Performance marketing - the key to success

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2 Performance marketing - the key to success How performance marketing can help you generate more business Let's say you've created an online shop for high-powered robotic lawn mowers and you now want to target the right audience to drive sales. But how? Change of scene: let's say you have a content website offering all kinds of information on crafts and gardening and are interested in placing the right products on your website in order to generate revenue. But where do you find the right provider? Performance marketing is the key to successful online marketing. Affiliate networks offer the professional support you need to build and develop your affiliate marketing activities. You benefit from the right partners, performance-based payment models and the ability to generate additional revenue. Online marketing: Three methods, three objectives Payment model Generally speaking, there are three classic methods of targeting shoppers in the online marketing space: display ads, search engine marketing and performance marketing. Display ads serve to increase brand awareness. In practice, this means that a company places banner ads on a range of portals aimed at effectively engaging specific target groups. Depending on the quality of the creative, this can be extremely effective, but also very cost-intensive, with the cost per sale difficult to calculate. Used effectively, search engine optimisation and marketing (SEO/SEM) can drive plenty of traffic to your website. Google & Co. also help to attract prospective customers. In both cases, however, the budget used does not necessarily result in direct sales, rather it increases your visibility on the web. And this is where performance marketing comes into its own - because its key aim is to directly increase revenue. As an advertising medium, websites are optimised to engage shoppers who are already on the verge of making a purchase or submitting their contact details. Payment is only made when an agreed action occurs, thus payment is performance-based and according to pre-defined payment models, i.e. when the user purchases a product or registers with a website. Benefits at a glance Performance marketing boosts revenue Advertisers: Performance-based payment models and transparent performance controls that enable you to track and optimise your web offering. Publishers: Monetise your website, tailor offerings to your target audience and effectively generate and increase revenue. Performance marketing - the key to success Page 1

3 Key players - who does what? Advertisers are companies that offer and promote their products or services on a website. So they need to find ways of attracting potential customers to their website and motivating them to make a purchase. Display ads and dynamic creative are an extremely effective way of attracting and engaging potential customers and driving traffic to the advertiser's website. Publishers operate websites and the associated online offerings. By applying for programs and campaigns offered by the affiliate network they can supplement their content with relevant creative for advertiser The art of being in the right place at the right time Performance marketing really is a win-win situation - offering increased revenue on both sides. Performance marketing allows advertisers access to suitable marketing channels on the web and gives publishers access to advertiser offerings likely to be of interest to visitors to their websites. products and services and earn commission when a potential customer performs a pre-agreed action - this may be clicking a link, filling out a form or purchasing a product. Affiliate networks are independent platforms on the Internet. They act as an intermediary and connect advertisers and publishers who want to increase sales and drive leads through performance marketing. They also provide the technology for measuring performance (tracking) and for the attribution of payment, thus enabling and simplifying the collaboration between the two partners - for which they receive payment. Agencies undertake performance marketing on behalf of advertisers looking to outsource such tasks. Agencies work together with the networks, develop advertising strategies and manage performance marketing campaigns. Customers/Users are the target audience. The aim is to personalise the digital shopping experience, engage potential customers, increase brand loyalty and provide the motivation to perform a pre-defined action. Performance marketing - the key to success Page 2

4 How performance marketing can benefit you The basic principle of performance marketing is to help companies selling a product or service connect with potential customers. Let's go back to our initial example: our supplier of high-powered robotic lawn mowers is facing competition from a broad range of existing suppliers and is looking to position his ultra power mower series in a competitive market. The Beginners to web marketing can be overwhelmed with the vast amount of information available - so how do you find suitable marketing platforms? And how do publishers find products and services most suited to their websites and most likely to increase sales and revenue? The answer is affiliate marketing. question is how to draw the attention of potential customers which means finding out which sites they are most likely to visit. The answer is to find the right advertising partners, i.e. publishers, most likely to drive customers back to the advertiser's website. In turn, publishers can enhance the content of their own websites with interesting products and services and attract more users. Performance marketing can be leveraged to deliver maximum sales and marketing benefits to both large-volume and small niche websites. Performance marketing - the key to success Page 3

