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  1. #1
    Super Dawg Member Phil Kaufman aka AffiliateHound's Avatar
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    Thumbs down Primer on How to end an affiliate program
    A new affiliate manager just took over a previously successful program and he began his tenure by sending this email out to his affiliates.

    Dear X-Merchant Affiliates,

    First Id like to introduce myself; my name is XXXXX and I was recently hired by X-Merchant to take over the management of the website and all aspects of online marketing. Before coming to X-Merchant, I was with Y-Merchant for a couple years as an SEO Project Manager. Before Y-Merchant I spent many years at Z-Merchant managing the e-commerce department. I am happy to be with X-Merchant and one aspect of my duties will be to manage the affiliate program.

    There is a lot of concern that our affiliate program is not cost effective. There has been some talk of doing away with the program all-together. I think the affiliate channel is an important one and I really want to make it work.

    Ive decided to reset the program and do a complete review of the channel. My sincere apologies to you all, but I am changing all of the commission rates back to 10%. The default rate has already been changed and I will also go through and change all the manually set rates back to 10%. I am also changing the referral gap from 90 days to 30 days. Again, I apologize for the changes; but I really need to get our customer acquisition costs down.

    Thank you in advance for your patient and understanding. Please feel free to reach out if you have any concerns or questions.

    Sincerely,
    My commission rate is cut in half, 20% down to 10%, but I had not been promoting them since their prior OPM left a year or two ago.
    Since June 10, 2012 a vegan aarf but still writing the Hound Dawg Sports Blog
    "If you don't have time to do it right, when will you have time to do it over?" -John Wooden;
    "Raj, theres no place for truth on the internet." -Howard Wolowitz[/SIZE]

  2. #2
    Beachy Bill's Avatar
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    LOL, Phil. I just came here to do a similar post. Mine was going to be titled "My sincere apologies to you all." My commission was cut the same and all of our cookies went from 90 days to 30 days.

    Then follow it up with my response to Cellars Wine Club with:

    My sincere apologies to you, too.
    I am (tonight) replacing your links with those of a competitor who takes their affiliate channel seriously. Again, I apologize for the change; but I really need to promote merchants that have a clue.


    Bill / Marketing Blog @ 12PM - Current project: Resurrecting my "baby" at South Baltimore..
    Cute Personal Checks and Business Checks
    If you are too busy to laugh you are too busy.

  3. #3
    OPM/Moderator Hectic GHC's Avatar
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    Who needs bumps in commission? Raise their hands.
    Greg Hoffman
    Affiliate Marketing Advocate of the Year 2016; Best OPM/Agency - 2014; Best OPM/Agency, Five Years in a Row - ABestWeb.
    Visit Greg Hoffman Consulting

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  5. #4
    OPM/Moderator Hectic GHC's Avatar
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    There was a solid reason why that OPM left several years ago and signed a better client, one that appreciates affiliates.
    Greg Hoffman
    Affiliate Marketing Advocate of the Year 2016; Best OPM/Agency - 2014; Best OPM/Agency, Five Years in a Row - ABestWeb.
    Visit Greg Hoffman Consulting


  6. #5
    notary sojac Herb ԿԬ's Avatar
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    here was my reply:

    Affiliate marketing is not costing you very much compared to advertising. I see you've brought the advertising mindset with you.

    I'm one of the original affiliates from back when Cellars had a datafeed with bottles.

    I've seen the program go steadily downhill over the years.

    What else can I say?

    Herb


    ---------------
    guess he doesn't want affiliate email:

    Remote host said: 554 Sending address not accepted due to spam filter

    Oh, well . . .
    Last edited by Herb ԿԬ; May 13th, 2015 at 09:29 PM.

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  8. #6
    ABW Ambassador SunshineTricia's Avatar
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    They kicked me out of their program years ago for complaining about it. I'm surprised it is even around anymore! Looks like the ship has just been sinking more slowly than I expected.
    --Tricia Meyer-- I love being the exception to the rule.

    Tricia Meyer | Helping Moms Connect | Wine Club Reviews and Ratings | Hunger Games Fan

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  10. #7
    OPM and Moderator Chuck Hamrick's Avatar
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    here was my reply:

    Affiliate marketing is not costing you very much compared to advertising. I see you've brought the advertising mindset with you.

    I'm one of the original affiliates from back when Cellars had a datafeed with bottles.

    I've seen the program go steadily downhill over the years.

    What else can I say?

    Herb
    Well said Herb and it speaks to the core of the problem. Affiliate sales should be compared to dealers (dropship) and wholesalers. Wholesalers buy the product at 50% of retail and affiliate (with all costs added) sell at 75% of retail. So affiliates are more cost effective and should be viewed as such. Instead they are looked at as a advertising channel and given a cap on cost. Its hard if not impossible to change the merchants mindset. Also some merchants feel they can buy sales with paid search and seldom look at the total cost per sale for that channel.

  11. #8
    Super Dawg Member Phil Kaufman aka AffiliateHound's Avatar
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    Has anyone who emailed the new AM received a reply? I have not.
    Since June 10, 2012 a vegan aarf but still writing the Hound Dawg Sports Blog
    "If you don't have time to do it right, when will you have time to do it over?" -John Wooden;
    "Raj, theres no place for truth on the internet." -Howard Wolowitz[/SIZE]

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  13. #9
    Beachy Bill's Avatar
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    I emailed a response last evening and have received no reply.

    I did not point out this thread. He needs to see it. Well, maybe not - I doubt he will care because he used to work for a couple of very large merchants who typically don't care about their affiliate channel.

    BTW - From his introductory paragraph it sounds like he's had problems holding a good job.
    Bill / Marketing Blog @ 12PM - Current project: Resurrecting my "baby" at South Baltimore..
    Cute Personal Checks and Business Checks
    If you are too busy to laugh you are too busy.

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  15. #10
    OPM/Moderator Hectic GHC's Avatar
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    The number one affiliate in the industry stopped sending them traffic in November. No wonder it's not profitable.
    Greg Hoffman
    Affiliate Marketing Advocate of the Year 2016; Best OPM/Agency - 2014; Best OPM/Agency, Five Years in a Row - ABestWeb.
    Visit Greg Hoffman Consulting

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