At DMA 2010, Rachel Corcoran, the director of compliance at Adknoweledge's affiliate division, offered the following compliance best practices for advertisers in an interview:
It’s budget time and marketers are asking, “Where should I put my money to make the most of my affiliate marketing program? Which channels work best? What strategies should I employ to get the most out of my spend?"
As the original performance marketing channel, affiliate marketing has been effectively driving performance-based sales since the mid-90s. But the characteristics of an effective affiliate program have changed dramatically over the years. Whether marketers choose a closed or open affiliate program, or optimize their program monthly or annually, they should view affiliates differently today than they have in the past.
Affiliate marketing has become more complex over the last few years, thanks in part to social networking sites being increasingly identified as affiliate marketing sites. What's more, affiliate marketing, display, search and other types of online marketing are merging, making it difficult to attribute which channels work and which don't. As a result, it behooves retailers to change their approaches to affiliate marketing and be aware of further changes coming.
n a mixed ruling in a click fraud lawsuit, U.S. District Court Judge Jeremy Fogel in San Jose, Calif. has held that marketers can sue Facebook for allegedly charging them for "invalid" clicks, but not for "fraudulent" ones.
In the decision, issued Thursday, Fogel tentatively agreed with Facebook that a disclaimer in its ad contract protects it from liability for fraudulent clicks generated by third parties -- such as clicks generated by an advertiser's competitors. But Fogel also ruled that the disclaimer was ambiguous regarding Facebook's liability for its own errors in counting clicks.
For the past three years, Amazon.com and the state of New York have been sparring over whether marketing affiliates based in New York constitute nexus for the online retailer, thus requiring the collection, tracking and reporting of sales and usage tax for affiliate-driven online purchases.
A monthly online feature for Target Marketing readers (also running bimonthly in Target Marketing magazine’s Nuts & Bolts department), Affiliate Spotlight introduces you to a variety of players on the affiliate marketing scene. Check back monthly for the lowdown from Google Affiliate Network's Dan Chiss on the fastest-growing and top-performing affiliates around.
The Art Institute of Chicago wanted to add a splash of color by injecting youthful new blood into its membership. What it got by advertising through a Web site that geo-targeted consumers was 5,000 new members in the demographic it was trying to reach—18- to 35-year-olds—upping its rolls by 5 percent or 6 percent in one day, says Andrew Mason, founder of Chicago-based publisher Groupon. The bonus was that 97 percent of those signing up for the 50 percent-off membership never had been institute members before.
While it's a common refrain from most companies to say that data is at the heart of their marketing decisions, very few back up their words with action like Vocus. The provider of on-demand software for public relations management showed this in its latest quarterly direct mail offering, dropped in mid-July.