This presentation is from Affiliate Summit East 2017 (July 30 - August 1, 2017 in New York). Session description: Learn the three biggest mistakes advertisers are making with their affiliate program with regards to content sites, bloggers, and influencers, and how to fix those issues.

1. 3 Reasons
Blogs & Influencers
Avoid Your Affiliate Program
PRESENTED BY
Mike Nunez
AffiliateManager.com

2. AffiliateManager.com • (321) 300-5355 • Mike@AffiliateManager.com

3. AffiliateManager.com • (321) 300-5355 • Mike@AffiliateManager.com
Advertisers Affiliate
Also Known As:
● Merchant
● Retailer
● Brand
Also Known As:
● Influencer
● Publishers
● Bloggers
● Forums
● Content Sites

4. Reason #1: Your EPM

5. AffiliateManager.com • (321) 300-5355 • Mike@AffiliateManager.com
Primary Monetization Methods
● Display / Banner sales - CPM
● Sponsored Posts - Flat Fee
● Adsense - Pay Per Click
● Affiliate Offers - % of sale
Normalizing Revenue to determine profitability
● EPM = Earnings per Thousand Impressions (aka
RPM)
● EPC = Earnings per 100 clicks

6. AffiliateManager.com • (321) 300-5355 • Mike@AffiliateManager.com
Sample Calculations (100,000 uniques)
Banner / Display Sales:
$5 CPM = $5 EPM
Sponsored Post:
$500 Flat Fee Paid Placement
$500 / 100,000 impressions = $0.005 per impression
$0.005 per impression * 1,000 impressions = $5 EPM

7. AffiliateManager.com • (321) 300-5355 • Mike@AffiliateManager.com
Sample Calculations (100,000 uniques)
Adsense:
$0.50 per click, 2% CTR
100,000 impressions * 2% CTR * .50 cents per click = $1,000 revenue
$1,000 / 100,000 impressions = $0.01 per impression
$0.01 per impression * 1,000 impressions = $10 EPM

8. AffiliateManager.com • (321) 300-5355 • Mike@AffiliateManager.com
Sample Calculations (100,000 uniques)
Affiliate Offer:
10% of sale, 3% Conversion Rate, 2% CTR, $100 AOV
100,000 impressions * 2% CTR * 10% Commission * 3% CR * $100 AOV =
$600 in revenue
$600 / 100,000 impressions = $0.006 per impression
$0.012 per impression * 1,000 impressions = $6 EPM

9. How did you determine your
commission percentage?
PPC vs. CPA

10. AffiliateManager.com • (321) 300-5355 • Mike@AffiliateManager.com
Sample Calculations (100,000 uniques)
Affiliate Offer:
10% of sale, 3% Conversion Rate, 2% CTR, $100 AOV
100,000 impressions * 2% CTR * 10% Commission * 3% CR * $100 AOV =
$600 in revenue
$600 / 100,000 impressions = $0.006 per impression
$0.012 per impression * 1,000 impressions = $6 EPM

11. AffiliateManager.com • (321) 300-5355 • Mike@AffiliateManager.com
Sample Calculations (100,000 uniques)
Affiliate Offer:
20% of sale, 3% Conversion Rate, 2% CTR, $120 AOV
100,000 impressions * 2% CTR * 20% Commission * 3% CR * $120 AOV =
$1,440 in revenue
$1,440 / 100,000 impressions = $0.014 per impression
$0.014 per impression * 1,000 impressions = $14 EPM

12. AffiliateManager.com • (321) 300-5355 • Mike@AffiliateManager.com
Google Analytics >
Conversions >
Multi-Channel Funnels >
Top Conversion Funnels

13. AffiliateManager.com • (321) 300-5355 • Mike@AffiliateManager.com
Google Analytics > Conversions > Attribution >
Model Comparison Tool

14. Reason #2:
You’re not making it easy

18. AffiliateManager.com • (321) 300-5355 • Mike@AffiliateManager.com
Making it easy (for affiliates)
● Generate content on their behalf (i.e. articles or high quality pictures)
● Offer Great Support / Communication / Tools
● Give samples
● Have a clear value proposition, and make sure they know it!
● Consider retweeting / sharing their posts.
● Not everyone is a Best Buy, Macy’s, or Amazon. If you’re not a super
hot brand where affiliates are knocking down your door, it’s pay to
play.

19. Reason #3:
You’re not using attribution

21. The “Spirit” of the program has
to be to reward affiliates.

22. AffiliateManager.com • (321) 300-5355 • Mike@AffiliateManager.com
Rewarding high value affiliates
● Use networks with attribution and commission splitting technology
● Set up rules to ensure influencers are rewarded
● Longer cookie durations are an inexpensive way to differentiate your
program.
● The higher their earnings (EPM), the more they will promote you.

23. AffiliateManager.com • (321) 300-5355 • Mike@AffiliateManager.com
Questions?
Leave your card and receive our Influencer
Checklist!

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Appendix

25. AffiliateManager.com • (321) 300-5355 • Mike@AffiliateManager.com
Funnel for Dollars
● Generate traffic (Keyword Tool Ewen Finser talked about earlier)
● Capture Audience
● Funnel towards revenue
ZacJohnson.com (example)

26. AffiliateManager.com • (321) 300-5355 • Mike@AffiliateManager.com

27. AffiliateManager.com • (321) 300-5355 • Mike@AffiliateManager.com

28. AffiliateManager.com • (321) 300-5355 • Mike@AffiliateManager.com

29. AffiliateManager.com • (321) 300-5355 • Mike@AffiliateManager.com
Sample Calculations (100,000 uniques)
Affiliate Offer:
20% of sale, 3% Conversion Rate, 2% CTR, $100 AOV
100,000 impressions * 2% CTR * 20% Commission * 3% CR * $100 AOV =
$1,200 in revenue
$1,200 / 100,000 impressions = $0.012 per impression
$0.012 per impression * 1,000 impressions = $12 EPM

30. AffiliateManager.com • (321) 300-5355 • Mike@AffiliateManager.com
Get More:
Traffic, AOV, CTR, CR, and Commission
● Ask for exclusive coupons for higher than the AOV.
● Work with Advertiser to increase CR
○ See where they drop off in the conversion process
○ Ask for Retargeting Pixel
● Negotiate Higher Commissions
○ Leverage Normalized Monetization Metrics
○ Ask for a guaranteed amount (½ sponsored post)
● Optimize page for higher CTR, generate more clicks by capturing
Audience.
● Traffic - Use affiliate subid’s to identify paid traffic sources that lead to
sales.

31. AffiliateManager.com • (321) 300-5355 • Mike@AffiliateManager.com
Action Items:
● Normalize Monetization Methods
● Identify top performing content (affiliate subid’s)
● Capture Audience (Email, Facebook, Instagram, etc.)
● Funnel traffic towards top performing content
● Create new content that drives highest volume of relevant new
visitors, funnel them towards top performing content.
● Improve AOV, CTR, Conversion Rate, or Commissions