Matt Bailey's affiliate blog

20 Dec, 2009

Selecting an affiliate network

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At i-level we are completely network agnostic and will select what we view as the best partner network for our clients. As many merchants will be in this position, I thought I’d write a brief post outlining the process we go through which people will hopefully find helpful.

To my mind, there are five main functions that a network perform and they therefore need to be graded on these criteria.

Tracking Technology

The fundamental thing that a network should offer is robust tracking technology. I think that all of the major networks have good tracking but there are a few differences in between the offerings. I’m no expert on the technological side but you should do your homework and ensure that tags can be implemented etc. Some of the networks offer tracking functionality above and beyond standard cookie tracking, see my previous post for more discussion about this.

In addition to the tracking technology, the client facing interface is something you also need to be comfortable with as you’ll be using it a lot. Out of all the network interfaces that I’ve used I find buy.at the most intuitive and easy to use.

Affiliate Payment

One of the major strengths of the network relationship is there payment of affiliates. Merchants prefer making just one payment to a network and affiliates seem to trust getting their payments from the networks. There are differences in the way that networks pay, and when selecting a network you should take this into account.

From the networks with whom we currently work, it seems that AWin’s fortnightly payment goes down well with affiliates.

Account Management

Clearly if you are working directly with an affiliate network you will look to them to provide some guidance in terms of developing affiliate strategy. Working as I do for an agency, I think there is an argument for dictating this yourself or employing an agency to do this for you, but if you are going to rely on the network to provide this service for you then there are a few things to bear in mind.

I would always recommend insisting on meeting the actual people who will be running your account on a day to day basis ahead of selecting a network, rather than just the sales team. Try and get an understanding of how much they understand about your business and the sector that you operate in. I also believe it’s an advantage if your account manager runs similar campaigns, maybe not direct competitors but has some specialism in your industry. An interest in what you do as a business is crucial in the account manager trying to push your program. I would also suggest tying down in an SLA how much account management time you will receive and making a point to ensure that you get it. I have seen numerous examples of networks pitching that you will get X hours of account management only for that to disappear once the business is won.

Finally, what support does the account manager receive in the organisation. Does your account sit within a key account team or a vertical sector specific team? Is there a publisher team driving recruitment and how do they do that. or is that all the responsibility of the AM? What senior level support within the organisation does your business have? Are there clear lines if you need to escalate and will that escalation point understand your business?

Tools and technologies

There are good wins to be made to your affiliate campaign through the use of tools and technologies that make it easier for affiliates to promote your business. A good network will spend time and money on research and development and you should identify whether any of these tools will enhance your campaign. This will be dependant on your market sector as a lot of the tools are focussed on specific sectors. The obvious stand out example here is Affiliate Window’s ShopWindow suite of technologies, predominantly geared towards the retail sector, but there are other good tools out there. I would highlight Webgains‘ Voucher Code Management Tool, buy.at’s partnership with Coull TV, OMG’s Refer product and CJ’s tie up with FusePump.

Affiliate Reach

My final network function is the reach that they have within the affiliate space, particularly within your industry vertical. Different networks have traditionally held strengths within specific industries and clearly one that specialises in your particular space will have enhanced visibility and influence with affiliates in that area.

All networks will state that they have a wide base of affiliates but you should ask how many affiliates they have that are driving clicks and sales within any particular month. Also you should attempt to understand the breakdown between different types of affiliates within their network. An over reliance on a particular type of affiliate is not healthy and you will want to see a good spread amongst a cross section of affiliates.

General points

I would ask to get some visibility over some other campaigns that the network run, particularly similar programs to your own. Whilst they won’t show you any specific stats, you should ask for an idea of the number of affiliates who are active on the campaign, and an indication of the types of affiliates who do well.

Clearly due diligence should be undertaken into the finances of any network with whom you work and you should speak to your existing affiliates or, if you have a new campaign, anyone you expect to be a top affiliate to gain their insight.

I’m always more than happy to share any words of wisdom if people want to get in touch to ascertain my opinion. You can get me on matt[dot]bailey at i-level[dot]com.

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4 Responses to "Selecting an affiliate network"

1 | Paul Newton

December 24th, 2009 at 11:01 am

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Matt,

Here at buy.at we took the decision that we would stick with one payment run per month but give assurances to our affiliates that the payment would be made even if we are having problems with collecting the cash from the merchant.

We see that debt collection is our job, not something that affiliates should be concerned about. I guess its horses for courses….do you want the chance to be paid two weeks earlier possibly or once per month, on time for certain?

Regards

Paul

2 | admin

December 30th, 2009 at 9:58 am

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Hi Paul,

Great points and I know that buy.at have always been very proactive in addressing innovative ways to ensure that affiliates get paid when they want and how they want. However, does this approach not leave you exposed if a large merchant were to go bust? Appreciate it’s a problem that all networks face and it’s interesting to see how the different networks approach it. I feel a separate blog post coming up.

Matt

3 | Paul Newton

December 30th, 2009 at 2:25 pm

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Matt,
There is an exposure to bad debt in this case but that’s my job to manage that. If I don’t get it right I get sacked, its as simple as that!
There is no better stick to beat merchants with than to threaten closure of a programme due to none payment and explain to affiliates WHY. The trust affiliates have in that merchant will be gone for a long time and so cheques that were “stuck in the system” miraculously get released.
Our view has always been that affiliates can trust us and that trust is worth its weight in gold and so we try our level best not to let anyone down.

Paul

4 | Matt Stewart

January 6th, 2010 at 9:47 am

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Whilst money issues are important, i’d say the single most infuriating factor from networks is a lack of timely and informative responses when there are problems with programs, payments, and just about anything else that can go wrong.
The affiliate game is one which relies on a fair amount of trust – dealing with people you are unlikely to ever meet, trusting tracking systems etc, and most affiliates aren’t stupid – “we’ll look into it and get back to you ASAP” usually followed up a day or two later with some kind of formulaic excuse (if at all) doesn’t wash. I certainly appreciate that things can often go wrong, but also appreciate it when that is acknowledged by the network, and i am being told all the details and how it’s going to be resolved, rather than being ignored until the problem is sorted out.

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