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When Search & Affiliate Marketing Collide
Peter Figueredo
Founding Partner, NetxEmail [email protected] Twitter @figueredo
7/14/2011
#OMSBOS
Overview
Who the hell is Netx?
What happens when they collide?
What happens when they cooperate?
Recipe for success
What is Affiliate Marketing?
What is Search Marketing?
Affiliate & Search consistently rank among the top ROI marketing channels
2010 Affiliate Benchmarks Study
What is Search Marketing?
What is Search Marketing?
Seriously?
What is Affiliate Marketing?
Forrester 2009
More than 20,000 brands have affiliate programs
While hard to read affiliate marketing is prevalent in most industries
2010 Affiliate Benchmarks Study
2007 2008 2009 2010 2011 2012 2013 2014 $-
$0.5
$1.0
$1.5
$2.0
$2.5
$3.0
$3.5
$4.0
$4.5
$1.7 $1.8 $1.9 $2.2
$2.5
$3.0
$3.5
$4.0
US Affiliate Revenue ($ Billions)
US affiliate revenue: larger than video, social & mobile combined
Forrester 2009
Successful affiliates are buying search traffic
2010 Affiliate Benchmarks Study
Where do Affiliate & Search meet?
Who the hell is Netx?
13
NYC digital ad agency
Founded 2001
Inc 500|5000 winner
30 smart & friendly folks
Search & Affiliate Marketing Specialists
Great clients• Dick’s Sporting Goods• Financial Times• Conde Nast• Audible (Amazon)• MTV Networks
4/6/2011
Netx
What happens when they collide?
Higher customer acquisition costs due to competitive bidding on keywords and affiliate
commissions
Confusing customer experience on brand terms
Ultimately collisions waste resources.
Search & Affiliate Collision
What happens when they cooperate?
Increased share of voice in search results
Competitive blocking
Increased traffic and conversions
1 + 1 = 3+
Search & Affiliate Cooperation
Search Without Affiliate
Search With Affiliate
Search & Affiliate Peanut Butter Cup Recipe
The only time you should let affiliates direct link is when you have no search marketing
campaign of your own.
Direct Linking
If any other companies are buying your brand terms then allow affiliates to buy them…if not
then don’t.
It is okay to place bidding caps on brand terms but not too low or your competitors will take
top spots.
***Work with a small trusted group of affiliates if you allow this.
Brand Terms
Do not place bid caps on affiliates for any terms other than your brand.
Bidding Rules
Bidding on competitors terms is okay for affiliates as long as they don’t mislead the
customer.
Your ads should not be confused with ads for the competitor.
Competitors
Make sure you have your own special offers page then PPC and SEO the hell out of it.
Borrow a page from the affiliates playbook and capture more customers directly.
Coupons
Make sure you clearly write out how affiliates can and cannot use search
marketing to promote you.
Post guidelines everywhere.
Post The Rules
Advertisers approach search arbitrage in different ways
2010 Affiliate Benchmarks Study
License a tool to monitor your critical keywords to gather intelligence and police affiliates.
We use TheSearchMonitor.com but others exist.
Test it out for free with code: PeterOms
*not an affiliate link, I promise
Monitor
If you have an affiliate who can build out vertical websites around your category and is an expert in PPC and SEO then you have
found the Holy Grail!
Search + Vertical
