Archive for Uncategorized
MailChimp and Performance Marketing
Posted by: | CommentsMy Mail Chimp account was suspended yesterday evening. It seems their terms of service state they do not allow businesses that offer – affiliate marketing services.
I did receive a response and my suspension was lifted, yet their terms still don’t clarify their definition of affiliate marketing, causing me to hesitate to build all of my client and partner correspondence within a system that could still ‘technically’ pull my service at any time.
So I followed up with Mail chimp asking their Business Dev tam to review their use of the term ‘affiliate marketing’ in their terms of service. Here’s my letters …
————————————
—–Original Message—–
From: Kay Mcfarlane [mailto:kay@heraffiliatemanager.com]
Sent: June-10-10 12:28 PM
To: ‘Compliance’
Cc: kay@heraffiliatemanager.com
Subject: RE: Mailchimp Compliance Terms of Use Violation (LTK143*****205**)
Hi Liza,
I was reviewing your terms last night and I understand you state users may not use the site for ‘affiliate marketing”. I was thinking that you should have your business dev team look more closely at that.
Affiliate marketing (legitimate) is a tool used by TOP BRANDS such as home depot, the gap, best buy etc to run CPA advertising with approved partners usually through a legitimate cpa ad network such as Share A Sale, Google Affiliate Network, or PepperJam (and many more). It is not MLM – it does not cost a publisher anything to run an affiliate program. Affiliate marketing promotes an actual tangible product or Internet service through online advertising.
In fact Mailchimp HAS an affiliate program – you call it a referral program – but you allow your members to promote your company with a tracking URL in exchange for the compensation of credit. This is the definition of an affiliate program.
Network marketers(mlm) have grabbed onto the ‘terminology’ used in the CPA advertising Industry (Performance Marketing) and unfortunately, as a result real legitimate affiliate managers , merchants, and partners are suffering when services such as Mail Chimp don’t differentiate the difference.
CPA advertising, Affiliate marketing, Performance marketing. Three terms used to describe one advertising/marketing concept used by brands throughout the USA, Canada, and globally.
“Performance marketing is a comprehensive term that refers to marketing and advertising programs in which marketers — also known as affiliates or publishers — are paid when a specific action is completed, such as a sale or lead. Advertising rates are only paid if and when a consumer makes a purchase or completes a lead form.” http://performancemarketingassociation.com/ -
As a member of the Performance Marketing Association I am expected to follow the guidelines and ethics established for Industry Professionals.
By so loosely using the term ‘affiliate marketing’ you would be also preventing large networks running ANY CPA advertising media or CPA/hybrid advertising buys (such as GOOGLE, 24/7) from using your service. Or any web publisher who runs CPA ads in their ad server, or even Brands who promote their product online using CPA media buys or ‘affiliate programs’.
I hope you will take a second look at your Terms of Service to clarify your definition of affiliate marketing.
In the mean time I would appreciate some assurance from someone to approve my use of mail chimp in regards to the “performance marketing” services I offer as an Outsourced Affiliate manager in writing before I continue to use it for all of my growing needs to communicate with my clients, their partners, and the users of my website.
Thank you for your help.
Karrine McFarlane
Outsourced Affiliate Manager
http://www.HerAffiliateManager.com
http://www.twitter.com/hermedia
Helping Internet merchants reach parents & women online.
CC: Performance Marketing stakeholders
—–Original Message—–
From: Compliance [mailto:compliance@mailchimp.com]
Sent: June-10-10 8:57 AM
To: karrine waddington mcfarlane
Subject: RE: Mailchimp Compliance Terms of Use Violation (LTK143039442052X)
Good afternoon Karrine,
Being a self-serve service, MailChimp doesn’t have a sales or support team on staff that can provide phone calls. All requests are managed through either email or live chat.
I believe there was some confusion in the content being affiliate marketing which we don’t support, however upon review of this, it seems that you’re sending affililate content but not using affiliate lists but rather people who have subscribed to your updates, etc.
I’d like to apologize for this oversight and for the trouble, I’ve added 1000 free credits to your account. Feel free to email us back if you have specific questions or comments beyond this that we can assist you with!
Regards,
Liza W.
Compliance Manager
MailChimp Abuse Desk
Affiliate Merchant 101
Posted by: | CommentsOne of the most common questions I get from Internet merchants I work with is “what is an affiliate program and why does my business need one?”
An affiliate program is not ‘NEEDED’ however, an Affiliate program is an important part of any online marketing strategy which should also include, SEO, PPC, and Social Media Strategies.
What is an affiliate program?
An affiliate program is an Internet marketing technique. One in which you as an Internet business partner with affiliates who go out and promote your products online in exchange for a commission. This commission is called a ‘CPA” or cost per action.
What is the advantage of an affiliate program over traditional online media buys?
Building a relationship with your affiliates creates an ongoing revenue stream. Where as a traditional online media buy (CPC or CPM) generates traffic to your site for the period of the campaign, your affiliate partners (once established) continue to promote your product and service on an ongoing basis.
What are the benefits of an affiliate program?
Well there are a few; driving traffic to your website, increased sales, extending the reach of your brand,lower costs for acquisitions, and generating qualified leads.
When should I start an affiliate program?
If you are looking for a ‘quick traffic solution’ then it may not be the right time. As marketers we learn that we should have a long term (five year) marketing strategy and your affiliate program is part of just that. A long term solution to provide ongoing sales (that increase over time).
Do you have a sales margin that will allow you to be competitive as an affiliate merchant compared to others in your vertical?
Do you have the time and skills to manage and build your affiliate program? Or the staffing (an in house manager or outsourced affiliate manager)? If you do not provide the resources to your affiliates that they need you won’t see the results.
What are the costs of starting an affiliate program?
A few basic start up costs;
- Affiliate tracking (either with a network or inhouse software)
- Preparing training resources, landing pages, data feeds, & creative
- Announcing and promoting your program (press releases, advertisements on affiliate forums)
- Recruiting and managing affiliates
- Establishing industry contacts
- Rewards and incentives for your affiliates
You need to factor in the cost of building and managing your affiliate program into your budgeted cost per acquisition.


