Comments on: Are You Happy To Be ‘Bought’ By a Merchant? http://www.onelittleduck.co.uk/affiliate-marketing/are-you-happy-to-be-bought-by-a-merchant-425.htm Online blog of Jason Dale, co-director of Loquax. My views on affiliate marketing, running a website and anything else that seems appropriate! Mon, 05 Sep 2011 14:55:23 +0000 hourly 1 http://wordpress.org/?v=3.1.2 By: What Can You Learn From Flying Cows? | One Little Duck - Affiliate Blog http://www.onelittleduck.co.uk/affiliate-marketing/are-you-happy-to-be-bought-by-a-merchant-425.htm/comment-page-1/#comment-39024 What Can You Learn From Flying Cows? | One Little Duck - Affiliate Blog Wed, 04 Jun 2008 08:40:40 +0000 http://www.onelittleduck.co.uk/2008/05/are-you-happy-to-be-bought-by-a-merchant.html#comment-39024 [...] it comes from a merchant in a sector where you’ve had issues with others in the recent past (Are You Happy to be Bought…, Don’t Waste Time Flogging Dead [...] [...] it comes from a merchant in a sector where you’ve had issues with others in the recent past (Are You Happy to be Bought…, Don’t Waste Time Flogging Dead [...]

]]> By: Jim http://www.onelittleduck.co.uk/affiliate-marketing/are-you-happy-to-be-bought-by-a-merchant-425.htm/comment-page-1/#comment-37070 Jim Mon, 19 May 2008 09:01:48 +0000 http://www.onelittleduck.co.uk/2008/05/are-you-happy-to-be-bought-by-a-merchant.html#comment-37070 sorry, can anyone explain what is meant be a tenancy deal in this context? Thanks! sorry, can anyone explain what is meant be a tenancy deal in this context? Thanks!

]]> By: Antony http://www.onelittleduck.co.uk/affiliate-marketing/are-you-happy-to-be-bought-by-a-merchant-425.htm/comment-page-1/#comment-36077 Antony Thu, 08 May 2008 08:38:44 +0000 http://www.onelittleduck.co.uk/2008/05/are-you-happy-to-be-bought-by-a-merchant.html#comment-36077 We use tenancy a lot on OLBG and it works really well. By default we work on EPC and the better a bookies EPC the more exposure they get on our sites. As you might expect the EPC of bookies varies substantially based on all sorts of factors like commission rates, conversion and (for the profit share deals) retention. So if a bookies normal performance is not do good and only mertis a number 12 ranking on the site then they can either improve our commission deal, implement some of our suggestions to improve conversion or pay a fixed fee to artificially boost their ranking for a period (usually a month). Or they can stay at number 12. So to me its just another form of remuneration. Whats good though is it sometimes comes from a different marketing budget so while I bookie might not be able to increase affiliate commissions they have plenty of tenancy budget left to spend. I realise you are not maybe as money driven as me, but if you are going to have them on the site then you might as well make as much per click from them as possible, and being flexible in how thats done wont hurt.. So in this case what Id have done is say 1. conversions are so poor we cant leave you on the site under the current terms 2. If you pay £1000 per month we can have you on the site, but in a low position 3. if you pay £2000/month you can have top 5 4. If you pay £4000/month you can have #1 Obviously there are illustrative figures and you need to come up with your own numbers to offset the fact that you are losing clicks to the naturally good performers Also if theres any seasonality then youd want to factor that in to the monthly prices as well We use tenancy a lot on OLBG and it works really well.

By default we work on EPC and the better a bookies EPC the more exposure they get on our sites.
As you might expect the EPC of bookies varies substantially based on all sorts of factors like commission rates, conversion and (for the profit share deals) retention.

So if a bookies normal performance is not do good and only mertis a number 12 ranking on the site then they can either improve our commission deal, implement some of our suggestions to improve conversion or pay a fixed fee to artificially boost their ranking for a period (usually a month). Or they can stay at number 12.

So to me its just another form of remuneration. Whats good though is it sometimes comes from a different marketing budget so while I bookie might not be able to increase affiliate commissions they have plenty of tenancy budget left to spend.

I realise you are not maybe as money driven as me, but if you are going to have them on the site then you might as well make as much per click from them as possible, and being flexible in how thats done wont hurt..

So in this case what Id have done is say
1. conversions are so poor we cant leave you on the site under the current terms
2. If you pay £1000 per month we can have you on the site, but in a low position
3. if you pay £2000/month you can have top 5
4. If you pay £4000/month you can have #1

Obviously there are illustrative figures and you need to come up with your own numbers to offset the fact that you are losing clicks to the naturally good performers

Also if theres any seasonality then youd want to factor that in to the monthly prices as well

]]> By: Dio http://www.onelittleduck.co.uk/affiliate-marketing/are-you-happy-to-be-bought-by-a-merchant-425.htm/comment-page-1/#comment-35918 Dio Tue, 06 May 2008 22:39:01 +0000 http://www.onelittleduck.co.uk/2008/05/are-you-happy-to-be-bought-by-a-merchant.html#comment-35918 The other problem with giving a tenancy is if you're stuck with just a couple of single brand banners, visitors will soon tune them out when looking at your site. If you can keep them varied and rotate partners, you at least stand a bit more of a chance of supplying an advert that users find interesting enough to click. The other problem with giving a tenancy is if you’re stuck with just a couple of single brand banners, visitors will soon tune them out when looking at your site. If you can keep them varied and rotate partners, you at least stand a bit more of a chance of supplying an advert that users find interesting enough to click.

