If More Were Less - Ensuring Your Affiliate Sales Are Truly Incremental

IF MORE WERE LESS – ENSURING YOUR AFFILIATE SALES ARE TRULY INCREMENTALOwen Hewitson

Client Strategist – Affiliate Window & buy.at

zanox Expert Day | Milan | 29.03.12.

2

AGENDA

•1. WHAT IS ‘INCREMENTAL’?

•2. CASHBACK

•3. VOUCHER CODES

•4. BEHAVIOURAL RE-TARGETING

•5. SEARCH

Milano | 29.03.2012. | Owen Hewitson, Client Strategist, zanox | If More Were Less: Ensuring Your Affiliate Sales Are Truly Incremental

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1. WHAT IS ‘INCREMENTAL’?


AFFILIATES EMAIL DISPLAY SEARCH SOCIAL

4



IF AFFILIATES WERE REMOVED A PORTION OF TOTAL ONLINE MARKETING SALES SHOULD BE LOST

5



BUT WHAT IF AFFILIATES WERE REMOVED AND NO SALES WERE LOST?

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VOLUMENEW VS EXISTING

CUSTOMERS

DEMOGRAPHICS

FREQUENCY

AVERAGE ORDER VALUE

CHURN UP-SELLING

PROFITABILITY

7


GENERIC SEARCH

PRICE COMPARISON

BRAND SEARCH

CONTENTINCENTIVE


DE-DUPLICATION IS NOT AN ATTRIBUTION STRATEGY

CROSS-CHANNEL REPORTING IS VITAL TO UNDERSTANDING INCREMENTALITY

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All 6 5 4 3 2 10

5

10

15

20

25

30

35

HOW MANY CHANNELS ARE AFFILIATES DE-DUPLICATED AGAINST?

9Milano | 29.03.2012. | Owen Hewitson, Client Strategist, zanox | If More Were Less: Ensuring Your Affiliate Sales Are Truly Incremental

Display Paid Search

Email Natural Search

Social Mobile0

102030405060708090

100

63%

92%

57%46%

31%

15%


WHAT CHANNELS ARE DE-DUPLICATED AGAINST?

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2. CASHBACK

ARE CASHBACK CUSTOMERS LOW EARNERS WHO WILL NOT SHOP WITHOUT REWARDS?


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2. CASHBACK


ARE CASHBACK MEMBERS EXISTING CUSTOMERS ALREADY?

It's more about cashback than the

brand

I have found new brands on cashback

sites that I continue to use

I have used cashback sites to purchase from

brands I have never considered before

0

10

20

30

40

50

60

70

80

90

100

16% 11% 7%

37% 40% 41%

47% 49% 52% Strongly agree/Agree

Neither agree nor disagree

Strongly disagree/Disagree

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2. CASHBACK


DO CASHBACK SITES DISCOURAGE LOYALTY TO ADVERTISERS’ BRANDS?

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2. CASHBACK


DO CASHBACK SITES MISREPRESENT ADVERTISERS’ BRANDS?

CIRCULATION: 950,000/WEEK

COST: £10,500/ €12.000

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2. CASHBACK


DO CASHBACK SITES MISREPRESENT ADVERTISERS’ BRANDS?

PAGE VIEWS: 800K/WEEK

COST: £1000/€1.200/WEEK

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2. CASHBACK – CASE STUDY


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Loya

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Loya

lty

Loya

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Loya

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Loya

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True C

onten

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AOV Avg for Type Avg AOV

FOR ONE CASHBACK SITE, 73% OF SALES INVOLVED NO OTHER AFFILIATE... ... AND NO OTHER CHANNEL!

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2. CASHBACK – CASE STUDY

• 31% OF AFFILIATE SALES INVOLVED ONLY AFFILIATES• 92% OF AFFILIATE SALES INVOLVED ONLY ONE TOUCHPOINT• AFFILIATES LOSE OUT ON 7% OF SALES BUT ARE ASSISTED 19% OF THE

TIMEMilano | 29.03.2012. | Owen Hewitson, Client Strategist, zanox | If More Were Less: Ensuring Your Affiliate Sales Are Truly Incremental

31%

19%

7%

43%

Affiliates Last Click - affil-iate channel only touch-pointAffiliates Last Click - other channel touchpoint(s)Affiliate Assist - Not last ClickNo Affiliate Touchpoint

