We’ve discussed reach and exposure, collaboration and economies of scale. We’ve talked about productivity, quality and flexibility. All leading up to today’s, and our final, post in the series. Is it worth it financially? It really comes down to that doesn’t it? Will this be profitable? What have others experienced? Will this add to my bottom line, or take away from it? If I engage with an agency, if I engage with JEBCommerce, will the sales generated through this relationship eclipse, surpass and extend beyond the cost of the relationship? Simply put, yes, it is worth the money, and you may find yourself asking, is it worth me not working with JEBCommerce after you see the slides below. The increased spend to get the right team on your account leads to significant lift in sales and exposure for your company. While the blended costs continue to decline, as a percentage, of the revenue produced. Combine that with the increase in marketshare, and consumer mind share, by acquiring new customers through this channel, and you’ll find that its very profitable to work with an agency like JEBCommerce. Recently we finished our 2011 analysis for all our clients. I thought it would […]
Did you know that according to an AffStat Report from 2008, a majority of good, experienced and highperformance affiliate manager can cost $120,000 or more? And that was almost 4 years ago. Now, how much would it cost for a team of two, three or even four? Now, let’s keep going with the math. Add your benefits, work station, and more. You are looking at a substantial cost for manning your affiliate program with a successful group of individuals. That is a significant outlay of cash that is, most likely, very difficult to get added to your budget this year. And it may be a good bet, but not a proven one. What happens if that first hire doesn’t work out as planned? Now you have additional costs of severance packages and a renewed search for the right candidates(s). Not to mention your time training and ramping up the individual within your organization. Outsourcing in general provides some additional benefits in terms of cost. If there are no projects to work on, you incur no costs. There is no downtime to train. You also have virtually no overhead costs, those are incurred, and spread out amongst clients, by the agency. Every affiliate […]
In our ongoing series on hiring an OPM, today let’s discuss core competencies. Your core competencies to be precise. Your organization, department or organization is set up with a certain skillset, culture and talent pool. Those things help create your core competencies. They may not be set up for the high level of outreach, flexible negotiations and other aspects of affiliate management. And ya know what, that is ok :). And that is where an agency fits in. Our core competency is affiliate management. An agency frees you up to continue focusing on yours, while ensuring that your affiliate program continues to grow by having a solid, experienced and high performance team manage it from within an organization that is optimized for that exact activity. Freeing you up to focus on the items you are good at, set up for and excel in is another great reason to hire and outsourced program manager.
I hope you enjoyed our brief video in Part 4 of this series. If you haven’t seen it yet, click here to see how your program can get increased exposure by working with an outsourced affiliate management agency or OPM. (I use those two interchangeably. I never really liked the acronym OPM, but it seems to have stuck so it’s hard to part ways with it.) Today I want to discuss speed and flexibility. Outsourced firms can simply work faster. They have the ability to collaborate, pull in additional resources as needed, and delegate work to subject-matter experts. In-house staff, on the other hand, often must find solutions on their own, self-teach to fill any gaps in expertise, and sacrifice initiatives when resources get tight. Take for example the advertising tax that is getting so much attention right now. Every affiliate program needs to be aware and knowledgeable about this issue to protect your organizations. But I can tell you first hand, it takes a lot of time to figure out this issue in general. Many hours are spent by JEBCommerce staff researching the issue nationally and researching each individual state that proposes or passes these issues. When one person has […]
The number of people on your team promoting and working your program is vital to its growth. Having a team manage your program allows for more relationships, more placements, more new business opportunities. Watch the short video we put together today to demonstrate the increased amount of exposure your program could have by working with a team like JEBCommerce.
Today we continue to explore reasons why advertisers choose to work with Outsourced Program Managers, or Affiliate Agencies. We’ve discussed heightened production, quality, collaboration and the ability to tap into a larger experience pool in part 1 and 2 and today we want to discuss economies of scale. Tell me if this has ever happened to you: You enter the quarter/year/month with a list of projects, campaigns and initiatives you need to successfully implement and complete. You enter the period with hopeful enthusiasm you structure your teams, resources and needs and begin to crack away at each item on your plan or todo list. Then an initiative enters the picture from above or another channel altogether begins a new project that no one foresaw. Immediately your list of todo’s went from mission critical, to critically ignored. Your new creative, new datafeed, additional network all got pushed off. But, how often are your forecasts changed accordingly? Probably not often. So there you are, same sales goals, same budget, but half of the items you need to finish the race. Some things just get in the way and more often than not, in-house teams are backlogged on projects due to numerous initiatives happening at once […]