Fiona Gandy International Account Director's presentation on how Affiliates and Search and whether they can work together.

1. I A B S E A R C H C O N F E R E N C E 2 0 1 4
A f f i l i a t e a n d S e a r c h – f r i e n d o r f o e
Presented by:
7thingsmedia
Fiona Gandy, International Account Director
June 2014

2. Affiliates
LONDON | NEW YORK | SINGAPORE
Display
International
Leadgeneration
Mobile
PPC
SEO
Socialmedia

3. The last year at 7thingsmedia
Offices
- Singapore office opens (July)
Selected new clients
- Abercrombie and Kent
- James Villa Holidays
- French Connection
Awards
- Performance Marketing Awards (May 2014)
• Best in Retail
- DADI Awards (October 2013)
• “Best use of Affiliate Marketing”
- European Search Awards (June 2013)
• “Best use of PPC”

4. An introduction

5. | 5
@7thingsmedia
@IABUK
Complex landscape
| 12th June 2014

6. | 6
Affiliate types
• Your “affiliates” are a multi set of publishers with separate business models,
reasons for being and customer profiling…
• Ideally to have a successful affiliate channel your programme should have a
blended mixture of all affiliate types & never be over reliant on one base
| 12th June 2014
@7thingsmedia
@IABUK

7. | 12th June 2014 | 7
Content
Price
Comparison
PPC
Cashback
Voucher
Code
Content
Mobile
The future…
Evolution of affiliates
@7thingsmedia
@IABUK

8. | 8
Affiliate types
Most commonly categorised to:
• Search
• Comparison
• Loyalty / Incentive
• Voucher codes
• Content
• Niche aggregators
• Email lists
• Shopping directories
| 12th June 2014
@7thingsmedia
@IABUK

9. | 9
Search and affiliates
• Drive traffic and sales by bidding on keywords in search engines on your behalf
• They can drive traffic to a dedicated landing page or to their own custom
landing page
• Considerations:
• T&Cs
– Prohibited keywords (brand, brand + generic)
– Use of TM in ad & URL
• Control? Coverage? Incrementality?
• Communication with your current PPC agency?
| 12th June 2014
@7thingsmedia
@IABUK

10. Pros

11. | 11
Pros
• Opportunities:
• Push down the competition
• Brand awareness
• Drive footfall
• Increase conversions
• Re-engage with lost audiences
• Target generics
| 12th June 2014
@7thingsmedia
@IABUK

12. | 12
The competition
| 12th June 2014
@7thingsmedia
@IABUK

13. | 13
The competition
| 12th June 2014
@7thingsmedia
@IABUK

14. | 14
Branding and footfall
• Drive in store footfall through ad copy
• A recent example showed in-store revenue
increased by 208%
• Drove an additional 17,000 orders to offline
stores
• Increase interaction with a social audience
• 8% offer redemption rate through Twitter
advertising
• 16% Click Through Rate via Facebook
advertising
• Display
• Utilise content relationships to build out
display ads
| 12th June 2014
@7thingsmedia
@IABUK

15. Conversion optimisation
• Time stamps
• Average CTR +150%
• Average CR +75%
• Utilising Remarketing for Search Ads (RLSA)
• Recent example saw a 20% CTR
• 16% offer redemption rate (average 8%)
| 12th June 2014
@7thingsmedia
@IABUK

16. Cons

17. | 17
Managing the space
• Concerns:
• Limited control
• Branding
• CPC cost
• “Wasted budget”
| 12th June 2014
@7thingsmedia
@IABUK

18. | 18
Control and branding
| 12th June 2014
@7thingsmedia
@IABUK

19. | 19
Set clear objectives
| 12th June 2014
@7thingsmedia
@IABUK

20. Increase in CPC’s
When not managed properly:
• Periods of high CPC’s
• Reaching budget caps – reduced impression
share
• Wasted budget
Overall
Share Position Top Rate
Brand X 96.9% 1 99.1%
Wholesaler 42.6% 2.2 54.5%
Wholesaler 15.0% 3.4 10.6%
Wholesaler 14.2% 3.7 8.0%
Wholesaler < 10% 4.3 12.4%
Day 2
Share Position Top Rate
Brand X 70.3% 1 99.0%
Affiliate 64.3% 1.6 85.1%
Wholesaler 39.7% 2.4 51.3%
Wholesaler < 10% 3.7 4.9%
Wholesaler < 10% 4.3 0.4%
Wholesaler < 10% 4.2 17.6%
Day 1
Share Position Top Rate
Affiliate 88.2% 1.9 82.1%
Brand X 86.2% 1 99.1%
Wholesaler 12.7% 3 23.2%
Wholesaler < 10% 3.3 71.2%
Day 3
Share Position Top Rate
Brand X 81.7% 1.1 95.3%
Affiliate 80.2% 1.7 82.8%
Wholesaler < 10% 3.1 71.2%
£0.22 CPC
£0.23 CPC
£0.26 CPC
| 12th June 2014

21. Increase in CPC’s
£0.00
£0.05
£0.10
£0.15
£0.20
£0.25
£0.30
Wk 2 Wk 3 Wk 4 Wk 5 Wk 6 Wk 7 Wk 8 Wk 9 Wk
10
Wk
11
Wk
12
Wk
13
Wk
14
Wk
15
Wk
16
Wk
17
Wk
18
| 12th June 2014

22. 0.00%
10.00%
20.00%
30.00%
40.00%
50.00%
60.00%
70.00%
80.00%
90.00%
100.00%
0
100,000
200,000
300,000
400,000
500,000
600,000
700,000
SS13 AW13 SS14
STD
Impressions
Impression Share
| 22
Resultant impression share
• Brand X for exact match dropped from 88% to 61% impression
share
| 12th June 2014
@7thingsmedia
@IABUK

23. Case Study

24. Current SERP’s
Problem:
• Competitor brand bidding -
appearing in position 2 above the
natural listing for Furniture Village
Effect:
• Share of traffic taken by CSL and
associated sales

25. Current SERP’s
Solution:
• Introduce a new Furniture Village
voucher site into position 2
Aim:
• Push competitor to position 3 on
the SERP’s
• A P3 ad will only show above SEO
6% of the time
• CTR from top to the side will drop
considerably, significantly lowering
competitor traffic
FurnitureVillage-Offers.co.uk – Furniture Village Deals
www.furniturevillage-offers.co.uk
Order Today For Christmas Delivery! Save On Sofas, Dining Sets & More
£10 Welcome Voucher - 3yrs Interest Free Credit – Shop Our Clearance

26. SERP’s with new site
FurnitureVillage-Offers.co.uk – Furniture Village Deals
www.furniturevillage-offers.co.uk
Order Today For Christmas Delivery! Save On Sofas, Dining Sets & More
£10 Welcome Voucher - 3yrs Interest Free Credit – Shop Our Clearance
The result…
• Furniture Village owning the top
2 (paid search) spots above SEO
• Maximised on recovering traffic
through:
• A/B testing of Ad Copy
• Utilising in store offers
• 50% CTR

27. Summary

28. | 28
Summary
• Demonstrated the pros and cons of affiliates within the search space
• There is the potential to tie in to your wider search activity
• Ensure that you set clear objectives and demand transparency from all partners
• Do not be afraid to try new approaches and tactics
| 12th June 2014
@7thingsmedia
@IABUK

29. fin.
connect:
hello@7thingsmedia.com
www.7thingsmedia.com
@7thingsmedia
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