]]> By: jdmobile http://www.onelittleduck.co.uk/affiliate-marketing/are-you-happy-to-be-bought-by-a-merchant-425.htm/comment-page-1/#comment-35895 jdmobile Tue, 06 May 2008 20:31:23 +0000 http://www.onelittleduck.co.uk/2008/05/are-you-happy-to-be-bought-by-a-merchant.html#comment-35895 I see your point Kieron on top performers - and it's something I'm considering for the top performers. However, I don't want pushy, poor converting, low quality merchants thinking they can just throw cash in the general direction and think they're going to be given the world. Jason I see your point Kieron on top performers – and it’s something I’m considering for the top performers.

However, I don’t want pushy, poor converting, low quality merchants thinking they can just throw cash in the general direction and think they’re going to be given the world.

Jason

]]> By: Kieron http://www.onelittleduck.co.uk/affiliate-marketing/are-you-happy-to-be-bought-by-a-merchant-425.htm/comment-page-1/#comment-35893 Kieron Tue, 06 May 2008 20:12:34 +0000 http://www.onelittleduck.co.uk/2008/05/are-you-happy-to-be-bought-by-a-merchant.html#comment-35893 I have to be honest mate, I think that you're missing a huge trick by not accepting tenancy deals. If you have the traffic to justify tenancy then why turn it down? By all means, you are totally right to turn away crap converting sites with naff offers who want to buy a number 1 slot on your site. As you will lose credibility with your users if you suddenly start promoting this rubbish. However....let's say you have 5 bingo sites that all perform well and convert OK, treat you nice and even come and visit you in Wales or wherever it is you live :) There is nothing wrong with going to those 5 guys and saying "hey, do you want to have the number 1 spot on my site? If you do then it will cost you an extra £5k per month". It's just business mate, and nothing wrong at all with that. I've been trying to tell Elaine the very same thing for years ;) I have to be honest mate, I think that you’re missing a huge trick by not accepting tenancy deals. If you have the traffic to justify tenancy then why turn it down?

By all means, you are totally right to turn away crap converting sites with naff offers who want to buy a number 1 slot on your site. As you will lose credibility with your users if you suddenly start promoting this rubbish.

However….let’s say you have 5 bingo sites that all perform well and convert OK, treat you nice and even come and visit you in Wales or wherever it is you live :) There is nothing wrong with going to those 5 guys and saying “hey, do you want to have the number 1 spot on my site? If you do then it will cost you an extra £5k per month”.

It’s just business mate, and nothing wrong at all with that. I’ve been trying to tell Elaine the very same thing for years ;)

]]> By: Dio http://www.onelittleduck.co.uk/affiliate-marketing/are-you-happy-to-be-bought-by-a-merchant-425.htm/comment-page-1/#comment-35886 Dio Tue, 06 May 2008 18:52:04 +0000 http://www.onelittleduck.co.uk/2008/05/are-you-happy-to-be-bought-by-a-merchant.html#comment-35886 I've got a few of these guys, although I've never had one offer to buy my sites! The one time I tried a tenancy deal it was a disaster and frankly, it won't be happening again. So I agree with you completely, and personally affiliate managers that act in a way that make me uncomfortable tend to really make me cross and less willing to do stuff for them. That's especially the case if I've seen a bit of case history and know the partner isn't performing as well as they like to tell me it does! :) I’ve got a few of these guys, although I’ve never had one offer to buy my sites! The one time I tried a tenancy deal it was a disaster and frankly, it won’t be happening again. So I agree with you completely, and personally affiliate managers that act in a way that make me uncomfortable tend to really make me cross and less willing to do stuff for them. That’s especially the case if I’ve seen a bit of case history and know the partner isn’t performing as well as they like to tell me it does! :)

]]> By: DougS http://www.onelittleduck.co.uk/affiliate-marketing/are-you-happy-to-be-bought-by-a-merchant-425.htm/comment-page-1/#comment-35882 DougS Tue, 06 May 2008 18:34:53 +0000 http://www.onelittleduck.co.uk/2008/05/are-you-happy-to-be-bought-by-a-merchant.html#comment-35882 When you sell your soul sell it all, cause you can't come back and play again Doug When you sell your soul sell it all, cause you can’t come back and play again

Doug

]]> By: Elaine http://www.onelittleduck.co.uk/affiliate-marketing/are-you-happy-to-be-bought-by-a-merchant-425.htm/comment-page-1/#comment-35876 Elaine Tue, 06 May 2008 15:49:57 +0000 http://www.onelittleduck.co.uk/2008/05/are-you-happy-to-be-bought-by-a-merchant.html#comment-35876 interesting blog, Jason - been pondering along similar lines myself as Allkids is geting a really super duper makeover (professionally done - parting with hard cash ) and I'm wondering whether I should start getting more 'hard nosed' 'bout how to work with merchants/networks. Should I forget the loyalty and relevancy factors (as some Networks seem to have :()) and start simply looking at the money and even offering tenancy agreements for those juicy keywords/pages at No 1. interesting blog, Jason – been pondering along similar lines myself as Allkids is geting a really super duper makeover (professionally done – parting with hard cash ) and I’m wondering whether I should start getting more ‘hard nosed’ ’bout how to work with merchants/networks. Should I forget the loyalty and relevancy factors (as some Networks seem to have :( )) and start simply looking at the money and even offering tenancy agreements for those juicy keywords/pages at No 1.

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