Having identified the reasons for the poor performance of the affiliate programme, 7thingsmedia developed a multi-faceted strategy to combat them. Consulting USC about the previous performance and integration of their affiliate channel within the existing marketing mix, before becoming familiar with the trading calendar for the next year, formed the basis of our approach.

It was clear that there were affiliate models and key publishers missing from USC’s affiliate programme, and to solve this a second affiliate network was consulted. This dual network approach ensured USC were able to bring on board 7thingsmedia’s top tier affiliates who had been previously unable to integrate with the programme.

In addition, new affiliates were sourced using 7thingsmedia’s extensive existing relationships, as well as monitoring competitor activity to ensure that the full scale of relevant affiliates – from offer portals and the ‘long tail’ of content sites and bloggers – were on board. A comprehensive communication programme, which included an affiliate blog, weekly offers via RSS, forum posts, one-to-one meetings and full trade PR, was implemented to ensure the performance of affiliates was optimised. Moreover, 7thingsmedia established regular meetings, developing the relationship between the brand and the affiliate – working together in a personal capacity rather than merely discussing commission increases. Key to the campaign was the belief that an affiliate programme is not just a marketing tool, but about the building and maintaining of relationships.

This personal approach was supported by the use of technology such as website heat maps to identify the website placements which drive traffic and conversion rates. 7thingsmedia made full use of their knowledge of applications and software such as Skimlinks and Fusepump to increase the affiliate base.

7thingsmedia also used technology – such as our recent widget, developed with Fusepump – to respond to the needs of affiliates, assisting them in promoting fast turnaround promotions and also greatly improving conversion rates.

New customer acquisition was a key focus; we developed many ways to attract new customers, one of which was tailored voucher codes. Average order value was also increased with ‘stretch and save’ promotions which offered free delivery if the customer spent over a threshold. USC’s online and offline marketing channels were bridged in November 2009 with the development of an online code that could be used in store. 7thingsmedia’s recommendations for codes and offers were implemented quickly by USC, who had full trust in their consultancy.

Results
Affiliate Performance Data

YoY growth
Orders: 734%
AOV: 15%
Sales Value: 851%

Comments

Lyndsay McGonigle, Head of eCommerce at USC said, “the management of the affiliate activities and sales achieved by 7thingsmedia has been astonishing. The improvement of this channel has highlighted the real potential this department has for our business. We are now fully aware of just how important our affiliates are and are excitedly looking forward to seeing how far this already highly profitable sales channel will grow even further.”

Chris Bishop, Founder & Managing Director of 7thingsmedia, explained, “many advertisers make the mistake of assuming that just having an affiliate programme will result in improvement in sales; this is not the case. It is by matching the brand with the most pertinent affiliates that we have been able to deliver this success with a 10:1 return on investment, in the vital Q4 trading period. We have been able to generate an 800% plus increase in sales by investing considerable resource into granular affiliate planning, recruitment and optimisation relevant to the brand’s activity. We are exceptionally proud of our work for USC. Although USC’s results will not be the largest sales volume within the retail sector, it is the phenomenal scale of growth which is so remarkable”

Summary
In a challenging economic climate in which many brands were struggling, the USC affiliate programme achieved extraordinary growth. By the end of the year the number of affiliates on the programme had increased fivefold, and Q4 (October to December) sales increased 851% with a 10:1 return on investment.

Agency
7thingsmedia

http://www.7thingsmedia.com

18/20 St. John Street
LONDON
EC1M 4NX

Contact details
Chris Bishop
chris.bishop@7thingsmedia.com
0203 384 5651
07740 340148