5 And this is how it works: Our lawnmower supplier registers with an affiliate network and sets up a program. Various publishers with websites in the gardening and handicraft sectors are attracted by the program and apply to display content of the lawnmower supplier on their websites. The lawnmower supplier has created banner ads and text links that publishers can integrate on their websites. The creative draws the attention of potential customers who click the display ad. Clicking the banner or display ad redirects the user to the lawnmower supplier's online shop; the click is registered by the affiliate network. The customer makes a purchase in the online shop and orders an ultra power mower. This purchase is also tracked by the affiliate network. The network determines the payment due for the purchase and attributes it to the right publisher. There are three key payment models: PPS (pay per sale): percentage of sale value of products/services purchased in an online shop. PPL (pay per lead): fixed rate for actions, such as conclusion of an agreement, participation in a survey, registration for a test drive/newsletter, ordering a catalogue, etc. PPC (pay per click): fixed rate paid when a user clicks on a banner ad. The all-round benefits of a good affiliate network Service Particularly those new to performance marketing will appreciate our individual consultancy and support services - we offer all the guidance you need to inspire your strategy. Quality The quality of an affiliate network is dependent on a number of factors. The network must offer a broad range of advertisers and publishers. This will give you access to a good choice of advertiser programs and extend the reach of your brand. It is also important to make sure that the technical platform of the network is reliable and that it only works together with approved partners. Innovation It is also crucial to ensure that any network you select is future-proof. In today's fast evolving digital landscape, you need to know that you have access to a network with modern tools, a technical team that will help you stay abreast of any new developments, a creative team that will jump on current market trends and a team of insightful program managers to inspire strategies that will continually and sustainably extend your reach, increase revenue and provide added value for your customers Experience The ideal performance marketing partner will bring some years of experience to the table, so that you can benefit from and draw on the know-how of a team of experts with experience of a range of market sectors and target groups as well as online marketing. Security A good performance marketing network will ensure rigorous quality standards, absolute security and transparency. This is reflected in the strict vetting of potential partners and continuous tracking and reporting of all activities, as well as effective fraud prevention measures. Performance marketing - the key to success Page 4

6 International network Those seeking to extend the reach of their brand should also be looking for an affiliate network with an international presence and expertise in your market segment. This will ensure access to experts with extensive knowledge of the local markets and publishers. So what can affilinet do for you? Publishers Whatever your market focus, affilinet has expertise in all common publisher business models making it easy for you to find the perfect marketing mix. We also have a constant range of special offers, such as: Content sites Monetise your website or blog Attractive creative for offers that match your content and target audience enhance your web offering. affilinet gives you access to top brands and a broad spectrum of advertising formats that drive clicks and generate high conversion rates, thus ensuring sustainable revenue and growth. Reward/cashback programs: Create your own ideal marketing mix affilinet offers publishers easy access to some 50 million product data feeds of excellent brands. Simply tailor your product selection to match your target audience. Media publishers: Wide coverage for quality ad spaces We offer the ideal network for publishers who buy advertising space on popular high-quality websites to promote affiliate programs. Our network offers powerful affiliate program partnerships with First steps for publishers 1. Register with an affiliate network. An affiliate network looking to build a long term proactive and collaborative partnership will rigorously vet all applicants. 2. Choose the programs most likely to appeal to your target audience and contact the respective advertisers. 3. Once you have been approved by the advertisers, you will have access to a huge range of creative to integrate in your website and you can be up and running immediately. advertisers offering you a broad range of creative to enhance your web offering. affilinet also supplies reliable tracking solutions for performance-based display advertising. Voucher portals: Great choice, great quality affilinet gives you access to a huge range of voucher codes, discount deals and reward/cashback incentives that will help drive traffic to your site. We constantly have some 500 vouchers on offer from our advertisers, with new ones being added all the time. Choose the vouchers most likely to appeal to your target audience to drive sales and increase revenue - it really couldn't be easier. Performance marketing - the key to success Page 5

7 Advertisers Benefit from our industry expertise - affiliate marketing is ideal for driving sales and conversion rates in any industry. The more expertise and experience your partner brings to the table, the better. affilinet's secure platform offers access to a wealth of brands, from the big to the niche, with a focus on the following four core market segments: Online Retail, Telco, Travel and Finance. As experts in these market segments with more than 15 years experience, affilinet offers all the guidance you need to tailor marketing strategies, programs and campaigns and a strong international network guaranteed to maximise revenue. Online retail - from the big to the niche affilinet offers more than 1400 programs in the online retail market space. Our extensive and insightful knowledge of the online retail sector enables advertisers to develop and optimise programs that deliver real value and return. Our online retail network includes some 45,000 publishers from all industries - from fashion over gifts and household goods, through to electrical goods and pharmaceutical products. Telco - strong connections First steps for advertisers 1. Register - in order to understand your goals and expectations, you first need to register with an affiliate network. 2. Following a consulting session, the network works with you to set up the ideal program. This includes determining the most suitable payment model and the provision of effective creative. 3. Once your program is made available via the affiliate network platform, publishers can apply to be your partner and you can be up and running immediately. affilinet has strong partnerships within the telecommunication market space. Our telco market space covers mobile, landline, cable and network access. Our knowledge and experience provide you with industry-specific insights and benchmarks that help you develop bespoke performance marketing strategies geared to your needs. As one of Europe's biggest affiliate market spaces, affilinet offers more than 300 Telco programs and long term collaborations with key Telco players. Travel - on the road With some 350 programs in the travel sector and more than 22,000 publishers across Europe, affilinet's dedicated team offers travel advertisers all the guidance they need to drive sales and leads and achieve their revenue and growth targets. Finance - we have our finger on the pulse Whatever your market focus, whether insurance, finance services or credit, affilinet offers the optimum framework and target groups for you to effectively market your finance products with performance marketing. Our regular security and quality checks ensure high-quality traffic. We hope you enjoyed our introduction to the world of performance marketing. If you have any further queries, please contact us at Performance marketing - the key to success Page 6

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