Reaching The New Consumer

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According to Forrester Research, today’s consumer is less brand loyal, less trusting and more independent. As affiliate marketers, how does one effectively reach and convert this new consumer?

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  • Tom, this graphic will be updated…order of build: funnel, Commission Junction, PriceRunner, ValueClick Media and Mediaplex… Tom, lot of details here, please review and latch onto what resonates with you to make this your own “soft” pitch. Due to this unique relationship, we’ve had an increasing number of you – both advertisers and publishers – ask us about the other parts of ValueClick and how they can provide opportunities to grow your businesses… Well, perhaps the best way to describe all the opportunities that ValueClick offers you is to use the classic “sales funnel.” At the top, Awareness is where you let your target market know about you, what you have to offer and try to generate interest. In the middle, Leads is where you follow-up and try to close with potential clients who are currently “in-market.” And finally, at the bottom, of course, is Sales . Whereas everyone here at CJU is primarily focused on the lower half of the funnel, all of the areas of the funnel are important to building a sustainable business. And that is exactly how we’ve built at ValueClick – solutions for advertisers and publishers for that address each part of this funnel. Since every business is interested in sales, I’ll start there. As many or most of you know, Commission Junction is the largest provider of affiliate marketing services in the world, but what many people don’t realize is that in addition to rev-share programs, Commission Junction is also a formidable provider of lead-based programs. Driving qualified leads to increase your sales… Now, complementing Commission Junction in terms of delivering highly-qualified leads is our PriceRunner comparison shopping engine. This division began in Europe where it is now the largest in Scandinavia and the third-largest in the UK. Recently PriceRunner has expanded into France, Germany, and the US. And while we’ve only been live here in the US for a little over a year, PriceRunner has already been named the favorite shopping engine by both PC World magazine and Good Housekeeping. And as you can expect with lead generation of this nature, delivering a customer at this stage of the buying cycle is invaluable, since they are well-informed and ready to make a buying decision. Our ValueClick Media division is also a giant in lead generation, producing over 5 million qualified leads a month for industries across the board. And in addition to capturing basic contact information, this division specializes in surveying respondents with questions that are customized to each advertiser, to better assist them in their qualification and segmentation process. In addition to lead generation, our Media division also boasts a reach allowing you to interact with 75% of the US internet audience every month! Lastly, ValueClick provides foundational technology through our Mediaplex division . After a substantial amount of development and integration work, Mediaplex now offers the only technology that truly incorporates both paid and natural search, adserving, email and affiliate marketing capabilities in one platform, with one set of tracking. This platform – named MOJO – finally delivers on the “marketing dashboard” concept that’s been thrown around for years. Well, we’re also offering the opportunity for you to explore it in greater detail, in a couple of ways: 1)Check your conference packets, there’s a card you can fill out that designates what things you’re interested in learning more about. Just fill that out and put it in the box at the registration table to join us tomorrow from 12:30 to 1:30 in the Anacapa conference room. We’re going to have representatives from each area available to talk to you and answer your questions during a Value Click lunch presentation. 2)At all of the social & networking events, we’ll have representatives from each division in attendance, so feel free to ask to be introduced to someone from an area of the company you’re interested in learning more about and we’ll be glad to help you out.
  • Reaching The New Consumer

