Chris Bishop and Fiona Gandy of 7thingsmedia presented on getting the most from affiliate programs. They discussed segmenting affiliates, optimizing commissions and creative, and innovating with content units, mobile apps, and retargeting. The presentation provided hints on communication, recruitment, and incentives to strengthen affiliate relationships and grow programs.

1. Style, success
& sales
GETTING THE MOST FROM
YOUR AFFILIATE PROGRAMME
Presented by:
Chris Bishop, Founder & Managing Director, 7thingsmedia @cpbishop
Fiona Gandy, Key Account Manager, 7thingsmedia @figandy
Sheerluxe SheerB2B 20th April 2012
@7thingsmedia
#sheerB2B
#successandstyle

2. LONDON | NEW YORK
Affiliates
Display
International
Lead generation
Mobile
PPC
SEO
Social media
Current holders of the UK’s “Best affiliate agency” award...
...plus we’ve been shortlisted for 8 awards this year!
In-house affiliate
trending software

3. Contents
• Industry overview
• Affiliates: the basics
• Hints & tips
• Above & beyond
• 7 takeaways to grow your programme – on Monday!
• Questions (if we have time!)
@7thingsmedia
#sheerB2B
#successandstyle

4. Industry overview

5. Affiliate marketing the growth
•UK affiliate market worth est. £4.62bn in 2010*
•Est. over £5bn by end 2011 @7thingsmedia
•Est. £280m+ paid in affiliate commission #sheerB2B
* Affiliate Marketing Econsultancy Buyer’s Guide, 2010 #successandstyle

6. Size of the industry
One vouchercode affiliate receives four times as much
traffic as Oasis, Karen Millen, Coast &
Warehouse @7thingsmedia
@sheerluxe
#successandstyle

7. Size of the industry
That same vouchercode site receives similar traffic to
asos.com
@7thingsmedia
#sheerB2B
#successandstyle

8. Size of the industry
The same vouchercode site receives 8 times the traffic
of Shopstyle, Polyvore & ASOS Fashion Finder
– and similar to Pinterest @7thingsmedia
#sheerB2B
#successandstyle

9. From the IAB affiliate council
•Affiliate Best Practise
• Affiliate Auditing
• Ethical Merchant Guide
• Re- marketing/targeting Guide (by 7thingsmedia)
• Feed management
• Voucher code management
• Championing the channel
• Lunch 'n' Learns
• IMRG, IDM, Econsultancy
• National Press
• ePrivacy Directive
@7thingsmedia
#sheerB2B
#successandstyle

10. Hitting the mainstream!
• Affiliates now entering traditional media
• TV
• Print
• Outdoor
• Radio
• Quidco's current £1m+ media campaign
@7thingsmedia
#sheerB2B
#successandstyle

11. Affiliate: The basics

12. Complex landscape
back
Facebook me!
her codes
Or text, failing
that call or
vouc cash
email, or
PR or aff
tweet me if I iliate
am not on bloggers
Skype but
don’t IM me!
a
Fashion
ggregator
s SALE
Needs to be managed effectively
@7thingsmedia
#sheerB2B
#successandstyle

13. Affiliate value
Brand Relevance
High Low
High
•Develop close relationships •Assess brand compatibility
•Improve conversion •Bespoke strategy for mutual
Potential
•Identify new opportunities benefit
•Tactical campaigns
Growth
•Maintain relationship •Automated approach
•Evolve the proposition •Minimal touch point
Low
@7thingsmedia
#sheerB2B
#successandstyle

14. Segementation
Affiliate Marketing
PUSH PULL
Price Voucher
PPC Content Email Incentive
Comparison Code
EACH TYPE USES A DIFFERENT METHOD TO GENERATE TRAFFIC AND SALES
@7thingsmedia
#sheerB2B
#successandstyle

15. Vouchercode
• Getting the most out of your voucher affiliates
• Communication is key
• Share information and DATA
• What are your competitors doing?
• What are you looking to achieve?
• Higher AOV?
• Acquisition?
• Shift stock?
@7thingsmedia
#sheerB2B
#successandstyle

16. Vouchercode
• Monitor
• Who’s saying what and where?
• On brand messaging
• Agent Provocateur saw a 115% yearly revenue increase by applying this
@7thingsmedia
@sheerluxe
#successandstyle

17. Loyalty / Cashback
• Don’t instantly dismiss cashback sites
• Ted Baker received 80%+ new
customers from a campaign
promoted on Quidco last year
• Don’t make assumptions
• Similar mosaic profile as a
Selfridges consumer
• Plus, tend to have a higher AOV
• If not cashback consider
• Nectar
• Amex
• BA rewards
@7thingsmedia
#sheerB2B
#successandstyle

18. Fashion aggregators
• Timescales
• Product feed
• Budget
• Commission
@7thingsmedia
#sheerB2B
#successandstyle

19. Bloggers
•Very brand loyal
• Traditionally a low converter
• Find ways to work with this – EPC
• Exclusive offers
• Put yourself out there
@7thingsmedia
@sheerluxe
#successandstyle

20. Technology
Plethora of technologies available to optimise your affiliate programme
• Feed creation – Fusepump, Goldenfeeds
• Content Units – Easy Content Units
• Affiliate on the fly – Skimlinks
• Multi-channel – Quidco in-store cashback
• Video – Coull
• Niche networks – RewardStyle, FashionTraffic
@7thingsmedia
#sheerB2B
#successandstyle

21. Hints and tips

22. Know your objectives
“Scale the
affiliate efine the
value of “Trade the
“D rketing”
programme
without the affiliate m
a website
use of
voucher “Increas aggressively
e affiliate
c ode
websites”
sales thr
fashion c ough
a ga in st
ontent si
and blog tes competitors”
gers”
“Increase
co verage on
fashion
websites” @7thingsmedia
#sheerB2B
#successandstyle

