertising impressions.CPO (Cost Per Order): cost metric for each time an order is transacted. Page Copyright 2010. Affiliate Summit – http://www.affiliatesummit.com Some Rights Reserved.
    • 2010 Affiliate Summit AFFSTAT REPORTeCPC: stands for effective Cost Per Click’. Affiliates that earn on a CPA or CPO will back their numbers into aneCPC. It is calculated by dividing total earnings by their number of clicks. For example, if an affiliate earned$1500 from 3000 clicks, the CPC would equal $1500/3000, or $0.50.eCPM: stands for effective Cost Per Thousand impressions. Affiliates that earn on a CPA or CPO will back theirnumbers into an eCPM. It is calculated by dividing total earnings by their number of impressions in thousands.For example, if an affiliate earned $1500 from 75,000 impressions, the CPM would equal $1500/75, or $20.00.Hybrid Model: affiliate commission model that combines payment options (i.e. CPC & CPA).In-house: alternative to using an affiliate solution provider; building affiliate program architecture within acompany.Lifetime Value of a Customer (LVC): the amount of sales in dollars that a customer in his lifetime will spend witha particular company.Manual Approval: affiliate application approval process where all applicants are manually approved for anaffiliate program.Merchant: an online business that markets and sells goods or services. Merchants establish affiliate programs asa cost effective method to get consumers to purchase a product, register for a service, fill out a form, or visit aWeb site.Pay-Per-Sale: program where an affiliate receives a commission for each sale of a product or service that theyrefer to a merchants Web site. Pay-per-sale programs usually offer the highest commissions and the lowestconversion ratio.Pay-Per-Lead: program where an affiliate receives a commission for each sales lead that they generate for amerchant Web site. Examples would include completed surveys, contest or sweepstakes entries, downloadedsoftware demos, or free trials. Pay-per-lead generally offers midrange commissions and midrange to highconversion ratios.Pay-Per-Click: program where an affiliate receives receive a commission for each click (visitor) they refer to amerchants Web site. Pay-per-click programs generally offer some of the lowest commissions (from $0.01 to$0.25 per click), and a very high conversion ratio since visitors need only click on a link to earn the affiliate acommission.Predatory Advertising: method that creates or overlays links or banners on Web sites, spawns browserwindows, or any method invented to overwrite or redirect affiliate links.Residual Earnings: programs that pay affiliates not just for the first sale a shopper from their sites makes, but alladditional sales made at the merchants site over the life of the customer.ROAS: stands for Return on Advertising Spending. This is the amount of revenue generated for every dollarspent on advertising. For instance, a ROAS of $1 means youre generating $1 in sales for every $1 in advertisingspend, and a ROAS of $5 means you generate $5 in sales for every $1 in spending. 30 Page Copyright 2010. Affiliate Summit – http://www.affiliatesummit.com Some Rights Reserved.
    • 2010 Affiliate Summit AFFSTAT REPORTROI: stands for Return on Investment. This is what all marketing managers want to see from the money theyspend on their marketing and advertising campaigns. The higher the sales, the larger the number of shoppersand the greater the profit margin generated by sales – the better the ROI.Super Affiliates: that small percentage of sites - the top 1% of affiliates, based on performance and earnings -that generate the lion’s share of the revenue for your program. They are born marketers and are very successfulwith the affiliate program they promote from their sites.Two-tier: affiliate marketing model that allows affiliates to sign up additional affiliates below themselves, so thatwhen the second tier affiliates earn a commission, the affiliate above them also receives a commission. Two-tieraffiliate marketing is also known as MLM (Multilevel Marketing). 31 Page Copyright 2010. Affiliate Summit – http://www.affiliatesummit.com Some Rights Reserved.
    • 2010 Affiliate Summit AFFSTAT REPORTAffiliate Marketing Message BoardsWhat are affiliates saying about your program? Monitor and participate in these message boards regularly tomaintain a grip on the affiliate community: 5 Star Affiliate Marketing Forums A Best Web AffiliatePrograms.com Affiliates4U (UK) Amazon.com AssociatePrograms.com Digital Point Earner’s Forum Webmaster World Wicked Fire 32 Page Copyright 2010. Affiliate Summit – http://www.affiliatesummit.com Some Rights Reserved.
