Exclusive Affiliate network Disadvantages:
Your campaign manager will outsource your campaign to other affiliate marketing networks. You will not know exactly who is marketing your offer and therefore the quality of the web traffic coming into your website is unknown.
Your affiliate manager may not be as ambitious as you. Your campaign may not get passed on to other affiliate marketing networks, and because it is an exclusive offer you can’t pass it on to other networks. Growth may become stifled.
The publishers who run your campaign through outsourced affiliate networks will not receive as high of a payout (sales commission). There are effectively two affiliate marketing networks: linksexpert Your direct affiliate network and the outsourced network. More hands are in the pot, taking money and leaving less for the publishers themselves. The decreased publisher bounty with result in decreased interest in your campaign, so the outsourced affiliate marketing networks will not be as productive as if you worked with them directly.
Most affiliate networks will want to incorporate email marketing into your campaign. This is strongly recommended, as sales or lead generation volumes could be significantly higher. If you do allow your campaign to be email marketed, you will need to be able to maintain an email suppression list. The suppression list is a list of email addresses of people who want to opt-out from receiving your offer. An opt-out link must be provided on your email marketing creative where people can opt-out from your offer. You must then supply the suppression file to your affiliate network so they can in turn pass your suppression file to their publishers. This is a part of the Can-Spam law and it can be effectively managed with a small opt-out landing page connected to a simple database. Make sure you provide an updated suppression file to the affiliate networks at least once per week.
Launching affiliate marketing campaigns that convert:
Your goal is to generate a campaign that puts the most money possible into your publisher’s pockets, while also generating a profit yourself. Keep in mind that a break-even campaign is also a successful campaign as long as you can re-market to your clients and generate additional sales, upgrades, etc.
Design your campaign to maximize conversions. Minimize the clicks needed to purchase a product, or have your lead generation form on the home page. Don’t collect information that you really do not need, or that people do not like to give out (like an SSN.) You may have to build a unique website for the affiliate marketing campaign if your current website is not fine-tuned for affiliate marketing.
You are competing against all of the other campaigns on an affiliate network, not just ones selling the same thing you are. Publishers optimize the offers they market and drop the poor performing campaigns. Design an offer that works both for you and your publishers; your affiliate manager can help.
Make the steps necessary to allow your campaign to be email marketed by the publishers. This means you will need to create Can-Spam compliant email marketing creative, an opt-out page linked to a database, and provide access to an updated suppression file (a text dump of your database suppression file.) Email marketing will significantly amplify your campaign’s effectiveness.
Develop a large selection of various marketing creative, lots of standard size banners, multiple email creative, multiple email titles and subject lines, various text links and so on. Your affiliate manager will provide you a list of critical media types and sizes, but try to provide more than their minimum requirements.
Stay on top of lead quality and fraud. No matter how advanced your validation system may get, someone will try to sneak fake data past you. Make sure that you can track all lead sources, including the subIDs that are passed on through the affiliate network.
Every time you make a change to your website, submit a test to ensure that the affiliate campaign is still running as it should be. If your website has an error preventing sales conversions or introduces tracking problems, you may be asked to pay the publishers for their lost business. Remember that your broken website will affect many companies who stuck their neck out for you.
Be prepared for large volumes of leads, or no leads at all.
The risks associated with affiliate network marketing are many, and they are significant. You must be on your toes, thinking ahead and quick to move if things turn sour. But if you come prepared and design an offer that the publishers love, the financial rewards can be enormous.