23. Get your house in order
•Review Terms & Conditions
• Use to assist in your screening process
• Welcome email – branded HTML, concise information, include current promotion /
banners
• Contact information
• Replace old banners / text links
• Ensure product feed is working
• Listen to requests
@7thingsmedia
#sheerB2B
#successandstyle

24. Commission
• What could you afford to pay?
• Think ahead to potential incentives
• What do your competitors pay?
• What do your re-sellers pay?
• Different commissions for new /returning customers?
• Tiered structures / category “item level” specific
• Is your affiliate budget structured for scale (fixed, semi-variable, variable)
@7thingsmedia
#sheerB2B
#successandstyle

25. Recruitment
•Recruiting your fashion affiliates:
• Agencies
• Events – be creative
• Affiliate days
• Networks – newsletters / own events
• Gap analysis... (wait until you hear about Affiliate Manager Plus)
• Affiliates4u – banner / posts
• Google alerts
...segment
@7thingsmedia
#sheerB2B
#successandstyle

26. Communication
• One to one and one to many approach
• Segment by type of affiliate and therefore by type of content
• If you want control then you have to feed affiliates
• Work alongside PR team
• It’s not just the fluffy stuff - trading style relationship with affiliates
• Create an army of affiliates
• Think outside the box ; look books, press day invites
@7thingsmedia
#sheerB2B
#successandstyle

27. Optimisation
EPC = CPA & CTR & OSC
• C o m p e llin g c r e a tiv e
• D e e p lin k in g to s p e c ific
p r o d u c ts
•S tr o n g c o n s u m e r
o ffe r s/ v o u c h e r c o d e s
P a y a ffilia te s m o r e • R e d u c in g th e c u s to m e r
jo u r n e y
• S e c u r in g g o o d
p la c e m e n ts o n th e
• E a s y s ite to u s e
a ffilia te s ite
@7thingsmedia
#sheerB2B
#successandstyle

28. Above & beyond...

29. Planning and strategy
Trading Plan
@7thingsmedia
#sheerB2B
#successandstyle

30. Segmented recruitment
T o p a ffilia t e s
•S tr o n g r e la tio n s h ip s
•B e s p o k e s tr a te g ie s
C o n te n t PPC C ashb ack V oucher
•C r e a te b e tte r • I n v e s tig a te th e • T a c tic a l Code
c o lla te r a l to ta c tic a l u s e o f approach as •D o w e w a n t to
a llo w a ffilia te s a ffilia te s o n o p p o s e d to p la y ?
to p r o m o te b r a n d + g e n e r ic “ a lw a y s o n ” •W h a t a re ou r
m o r e e ffe c tiv e ly te r m s app roach r u le s o f
e n g a g e m e n t?
N u rsery P rogram m e
•E n g a g e in a c tiv e a n d la p s e d a ffilia te s
• D o t h e y n e e d a n a r m r o u n d t h e s h o u l d e r o r a k@7thingsmedia e h i n d ?
ic k u p th e b
#sheerB2B
#successandstyle

31. Stand out
@7thingsmedia
#sheerB2B
#successandstyle

32. Events
@7thingsmedia
#sheerB2B
#successandstyle

33. Events
@7thingsmedia
@sheerluxe
#successandstyle

34. Incentives
• Identify your goals
• Segment – every affiliate is different
Cash; Commission on next month’s sales; Tiered structure; Exclusive vouchercode;
Products; Previews; Champagne or chocolate; VIP events; Away days; Holidays
• Attractive, Achievable, Fun!
• Expectations
...It’s not the lottery
@7thingsmedia
#sheerB2B
#successandstyle

35. Innovations
• Content units
• Social widgets / linking – everyone becomes an affiliate
• Feed optimisation
• Mobile
• Rewarding check-ins
• Location based offers in-store and online
• Offline editorial / advertorial accountability
@7thingsmedia
#sheerB2B
#successandstyle

36. Innovations
• Re-targeting
• Re-marketing
• Facebook shop
• Innovative approach
• Absolute focus on value as well as volume
• Move away from the Affiliate Marketing ‘norm’
• Not just “affiliates
@7thingsmedia
#sheerB2B
#successandstyle

37. Not impressed by coverage?
“7thingsmedia
p by 208%
has proven the
worth of Orders u
affiliate
marketing Revenue
to the
wider
company” 8:1 ROI up
851%
…traffic up 163%
year on year
@7thingsmedia
Visit 7thingsmedia.com/clients/client-studies for #sheerB2B
more downloadable client case studies #successandstyle

38. 7 takeaways to grow your programme

39. 7things…for Monday!
7things to implement on your affiliate programme on Monday:
3. Get your house in order
4. Identify your key objectives and plan
5. Segment your affiliates
- By volume and type
6. Review your EPC – how can you improve it?
7. Recruit, recruit, recruit
8. Strengthen relationships
9. Innovate
@7thingsmedia
#sheerB2B
#successandstyle

40. fin.
connect:
chris.bishop@7thingsmedia.com
fiona.gandy@7thingsmedia.com
www.7thingsmedia.com
@7thingsmedia
Confidential Information
This document is the property of 7thingsmedia LTD. and is strictly confidential. It contains information intended only for the person(s) and or Company to whom it is addressed.
All information contained herein will be treated as confidential material with no less care than afforded by your own company’s confidential material.
All service and product names mentioned in this document may be trademarks or registered trademarks of their respective companies and are hereby acknowledged.
Copyright © 2012 7thingsmedia LTD.