At least that’s the trend in affiliate marketing these days – online marketers want to be in the company of the advertiser. Affiliates and networks form a ladder that leads up to the advertiser; each rung down means less of a payout for the affiliate. Everyone is scrambling to get to the top of the ladder, to get cozy with the advertiser, and trying to grab the exclusive relationship as the agency-of-record. It recalls images of Indiana Jones as he hangs from a broken rope bridge in the climax of Temple of Doom. Jones and others dangle from the bridge over gator-infested waters below; first to make it to the top wins. It’s not unlike the environment that has developed in affiliate marketing: be at the top of the food chain – or perish.
The advertiser pays a certain amount per action, whether it be a sale or a lead. Networks work with their affiliates in order to generate a good volume of actions for the advertiser’s campaign. Those affiliates work with sub-affiliates and so on until you have a long line of publishers running the campaign. Each one takes a margin as they pass the offer down the ladder until the offer isn’t worth the payout and the ladder ends.
In the performance-based world, it pays to be on top, literally. The higher up the chain one is, the higher your cost-per-action and subsequent profits. Networks who take a margin, live and die by this. The old adage, ‘nature hates a middle man’ might not really be that old, but it definitely holds true. In this increasingly connected industry, everyone knows everyone else, so why shouldn’t your publisher be on the same rung of the ladder as you – and get the same amount of money as you? Being at the top means that companies better have their own campaigns, their own lead buyers, and their own creative teams if they wish to remain successful at the top. Just make sure that Indiana Jones doesn’t dislodge your foothold on his way up the ladder like he did to many a hapless henchman.
We created Intela LeadGen back in 2008 for precisely this purpose. In the months since, LeadGen has created a stable of Intela exclusives that we can offer to our network on the first rung of the ladder. The team rolled out Intela’s UK and Australian paths, Rewards Today and Aussie Prizes, and have built out some great email lead campaigns alongside them. The anti-aging health and beauty market has never been hotter and Intela’s work on Natural Botox in the US and UK has resulted in a top performing exclusive. Collateral Exchange is another exciting offer that Intela offers exclusively for top payouts. This is a short term loan campaign that allows consumers to exchange jewelry or other valuables for the cash they need while being able to get their collateral back! Stay tuned as LeadGen has many more exciting projects ready to roll out in 2009.
By: Jay Andrews, Account Manager
