Tag Archives: CPM

5-Part Series on Affiliate Marketing Programs

5-Part Series on Affiliate Marketing Programs

Before making a decision if an affiliate marketing program is right for your small business, read each post and then consult your marketing coach for more information.

Affiliate Marketing Program Basics

There is so much information to share – this series barely scratches the surface.  That’s why a good marketing coach is a key element for a small business without a marketing staff.

Coaching everyday…

-KK

Have experience with affiliate marketing programs? What’s missing from the posts above? Comments are welcome!


Affiliate Marketing Program Basics: Choosing an Affiliate Program Network (Post 4 of 5)

Pick One – the right one!

A key element to a successful affiliate program is selecting the right network. This can be a daunting task.  There are many options to choose from and some are better than others.  There are four top tier players in the affiliate marketing space.  However, the top networks are prohibitive for most small business owners.  Some of the smaller networks may be just the right fit for your small business.

 To implement an affiliate program you must already be selling your product or service online. Most programs require merchants/advertisers (that’s you) to meet a minimum monthly payout in commissions or a minimum monthly fee if the commissions threshold is not reached.

As a small business owner keep the following in mind when choosing an Affiliate Program Network:

  1. Initial investment in creative, start up fees, access fees, transactions fees, etc.
  2. Size of the network
    1. Bigger is not always better.  Depends on your goals – are you looking to reach mass market? Are you looking for a niche audience?
  3. Players in the network
    1. Who are other advertisers and publishers on the network?
  4. Support provided by the program provider
    1. Do they have both the option for you to manage the program or for them to manage it for you?
  5. Cost for services of the provider (everything from self-managed programs to complete management services)

Affiliate Networks worth considering

  1. Shareasale
  2. Pepperjam Network
  3. Panthera Network

Want to look beyond these three networks? Instead of recreating the wheel and compiling a list of affiliate networks I have provided links to a few robust lists.

Comprehensive Lists of Affiliate Networks

  1. Associateprogams.com
  2. Affiliateseeking.com
  3. The Top 10 List of the Best Affiliate Networks (selfseo.com)

As always, don’t get in over your head.  Consult with a marketing coach who has experience – even if it is only to ask a few questions. It will be time well spent.

-KK


Affiliate Marketing Program Basics: Affiliate Marketing Terms (Post 3 of 5)

Affiliate Marketing Terms

Part of educating yourself about any marketing medium is understanding the jargon.  It is easy to get caught up in alphabet soup.  It will be difficult to select the proper mediums for your marketing strategy if you do not have some level of understanding about the medium. Education is part of the puzzle. Listed below are several terms related to affiliate marketing.  This is not meant to be an exhaustive list but it will give you the basics. As always consult your marketing coach for more information.

Affiliate Marketing
Affiliate marketing is a marketing practice in which a business rewards one or more affiliates for each visitor or customer brought about by the affiliate’s marketing efforts. Examples include rewards sites, where users are rewarded with cash or gifts, for the completion of an offer, and the referral of others to the site. Source: Wikipedia

Publisher
A publisher, also known as an affiliate or reseller, is an independent party that promotes products and services of an advertiser in exchange for a commission on leads or sales. A publisher displays an advertiser’s ads, text links, or product links on their Web site, in e-mail campaigns, or in search listings. The publisher is paid a commission by the respective advertiser when a visitor takes a specific action such as filling out a form, subscribing to a service (both lead examples) or making a purchase (a sale).

Advertiser
An advertiser, also known as a merchant or retailer, is a Web site or company that sells a product or service online, accepts payments and fulfills orders. Advertisers partner with publishers to help promote their products and services. Publishers place advertisers’ ads, text links, or product links on their Web sites or include them in e-mail campaigns and search listings in exchange for commissions on leads or sales.

Performance-based Marketing
Paying for actions taken by a consumer as they occur on the Internet, rather than paying up front for advertising space. Any type of revenue sharing program where a publisher receives a commission for generating a lead or sale for an advertiser.

Commission Payout
A commission payout is an amount of income received by a publisher for some quantifiable action such as selling an advertiser’s product and/or service on the publisher’s Web site.

Click-through (also called click)
A click-through refers to the action a consumer takes when they are referred from one Web site through a link or advertisement and is taken to another Web site. Click-through ratio is the percentage of clicks for the number of advertising impressions displayed.

CPA (cost per action)
CPA is a metric for online advertising where a rate is set for every action that is taken by a user.

CPM (cost per thousand impressions)
CPM is a metric for online advertising where a rate is set for every thousand impressions.

Impression
An impression is the viewing of an advertising banner, link, or product on the Internet.

Conversion Rate
The conversion rate is the percentage of visitors who take a desired action. The action that determines conversion is determined by the advertiser and may be a sale on the advertiser’s Web site, a completed lead form, or another action.

-KK

Source: All terms unless specified were taken directly from Commission Junction one of the four large players in the Affiliate marketing space (more on CJ on Day 4).

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