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3. VOUCHER CODES

• VOUCHER CODE SITES ARE NOT JUST FOR

VOUCHER CODES

• VOUCHER CODES ARE NOT JUST FOR VOUCHER

CODE SITES

• THE TYPE OF CODE IS KEY IN ENCOURAGING

INCREMENTAL SALES


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3. VOUCHER CODES

1.FREE DELIVERY CODES

2.‘QUICK EXPIRE’ CODES

3.SITE ABANDONMENT CODES

4.STRETCH-AND-SAVE CODES

5.CODES FOR CUSTOMER TYPES


FREE NEXT DAY

DELIVERY

TODAY ONLY

10%

DISCOUNT

TO

COMPLETE

YOUR ORDER€10 OFF €70

SPEND

10% OFF

YOUR FIRST

ORDER

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3. VOUCHER CODES


GUARDING EXCLUSIVITY BY TRACKING THE VOUCHER CODE USED

3. CASE STUDY: RED LETTER DAYS

●CODE BOX EITHER HIDDEN OR DISPLAYED BASED ON REFERRING URL

●DEAL ID HAS TO BE COMBINED WITH AFFILIATE ID

●DISCOUNTED PRICE ALREADY APPLIED ON SITE


3. CASE STUDY: RED LETTER DAYS


GREATER CONTROL OVER AUTHORISED USE OF CODES

REDUCES ABANDONMENT WHEN USER SEES VOUCHER CODE BOX

FAIRER TO AFFILIATES AS COOKIES NOT OVERWRITTEN

CODES CAN BE OFFERED TO NON-CODE SITES FROM THE LONG TAIL

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4. BEHAVIOURAL RE-TARGETING

1.WHERE ARE THE ADS APPEARING?

2.WHICH SALES ARE POST-CLICK AND WHICH ARE

POST-VIEW?

3.ARE ADS ABOVE THE FOLD?

4.ARE ADS FREQUENCY-CAPPED?

5.HOW MUCH TIME BETWEEN SITE ABANDONMENT

AND RE-TARGETING?


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4. BEHAVIOURAL RE-TARGETING – CASE STUDY

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arketi

ng

Loya

lty/R

eward PPC

Price C

ompa

rison

MyThin

gs

Social

Netw

orking

/Blog

True C

onten

t

Vouch

er Cod

e Dire

ctory

0

100

200

300

400

500

600

700

800

900

July Aug Sept Oct Nov DecMilano | 29.03.2012. | Owen Hewitson, Client Strategist, zanox | If More Were Less: Ensuring Your Affiliate Sales Are Truly Incremental

NEW CUSTOMERS BY AFFILIATE

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4. BEHAVIOURAL RE-TARGETING – CASE STUDY


September October November December0

200

400

600

800

1000

1200

1400

1600

Post Click SalesPost View Sales

POST-CLICK VS. POST-VIEW SALES

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5. SEARCH

1.BRAND PPC NOT INCREMENTAL

2.CAMPAIGNS BASED ON COMPETITOR PRESENCE

3.AND COVERAGE OF KEY TERMS

4.GENERIC BRAND NAMES ESPECIALLY DIFFICULT

5.BRAND + VOUCHER TERMS – WHO IS BETTER AT

CONVERTING TRAFFIC FOR THESE TERMS?


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5. SEARCH


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5. SEARCH


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CONCLUDING REMARKS


1.ASSESS INCREMENTALITY IN CONTEXT OF CHANGING CONSUMER HABITS

2.THERE IS NO ONE MEASURE OF INCREMENTALITY: LOOK BEYOND

VOLUME TO VALUE

3.LOOK AT CROSS-CHANNEL PATHS TO PURCHASE AND WHERE VALUE IS

ADDED – A SINGLE ATTRIBUTION MODEL DOES NOT WORK FOR ALL

PARTNERS

4.DEMAND INSIGHT INTO PUBLISHERS’ AUDIENCES OR MEMBER BASES

5.NOT ALL AFFILIATES WITH THE SAME METHOD OF PROMOTION ARE THE

SAME

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THANK YOU

OWEN HEWITSONCLIENT STRATEGIST

zanox Ltd | 100 Leman St. 3rd floor | London, E1 8EU

Telephone +44 (0)207 553 0342 | [email protected] | www.digitalwindow.com


twitter.com/owenhewitsontwitter.com/Awin_Strategy

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If More Were Less - Ensuring Your Affiliate Sales Are Truly Incremental