    • 2010 Affiliate Summit AFFSTAT REPORTBlogs for Affiliate Marketers to ReadThe affiliate marketing blogosphere is expanding constantly. Blogs are a great resource for news andinformation in affiliate marketing as it happens, as well as to learn more about tactics affiliates are using (andsome you shouldnt use).Here are some blogs focused on or related to affiliate marketing to check out. 5 Star Affiliate Marketing Blogs - http://affiliate-blogs.5staraffiliateprograms.com/ Ad Hustler - http://www.adhustler.com/ ADS-links.com - http://www.ads-links.com/ Advertising & Marketing Blog - http://www.jonathantreiber.com/ AffBuzz - http://www.affbuzz.com/ Affiliate Classroom - http://blog.affiliateclassroom.com/ Affiliate Marketing Blog by Shawn Collins - http://blog.affiliatetip.com/ Affiliate Marketing The Smart Way - http://www.thelazymarketer.com/blog/ Affiliate Program Advice - http://www.affiliateprogramadvice.com/ Affiliate Stuff - http://www.affiliatestuff.co.uk/ Affiliate Summit - http://www.affiliatesummit.com/blog/ Affilorama - http://www.affilorama.com/blog Azam Marketing Blog - http://www.azam.info/ Andy Beard - http://www.andybeard.eu/ Beer Monies - http://www.beermonies.com/ Brandon Adcock dot Com - http://www.brandonadcock.com/ Bryn Youngblut - http://bryn.me/ Cash Tactics - http://www.cashtactics.net/ CDF Networks - http://www.cdfnetworks.com/ Chris Bloczynski dot Com - http://www.chrisbloczynski.com/ chrisbrogan.com - http://www.chrisbrogan.com/ CJ UK Blog - http://www.cjblog.co.uk/ copyblogger - http://www.copyblogger.com/ Cost Per News - http://www.costpernews.com/ Dennis Yu - http://www.dennis-yu.com/ FeedFront Magazine - http://www.feedfront.com/ GeekCast.fm - http://www.geekcast.fm/ Genos Affiliate Marketing Blog - http://www.amnavigator.com/blog/ Google Affiliate Network Blog -http://googleaffiliatenetwork-blog.blogspot.com/ How to Make Money Online - http://www.jonathanvolk.com/ Ian Fernando - http://www.ianfernando.com/ Internet Geek Girl - http://www.internetgeekgirl.com/ Jangro 2.0 - http://www.jangro.com/ Jeremiah Cooper dot Com - http://www.jeremiahcooper.com/ JimKukral.com - http://www.jimkukral.com/blog/ 33 John Chow dot Com - http://www.johnchow.com/ JoelComm.com - http://www.joelcomm.com/ Page JustinDupre.com - http://www.justindupre.com/ Copyright 2010. Affiliate Summit – http://www.affiliatesummit.com Some Rights Reserved.
    • 2010 Affiliate Summit AFFSTAT REPORT Lee McCoys Affiliate Marketing Blog - http://www.leemccoy.co.uk/ Legacy Affiliate Blog - http://www.legacyaffiliateblog.com/ LinkShare Blog - http://www.linkshareblog.com/ MadPPC - http://www.madppc.com/ Many Body Theory - http://www.manybodytheory.com/ MediaTrust Blog - http://blog.mediatrust.com/ MissyWard.com - http://www.missyward.com/ Money Making Scoop - http://www.moneymakingscoop.com/blog/ MurrayNewlands.com - http://www.murraynewlands.com/ Nerdy Affiliate - http://www.nerdyaffiliate.com/ NETexponent Blog - http://www.netexponentblog.com/ NickThrolson.com - http://www.nickthrolson.com/ Nickycakes.com - http://www.nickycakes.com/ OffWhiteHat.com - http://www.offwhitehat.com/ OOOFF.com - http://www.oooff.com/php-affiliate-seo-blog/ Performance Marketing Alliance - http://www.performancemarketingalliance.com/ PPC.bz - http://www.ppc.bz/ ProBlogger - http://www.problogger.net/ Prosper202 Blog - http://prosper.tracking202.com/blog/ ReveNews - http://www.revenews.com/ Shankman.com - http://www.shankman.com/ Share Results Blog - http://blog.shareresults.com/ ShareASale Blog - http://blog.shareasale.com/ Shock Marketer - http://www.shockmarketer.com/ ShoeMoney - http://www.shoemoney.com/ Super Affiliate Mindset - http://www.superaffiliatemindset.com/ The Real Tim Jones - http://www.therealtimjones.com/ Thoughts on Affiliate Marketing from Logan Thompson - http://www.lrthompson.com/ TrishaLyn.com - http://www.trishalyn.com/ TylerCruz.com - http://www.tylercruz.com/ UberAffiliate - http://www.uberaffiliate.com/ Webgains UK Blog - http://blog.webgains.com/ Webgains USA Blog - http://usablog.webgains.com/ Winning the Web - http://www.winningtheweb.com/ Who is Andrew Wee - http://www.whoisandrewwee.com/ Wiseaff - http://www.wiseaff.com/ ZacJohnson.com - http://www.zacjohnson.com/ 34 Page Copyright 2010. Affiliate Summit – http://www.affiliatesummit.com Some Rights Reserved.
    • Learn from the rock stars of the affili-ate marketing, email marketing, blog-ging, podcasting, video, search enginemarketing and social media world, asthey break down the how and why ofInternet marketing in a clear, easy tounderstand way.These are the people that do this stuffevery day. Find out how they do whatthey do to achieve success with theironline businesses.Their voices, their ideas, their actionitems, and their lessons learned frommistakes – all for you to grow yourbusiness the day you start reading thebook.
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