    1. 1. Reaching the New Consumer Kerri Pollard, Vice President of Client Performance, Commission Junction January 23, 2007
    2. 2. Thank You
    3. 4. What is the Long Tail? HEAD TAIL Most Popular Items Infinite Space Infinite Choice Infinite # of Niches Chris Anderson, The Long Tail
    4. 5. Where does Web 2.0 Come In? Lengthens the Tail Fattens the Tail Increases Demand Dependence is Minimized “ When consumers interact, they discover their tastes are far more diverse than the marketing plans fired at them.”
    5. 6. The Shift POWER
    6. 7. Institution Validation Time Magazine, December 2006 “ Welcome to YOUR World!” You Demand to be Heard!
    7. 8. What I’ll Cover: <ul><li>Who is the New Consumer? </li></ul><ul><li>New Vehicles </li></ul><ul><li>Affiliate Marketing & Web 2.0 </li></ul><ul><li>What do WE Do Now? </li></ul><ul><li>Take Aways </li></ul>
    8. 9. 1. Who is the New Consumer? Aggregated Fragmented Homogeneous Passive Converged Media Consumption High Expectations Interconnected Informed Active Heterogeneous Uninformed Low Expectations Disconnected Singular Media Consumption “ Consumers are switching from consuming content to communicating” Jim Nail, CMO of Cymfony Consumers can now schedule their own media consumption Jupiter Research, November 2005 Post Pre
    9. 10. The New Challenge <ul><li>Harder to Reach; </li></ul><ul><li>Harder to Engage; </li></ul><ul><li>Harder to Persuade; </li></ul><ul><li>and Harder to Satisfy. </li></ul><ul><li>Sounds like….. </li></ul>Don’t tell me what I need or where to go! Your Typical Teenager
    10. 11. Consumer Metrics <ul><li>Over the past five years, Americans have increased their Internet time allocation by 75% </li></ul><ul><li>eMarketer </li></ul><ul><li>12 to 17-year-olds, who represent $180 billion in purchasing power, spend 17% more time online than adults for personal reasons </li></ul><ul><li>Forrester Research </li></ul><ul><li>62% of 1,000 heavy, Internet users have participated in some sort of blogging activity </li></ul><ul><li>Universal McCann & Insight Express, August 2006 </li></ul>#1 Yahoo Blog Search in 2006 Perez Hilton
    11. 12. Consumer Summary Younger Smarter In Control To Be Entertained To Interact Infinite Choice
    12. 13. What I’ll Cover: <ul><li>Who is the New Consumer? </li></ul><ul><li>New Vehicles </li></ul><ul><li>Affiliate Marketing & Web 2.0 </li></ul><ul><li>What do WE Do Now? </li></ul><ul><li>Take Aways </li></ul>
    13. 14. 2. New Vehicles
    14. 15. Samsung Blu-Ray Billboard
    15. 16. New Statistics <ul><li>Between 2006 – 2011, the mobile TV segment alone will grow from under $200M to over $4B </li></ul><ul><li>Informa Telecoms & Media, September 2006 </li></ul><ul><li>Average CTR of a mobile banner ad is </li></ul><ul><li>2% - 3% vs. .2% for an Internet banner ad </li></ul><ul><li>ABI Research, November 2006 </li></ul><ul><li>Estimated 123.4M viewers of Internet video in 2007 – 65% will be male </li></ul><ul><li>eMarketer </li></ul>$1.65 Billion Baby!
    16. 17. What are They Doing Online? Online Activities of Broadband Users in the US 2006; IPSOS Insight 10% listen to podcasts; 14% read RSS feeds 34% download/view streaming video 86% use search engines 81%
    17. 18. What I’ll Cover: <ul><li>Who is the New Consumer? </li></ul><ul><li>New Vehicles </li></ul><ul><li>Affiliate Marketing & Web 2.0 </li></ul><ul><li>What Do WE Do Now? </li></ul><ul><li>Take Aways </li></ul>
    18. 19. 3. Affiliate Marketing & Web 2.0 Affiliate Marketing “ Show Me the Money!” Web 2.0 Sales Leads Awareness
    19. 20. You Have an Innovative Salesforce! 1996 2000 2001 2002 2007 “ In Context” Banner Ads Testimonials Email Dynamic Content Loyalty Bust! Product comparison Search Convergence & Web 2.0 Injection
    20. 21. What Do I Mean? Compliment – don’t conflict – the consumer’s path
    21. 22. Sample Injections Affiliate Re-direct #2 in the Natural Search Rankings Authenticity is Key
    22. 23. Sample Injections Golf putter Odyssey prototype milled putter Keywords that drill into a topic can deliver a higher quality audience
    23. 24. Sample Injections Widgets: They bring the web to you; Think of them as tech jewelry – bling for your blog; ice for your desktop ( Malik & Niall Kennedy) Year of the Widget? Newsweek End of the page view?
    24. 25. What I’ll Cover: <ul><li>Who is the New Consumer? </li></ul><ul><li>New Vehicles </li></ul><ul><li>Affiliate Marketing & Web 2.0 </li></ul><ul><li>What Do WE Do Now? </li></ul><ul><li>Take Aways </li></ul>
    25. 26. 4. What Do WE Do Now? Publishers need DETAILED product data The most successful publishers DON’T use the product description field
    26. 27. Data is POWER Open up your “library” beyond the “ bestseller list” Enable your publishers to leverage the “tail” Custom Datafeeds APIs Deep Keywords
    27. 28. Learn to Let Go McDonald’s 500m “ Don’t promote us near the competition” “ We require exclusivity” “ That data is not available”
    28. 29. What I’ll Cover: <ul><li>Who is the New Consumer? </li></ul><ul><li>New Vehicles </li></ul><ul><li>Affiliate Marketing & the Web 2.0 Injection </li></ul><ul><li>What Do WE Do Now? </li></ul><ul><li>Take Aways </li></ul>
    29. 30. 5. Take Aways <ul><li>The Consumer has Changed </li></ul><ul><ul><li>Have You? </li></ul></ul><ul><ul><li>Has Your Affiliate Program? </li></ul></ul><ul><li>Minimize the use of the word “control” </li></ul><ul><li>Be Nimble , Cooperative and Accessible </li></ul>Thank You! [email_address]

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