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• Internet marketing since 1995
• Affiliate marketing since 1999
• In eGaming since 2002
• Managed affiliate programs for European eGaming and Fintech, plus US Saas and eCommerce
• I have been an affiliate myself for long time, plus I have been a senior manager for eGaming companies
• I understand opportunities and challenges from both points of view
TODAY WE DISCUSS…
• Performance Marketing: what is it? How to
use it – as a VC or Entrepreneur – to test
and optimize your business, products,
funnels
• Affiliate Marketing: what is it? How to use it
to grow your sales and/or monetize your
user-base
• Check-list for success
• Q&A
WE WILL DISCUSS
PERFORMANCE MARKETING
Performance Marketing is a model of
marketing, where you pay only if an
agreed result is achieved.
WE WILL DISCUSS
Performance Marketing models include:
Revenue sharing: a percentage on the
sales generated
CPA: a flat amount for each sale
CPL: a flat amount for each lead (name,
surname, contact info of a potential
Customer)
CPC: a flat amount for each click
CPV: a flat amount for each time your
site is shown to a visitor
WE WILL DISCUSS
Advantages of Performance Marketing:
Flexible
Scalable
Fairly fast to implement, pause, restart
A/B testable
WE WILL DISCUSS
Examples: is this Performance Marketing?
WE WILL DISCUSS
It depends:
If you pay a fixed upfront fee to get the
space, no matter your ROI, it is not
Performance Marketing
If you use a way to track the sales you
get from this ad, for example by using a
unique phone number connected to the
ad, and pay only for results, then it is
Performance Marketing
WE WILL DISCUSS
Responsibilities which come with
Performance Marketing:
Reliable tracking: reward each and
every valid commissionable action
Clear message: what’s in for
Customers?
Clear goals: what do you want to
achieve?
Fraud prevention/detection: pay only for
bona-fide actions
WE WILL DISCUSS
As a VC or an Entrepreneur, you can use
Performance Marketing to:
Test products
Test business models and prices
Test marketing messages/page layouts
You can do this before you scale up,
allowing you to find the best converting
approaches before investing more
WE WILL DISCUSS
Products:
Before you invest more, see if there is a
market for the products
Quantify cost to acquire each Customer
Get feedback from Customers
WE WILL DISCUSS
Business models:
Have a paid version on the HP
Promote free trials
Promote freemiums
Promote discounted versions
Promote upsells at a better value
Internet users can share urls, so make
sure the different pages make sense
WE WILL DISCUSS
Marketing messages and layouts:
Focus on benefits
Focus on features
Test different page lengths etc.
WE WILL DISCUSS
HOW TO BE SUCCESSFUL WITH
PERFORMANCE MARKETING
Different traffic sources, different mindsets:
• PPC: ready now
• PPV: interruption-marketing
• Mobile: UI is king
Create Optimized Funnels • Organic: home-page plus opt-in popup
• PPC: static, signup landing page
• PPV: catchy title, video, simplified signup
• Mobile: simplified forms, call-in option
Organic: Home-Page plus Opt-In Popup
PPC: Static, Signup Landing Page
PPV: Catchy Title, Video, Simplified Signup
Business Intelligence to Select Your PM Partners • MajesticSEO
• SEMRush
• LinkdEx
PPV and Retargeting: Real-Time Optimization • What is PPV?
• Understand the demographics of your target
audience
• Understand the demographics of each PPV network
• Get a test-budget
• Use PPV with automatic target optimization, using pixels
• Use PPV to track visitors who visited competitors/specific brokers
AFFILIATE MARKETING
Affiliate Marketing is a form of
performance marketing. You recruit
affiliates, who promote your
products/services on revenue share, CPA
or CPL.
WE WILL DISCUSS
Different rewards, different value of the traffic:
• Revenue-sharing: it usually bring high-quality Customers. The interest of the affiliate is aligned with yours
• CPA: it brings Customers. The affiliate may be focused more on the number of sales, than on the amount of each sale
• CPL: choose your affiliates wisely. Their interest is to bring you leads, fast
How is the affiliate ecosystem?
• With affiliate marketing, affiliates are paid on
performances
• However, some major affiliates may ask for a
placement fee, or prepaid amountbehalf,
Affiliate Networks:
• Provide tracking and have existing affiliates
• Take care of payments
Tracking solutions:
• Provide tracking, but have no existing affiliates
• CPA networks: they have their own
affiliates, specialized in CPA programs
• Sub-affiliate networks: they have their
own sub-affiliates. They act as a
“commission aggregator”, offering many
networks and program to their sub-
affiliates
• Coupon sites: they offer coupons/deals
to their visitors
• Loyalty sites: they offer points/cashbacks
to their users
• Major content sites: they want to
monetize their traffic with relevant
campaigns
• Magazines: they want to monetize their
traffic with relevant campaigns
An alternative way: Master Affiliations
Bitcoin: exponential change in affiliate marketing
• Programs promoting Bitcoin services
• Programs paying in Bitcoins
• Each transaction becomes commissionable
• A revolution in affiliate marketing, which hasn’t
expressed its magnitude yet
Affiliate marketing: a two-way street
• Use AM to promote your products/services
• Monetize your existing user-base, by presenting to them products/services for which you are rewarded as an affiliate
CHECK-LIST
Be ready for success: funnels
Tap into new traffic sources
Retain the users
Monetize the traffic/users
Add new revenue streams
Check-List for your Startup success with PM:
Q&A
