This blog was first posted on emarketingandcommerce.com.
by: Craig Greenfield, SVP Performance Innovation
In managing affiliate programs, large online advertisers typically rely on the account management services provided by the leading affiliate networks. Given that such services are often included in network transaction fees, many advertisers incorrectly assume that affiliate networks will deliver tactical and strategic services to boost performance.
Advertisers have another choice when it comes to affiliate program management — break away from the network. Your interactive agency, which manages your search, email, display and social media campaigns, may be the best choice for managing your affiliate program. Usually there aren't incremental costs associated with transferring the management of an existing affiliate program from a network team to an agency team.
Depending on the contractual terms in place between the advertiser and network, most networks will lower their transaction fees (if given proper notice), enabling the advertiser to pay the difference between the original and new fees to the agency as payment for their management services.
Integrating affiliate program management with the management of your other online channels can boost overall marketing performance while improving efficiency. The first benefit is goal alignment. In cases where you have a long-standing relationship in place with your agency, extending that relationship to the affiliate channel would allow the agency to leverage its knowledge of your marketing goals to align those goals across channels.
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