We continue the column #IMHO, where Admitad managers share their thoughts, stories from their work lives and an insider look at the CPA world. Today we have Danila Didik, Business Development Manager, who will tell you what happens to those advertisers who prohibit most types of traffic in their affiliate program.
It often happens that advertisers are wary of allowing many types of traffic for partners at once, because they may be prejudiced against some of them. At the same time, it is not like the advertisers are always making an informed choice based on their previous experience of work with CPA, because quite often when they start, they do not have any experience or understanding about the specifics of affiliate marketing. As a rule, such affiliate programs do not show the expected result after a while, and the advertisers start wondering what they are doing wrong.
Now, let’s start from the beginning.
Why do the advertisers wish to work with CPA with only one type of traffic:
- They are not aware of CPA specifics and its integrated approach to a wide range of types of traffic
- They are afraid because they have no understanding or experience of this work
- They are dealing with other channels on their own (within the company, i.e. inhouse)
- They regard most types of traffic as “black”, in other words, fraudulent
What can come out of this?
Often when an advertiser relies on one or a very short list of types of traffic to work with an affiliate network, it leads to a situation when after 2-6 months of work the advertiser starts wondering about the CPA turnover, magnification of that channel etc. Ultimately when the chosen strategy fails in achieving the efficiency the advertiser expected from the partners, the former starts posing the question: what is not working properly or at all?
Why does it happen?
Actually, some time after the launch of the affiliate program the growth of the traffic and the turnover shows an abrupt slowdown. That happens because the parameters initially established by the advertiser, namely, a limited selection of the types of traffic the publishers are permitted to work with, do not allow the upscaling of the figures simply due to the extremely limited circle of publishers, who are allowed to work with this program.
It is necessary to revise the rules of the affiliate program in order to allow a larger pool of publishers to start working with it. The important thing is not to be afraid to try new things. From my personal experience, after the advertiser had tried to expand the number of allowed types of traffic, in 95% of cases the advertiser continued to work with them on an ongoing basis, because he was satisfied with the quality of work and the final results.
Attention, here comes a case!
High up in the mountains, one very small, but very proud advertiser from the e-commerce segment worked only with content websites, social networks and cashback, but they did not bring him any luck (namely, traffic). Mustering up his willpower and suppressing his pride, he decided to revise the rules of his affiliate program for the publishers and add several new types of traffic to work with: coupon traffic and contextual advertising, in particular. Imagine his surprise when the turnover volume and the number of orders, not to mention incoming traffic, grew by almost 35% in the first month and continued to grow over time and bring him joy.
Intermediate conclusion — do not put all eggs into one basket (especially a small one), there are plenty of eggs in other baskets just waiting for you.
Negative cases (can’t do without them)
By all means, every situation must be approached sensibly. One should not rush headlong signing off on all the conditions without getting into the specifics! In my experience it happened a couple of times when the manager on the side of the advertiser launched the program with nearly all types of traffic allowed, without even understanding their names. After the first results came in the top management found out about it and began to take measures, after which, in a specific case the rate of order approvals dropped from 59% to 17%, which led to a significant withdrawal of partners and their traffic from that affiliate program. Therefore, I strongly recommend that you consult with the affiliate network before deciding which type of traffic in CPA should be allowed — the experts will make sure to help you and suggest what should be right for your store or service.
When you start the affiliate program for the first time, we recommend that you allow as many types of traffic as possible. After all, it is at the start that the most active promotion of the offer is taking place — this arrangement will ensure a more effective promotion, it will attract the attention of more partners and, as a result, will let you start with a boost. You can always ban some types of traffic in the process of work, but if you do not try them right away, you will not understand the possible benefit from each of them. Same as we advise the publishers to test different offers, we advise the advertisers to try all available types of traffic — perhaps, some of them will prove more profitable specifically in CPA, rather than inhouse.
Make informed choices at the start and in the process of work, consult, take interest and accept advice from your manager on the side of the affiliate network, but do not succumb to paranoia and do not be afraid to introduce new things — there are plenty of reliable and powerful publishers in any segment!