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01Intro to
Affiliates
02Market Size
04A quick take
away
03Key
Developments
01Intro to Affiliates
Affiliate marketing is a
digital channel in which
an advertiser rewards
affiliates on a CPA basis
for their role/contribution
on the advertiser’s site
IABUK.NET
The Affiliate Model
Advertiser, Client or Brand
Affiliate Network
Affiliate or Publisher
Agency
Affiliate Network
Affiliate or Publisher
Affiliate or Publisher
Affiliate or Publisher
Customers
The Affiliate Model
Advertiser, Client or Brand
Affiliate Network
Affiliate or Publisher
Agency
Affiliate Network
Affiliate or Publisher
Affiliate or Publisher
Affiliate or Publisher
Customers
Visit
The Affiliate Model
Advertiser, Client or Brand
Affiliate Network
Affiliate or Publisher
Agency
Affiliate Network
Affiliate or Publisher
Affiliate or Publisher
Affiliate or Publisher
Customers
Click
The Affiliate Model
Advertiser, Client or Brand
Affiliate Network
Affiliate or Publisher
Agency
Affiliate Network
Affiliate or Publisher
Affiliate or Publisher
Affiliate or Publisher
Customers
Click
Track
The Affiliate Model
Advertiser, Client or Brand
Affiliate Network
Affiliate or Publisher
Agency
Affiliate Network
Affiliate or Publisher
Affiliate or Publisher
Affiliate or Publisher
Customers
ClickCookie drop
The Affiliate Model
Advertiser, Client or Brand
Affiliate Network
Affiliate or Publisher
Agency
Affiliate Network
Affiliate or Publisher
Affiliate or Publisher
Affiliate or Publisher
Customers
Sale
The Affiliate Model
Advertiser, Client or Brand
Affiliate Network
Affiliate or Publisher
Agency
Affiliate Network
Affiliate or Publisher
Affiliate or Publisher
Affiliate or Publisher
Customers
Pixel fire Sale
The Affiliate Model
Advertiser, Client or Brand
Affiliate Network
Affiliate or Publisher
Agency
Affiliate Network
Affiliate or Publisher
Affiliate or Publisher
Affiliate or Publisher
Customers
Track
Sale
The Affiliate Model
Advertiser, Client or Brand
Affiliate Network
Affiliate or Publisher
Agency
Affiliate Network
Affiliate or Publisher
Affiliate or Publisher
Affiliate or Publisher
Customers
Reward
The Affiliate Model
Advertiser, Client or Brand
Affiliate Network
Affiliate or Publisher
Agency
Affiliate Network
Affiliate or Publisher
Affiliate or Publisher
Affiliate or Publisher
Customers
Sale
Click
Lo
wH
igh
Low High
Risk
Sales
Cost per mile (CPM) Cost per click (CPC)
Cost per lead (CPL) Cost per action (CPA)
Payment Models
02
Market Size
Advertisers running
affiliate programmes in
the UK
Return on every £1
spent through affiliate
marketing
Spend in the channel,
up 8% YoY
Revenue generated
for advertisers, up
14% YoY
Affiliates working on
UK affiliate
programmes
Transactions made
4,000 £1.1bn 12,000
£15 £16.5bn 155m
2014 OPM study
Source: IAB/PWC OPM study 2014
Source: Deloitte
2014 OPM study
38%
25%
16%
11%
10%
% of spend
Cashback Price Comparison Voucher Content Other
79% are
savvy
shoppers
03
Key Developments
Source: Deloitte
73%
52%
16%
76%
62%
36%
75%
70%
50%
79%
76%
60%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
Laptop Smartphone Tablet
UK device penetration
2012 2013 2014 2015
Cross device tracking and attribution
Customer profiles built for
cross device tracking and
targeting purposes
Cross device transactions
tracked since March 2015
Revenue tracked via cross
device tracking since March
2015
Average % of total sales for an
affiliate programme, tracked
through cross devices
6.9
million
57,000
£4.2
million
6%
Source: Affiliate window
Cross device tracking and
attribution
Online to offline
How can
we close
the online
to offline
loop? 79%
79%
76%
60%
?
Source: Deloitte and IAB
Source: IAB O2O Greenpaper
Online to offline survey
100%
Is tracking O2O traffic important?
Yes No Don't know
32%
60%
8%
Do you have a 2015 strategy to track O2O?
Yes No Don't know
24%
8%
48%
20%
Who will pay for O2O?
Online In-store Other Don't know
Card Linking In-store
Voucher
04A quick take away
Data and analytics
Percentage wanting to improve skill
SEO
Percentage wanting to improve skill
Digital strategy
Percentage wanting to improve skill
Mobile
Percentage wanting to improve skill
Affiliates
Percentage wanting to improve skill
Source: Smart Insights
A quick take away
40% 39% 37% 36% 36%
“Affiliate marketing is the most demanded
skill amongst Digital Marketers”Mark Jones, PerformanceIn
Thanks and
enjoy the conference
Online to Offline
Study
Simon BirdGeneral Manager, Savoo
Daniel LancioniHead of Affiliates
om
