The CPA debate vs. Affiliate Programs

From: Bob Cortez <bobak_at_eagle.ptialaska.net>
Date: Tue 12 Feb 2002 15:55:18 -0600

Pesach Lattin wrote:
>Let's make it clear: affiliate programs are not for
>professional marketers, or serious websites. No real
>"expert" in the industry markets CPA programs.

The 'experts' that don't see the value of CPA and how to
make it work, obviously have more money than sense. Then
when they run out of money, they howl about how Internet
advertising doesn't work. No, what doesn't work is the
same old tired and worn out methodologies of the analog
world. Advertising tactics and strategies that even my
10 year old son can spot and is immune to. Your 'experts'
don't market CPA programs, because they aren't taught in
Business Schools. They aren't paid to think. If they
ever had an original thought, it would probably die of
loneliness. In the mind numbing corporate world,
anything that isn't in a 50 year old advertising text
book is just beneath their consideration. Ignorance is
bliss, that is until the ignorant have blown their wad
on ineffective passe advertising models and are forced
to close the doors.

Pesach Lattin wrote:
>As Anne Holland, of
>MarketingSherpa told me about affiliate programs, she
>doesn't even address it because her audience is composed of
>professionals and "vice-presidents" of major marketing
>companies.

I have a great deal of respect for Ms. Holland, and she
is absolutely right about her audience. But, her
audience doesn't comprise the entire world. Rule number
one is to sell what your audience is buying. In her
case, her audience is buying what's within their comfort
zone. Something that they hope they can transfer from
their antiquated print and mass media experience to the
relatively new frontier of the Internet. That's why
they are "vice-presidents" and not entrepreneurs
themselves. They prefer safety and security, attitudes
encouraged and rewarded in the corporate world.

There is hope however. We have at least one Fortune 500
client that has seen the wisdom of CPA, which was
negotiated into part of their email list hosting
agreement with us.

Pesach Lattin wrote:
>CPA programs are a "partnership," not an "affiliate
>relationship."

What's the hang up with labels? Partners, affiliates,
associates, agents, companion, buddy.... call them what
you like, the bottom line is the same. It's a
relationship based on two or more parties giving and
receiving equitable value.

Some of our affiliates want to simply throw up a banner
with their affiliate link and send us traffic in exchange
for the possibility of a commission. That's ok, but
that's not what works best or even what I suggest. Our
affiliate relationship is NOT just a publisher/advertiser
relationship. Affiliates can treat it as such, and just
place a few banners, but they won't be very effective that
way. They may as well just sell the banner space for $1.00
CPM.

We work with our affiliates to help them get the most out
of the relationship based on their audience, their needs,
and their goals. That may mean promoting our services as
a value add for their own products and services (web
hosting, design, consulting). It may mean using and
promoting our free products and services as a traffic and
promotion tool for their own site (marketing, advertising,
promotion) It may mean using our exclusive content on
their site to add value, increase page views, and search
engine rankings. It could mean a reciprocal agreement
where we market back to the affiliate with a special offer
to our customers, prospects and other affiliates. It could
mean a dozen different variations and combinations of these
and more ways to exchange value.

I know many other companies that run their programs in a
similar fashion. Sure, there are the hucksters out there
who are looking to get rich quick, scam the unwary, and
don't have a clue what a revenue model is. That's true
in every field. To view all affiliate programs based on
the bottom dwellers in the industry is the pinnacle of
arrogance and ignorance.

Bob Cortez
Business Development and Affiliate Manager
The ListChannel Network
http://listchannel.com/affsite/











Received on Tue Feb 12 2002 - 15:55:18 CST