CJU 2006 Day 1 Sessions

C is for Cookie
Ok, well this session was particularly interesting, given the recent cookie report that we released.  Unfortunately, it was quite technical and very specific to CJ, so I didn’t see the need to make session notes.  If I find someone who did, I will link to them.
R is for Revenue

Jeremy Palmer did a great job today on this session – here are the notes:

CJU 2006 Session:  R is for Revenue
Presented by Jeremy Palmer – QuitYourDayJob.com

Growing your affiliate revenue through the power relationships.

Affiliate Managers

Affiliates are your program’s greatest assets (and liabilities)

Your affiliatesor “human capital” account for 100% of your program’s value

Successful merchants manage their human capital weel
Recruit good affiliates and give them the resources they need
Motivate existing affiliates so that they remain loyal and help to grow the program

Optimize Current Affiliates

Forget about the 80/20 rule

Super affiliates are important and can drive a lot of volume, but represent only a small fraction of your program’s potential.
Imagine the impact on your program if you could get 50% of your affiliates to drive 1 sale a month

Merchants expect affiliats to be self made and pull themselves up by their own bootstraps.

Provide additional tools

Provide new content (articles, creative, Datafeed, RSS)

Enable phone tracking

Consider trademark bidding for top affiliates

Consider opening new marketing channels (e-mail marketing, SEM)

Unique destination URL’s

Remove Obstacles

800#’s should benefit affiliates, not take away sales
Poor conversion rate – evaluate your landing pages and checkout
Open communication-IM, phone and email
Survey the competitive landscape

Promotions and Contests

Temporarily raise commission rates
Offer bonuses for volume increases
Create a contest that can involve everyone – most sales, most improved, etc
Run the promotion or contest as long as possible

Run a Clean Program

Have a clear and strictly enforced policy for spammers and spyware affiliates
Protect trademarks – Make exceptions clear
Remove black hat affiliates
Test your tracking
Be transparent

Build Relationships

Send personalized emails
Make “no pressure” phone calls
Snail Mail gets read more than email
-Go the extra mile by sending company branded “gear” or a product sample

Provide Training

Have a recommended list of books, websites, blogs and forums for new affiliates

Provide industry insight and training
-    Keywords
-    Site messaging
-    Target Demographic
-    Best Sellers
-    Customer Behavior

Blueprint for Profitability

Book developed by CJ & Jeremy Palmer – available from within CJ

Allow Test Purchases

Customers make the best affiliates
Get feedback regarding landing page and checkout process
Affiliates can identify potential leaks in the sales pipe

Educate Yourself

Good affiliate managers understand:
SEM/SEO Basics
Various affiliate business models
Basic traffic, and conversion strategies
Network with industry professionals – RMAMA, BAAM

Recruiting New Affilliates

Go where the affiliates are

Industry conferences – CJU, Affiliate Summit, Webmaster World
Announce your arrival in advance, setup appointments
Attend all networking functions
Have business cards and program handouts
Follow up 2 days – 1 week after the conference has ended

Recruiting on the Web

Review paid and natural search listings for your keywords – look for potential affiliates.

Use Web site contact form or DomainTools.com to find contact information
Never use a template or canned email to reach out to new affiliates

Using Forums

Participate in forums, don’t actively recruit
Register with your name or abbreviation – keeps future options open
Use a promotional signature, but don’t overdo it
Never spam the board

More ways to advertise

Paid Search
Directories
AffiliatePrograms.com

Reaching out to Merchants

Get on their radar early

Develop a portfolio/resume website

Examples:

IMWave

Clicks2Customers (no kidding – he mentioned us!)

Apply to the program when you’re ready to take action

After You’ve Applied

Send a quick email with introductions, ask for a time to follow up over the phone

Do a test purchase

Subscribe to their customer newsletter

Read their corporate blog

Subscribe to news alerts

Understand their business and industry by signing up for news alerts for the companies that you market for
Communication is Key

Create an affiliate web site for your program
-eBay Affiliates
-Buy.com Affiliates
Affiliate program blog
Newsletter
Collect contact details

Initial Follow-up Call

Share your promotion strategy

Gather details about their program

-    Customer demographics, top converting products, keywords, conversion strategies, Datafeed, SEM/Trademark policy
-    If possible, ask for a product/service sample
-    Exchange contact details
-    Request access to tools you need – Datafeed, RSS, API
-    Set realistic expectations for launch
-    Schedule a follow up call for 1 month later
Negotiating Terms

Sales volume speaks louder than empty promises

Track your sales closely – evaluate month-to-month trends and identify growth

Schedule a call after you’ve been driving measurable volume for a month (or more)

Follow up Call:

  1. Know your metrics: sales, costs, ROI
  2. Project future earnings
  3. Emphasize dedication to program
  4. Understand the merchant’s margins
  5. Show your value – review promotion strategy, explain future opportunities
  6. Get a clear definition of the payout ceiling and steps in between
  7. Set clear expectations about scaling sales volume
  8. Schedule a review call for 1 month later

Maintain the Relationship

Keep communication channels open

Express gratitude

  • Send occasional “thank you” card (no email)
  • Recognize important company events, promotions, etc.
  • Offer a program testimonial

Meet up at conferencesMake affiliate manager aware of the trends you’re seeing

Strive to be a “value added reseller”

Comments

  1. R is for Revenue – CJU Presentation by Jeremy Palmer…

    If you missed CJU you can still benefit from some of the great presentations. Growing your affiliate revenue through the power of relationships… Powerpoint presentation slides at his blog below

    ……

  2. R is for Revenue – CJU Presentation by Jeremy Palmer…

    If you missed CJU you can still benefit from some of the great presentations. Growing your affiliate revenue through the power of relationships… Powerpoint presentation slides at his blog below

    ……

  3. […] I meant to blog about Commission Junction University (CJU) sooner. I was really hoping to go. It started today, September 17 until the 19th. This is the premiere affiliate marketing event. Jeremy is speaking today about Revenue and Relationships in affiliate marketing. Watch the Revenews blogs! There’s a good summary on Vinny Lingham’s blog.n Looks like Jeremy made a plug for RMAMA – Utah’s affiliate marketing association). […]

  4. Will Pay Per affiliate marketing really increase my customer base?