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  1. #1
    ABW Ambassador mailman's Avatar
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    We would like to thank those of you that have sent business our way over the past two years. As Commission Junction''s only true specialty toy store, with 10,000+ traditional toys, it is too bad that we couldn''t get the program to fly.

    Unfortunately, Commission junction has been a losing venture for us from the beginning. It is not a true pay for performance program, but rather a "pay no matter what" program. Can you believe that with a total of $39 in sales for the month, we are 726th of 1311 advertisers? That means that 585 advertisers are paying CJ $250/mo to get less than $39 in sales. Such a deal!!!

    We can no longer justify the financial drain associated with being a CJ advertiser.
    We will evaluate other affiliate management programs and reaffiliate when we find the right one. If you will miss our nice toys and outstanding customer service you may want to check in from time to time to see who we become affiliated with. If anyone has a suggestion regarding a more cost-effective affiliate program, please e-mail me at jackp@ccr1.com. Our website is http://www.toy-shoppe.com
    I think it's time we set up our own third party program.We could start up our own company with a Board of Directors and all be shareholders.
    1300 advertisers times $250.00=$325,000 per month=$3.5 million for a year.Nice conversion!!.Subtract all the costs and we could have a nice profit
    "Affiliates Strike Out On Their Own And Form New Advertising Program"
    Gerry

    [ 04-23-2002: Message edited by: mailman ]

  2. #2
    ABW Veteran Student Heyder's Avatar
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    Someone posted this email yesterday already but looking at their website I can see why they weren't able to produce.

    It's very small-time looking

  3. #3
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    Heyder, <BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR>Someone posted this email yesterday already but looking at their website I can see why they weren't able to produce.
    It's very small-time looking
    <HR></BLOCKQUOTE>

    Unless I am not understanding your comment, I did look at their site and I can tell you I have seen much worse. Example... using your site, I typed toys into the search and came up with only 3 options, the first was a travel site only one was a toy site. You want to see small time, look at it. http://www.toyconnection.com/

    I think the merchant has a point.

    [ 04-23-2002: Message edited by: Tribune ]

  4. #4
    2005 Linkshare Golden Link Award Winner  ecomcity's Avatar
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    "Can you believe that with a total of $39 in sales for the month, we are 726th of 1311 advertisers? That means that 585 advertisers are paying CJ $250/mo to get less than $39 in sales. Such a deal!!! "

    Can you believe that CJ performs due dilligence on new merchant applications? This so called merchant was after FREE advertising and traffic for his 250.00 per month at the expense of the affiliates. I promoted them since the beginning and the lazy wanks never even bothered to offer seasonal specials nor any new creatives to garner in clicks. I assumed correctly that this one and many more like them are one man dog-n-pony shows who budgeted 1000.00 for their web sites and feel they got hosed when 10,000 clicks produced 39.00 in gross sales.

    If you have nothing to offer savvy shoppers DO NOT open up a e-commerce affiliate enabled program. Clean house CJ or your turn over in small mom-n-pop operations or crooked merchant aggreggrators that don't convert will be over 50% per year. That's way to much work for us to putup then pull down links and spend money to promote the likes of Toy-Shop.com.

  5. #5
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    I agree with you Ecom but the problem seems to be two way. It would seem to me that CJ ought to be doing a better job of checking out merchants for their benifit and for the benifit of the publishers. I would think the $250/month they charge as a merchant fee is more than consumed in the fixed costs of their overhead tracking. One would think that is the basis for the fixed cost. Forget the Mall of America. This is the worlds biggest shopping mall. $250/month is a small price to pay to place your goods in this mall.
    Perhaps CJs tracking would get far fewer complaints if the population were reduced.

  6. #6
    ABW Veteran Student Heyder's Avatar
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    Tribune you didn't continue your search for toys to the next non-sponsored matches. http://searchany.com/search/sea rch.cgi?Realm=&Match=1&Terms=toys&nocpp=1&maxhits=10

    Anyways I'm not lost on the point of all of this. I don't at all think the merchant is completely at fault. I just expect my CJ merchants to appear first rate and they don't. First rate in my book would be kb toys or toysrus. I guess I've always looked too highly at CJ's merchants.

    The figure knocks my socks off with such low earnings by so many merchants.

    [ 04-23-2002: Message edited by: Heyder ]

  7. #7
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    Mike makes a good point about the UNDER budget folks.

    90% of all merchants on Cj are underbudgeted.
    First to have a store you have to have shopping cart that works and tracks and it had better be database oriented or you will be shafted if you get any kind of order flow.

    This backend stuff costs real money.

    Two, if you build a store people will come. It may be true...but there is no guarantee they will buy. You have to SELL on your site not just list products andprices.

    $250 for a listing in the Cj mall is a steal, but it's still $250 out of pocket if you do not sell anything.

    I seriously think the future of CPA is doomed if people keep using this approach.

    Now this doesn't mean that CPA is going to die, just 'store' concept of selling online.

    I think if a CJ merchant set up a SALES PAGE like the guys who are doing well on Clickbank or follewed the advice of the major marketing gurus like Jay Abraham we's all make a ton.

    One page with killer sales copy for one product with one order form.

    We are working doing this thru CJ. It would work like this - I have 7,000 CJ affiliates.
    If each one sent me 1 semi-targeted visitor
    per month to this ONE product page and I make 70 sales and pay $5 ($4.00 to affiliate + $1 for CJ) for each order, I have to pay a total of $600 to get 70 sales or about $9 per sale. If I clear $5 per sale. It's a gold mine based on ROI.

    You could make it $10 if you can make it pay.

    And it dosen't matter what the price of what I am selling is as long my mark up is $15 more than my total cost.

    Think about this for a bit. You buy something wholesale that people want and work off a total mark up of $15 after you add the shipping to the price.

    Even Walmart can't beat your price.

  8. #8
    ABW Adviser Panel Dynamoo's Avatar
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    <BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR>Can you believe that with a total of $39 in sales for the month, we are 726th of 1311 advertisers? That means that 585 advertisers are paying CJ $250/mo to get less than $39 in sales. Such a deal!!! <HR></BLOCKQUOTE>

    Yeah I can believe it because it's relatively easy for a publisher to get 3/5 or even 4/5 "$"s at CJ, so there must be plenty of advertisers out there making actually zilch.

  9. #9
    Super Sh!t Stirrer SSanf's Avatar
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    <BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR>we are 726th of 1311 advertisers? That means that 585 advertisers are paying CJ $250/mo to get less than $39 in sales. <HR></BLOCKQUOTE>

    This makes me feel like the whole affiliate marketing thing is a great big scam.

  10. #10
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    Don't forget the 700 or so making MORE. There are quite a few 5$ merchants, some of whom seem to be raking it in hand over fist judging by the combination of EPC and 5$...

    It's not a scam. It's just the normal seperation of a large group into levels of performance. You would see the same type of thing if you compared the grades at a university. There are a few A students, more B students, great gobs of C students...and then there are the D and F students who should give it up!!

    The difference is, the universities usually kick out the F students (and sometimes the D students) so you don't see too many of them on campus, while on the other hand, CJ is allowing their "failing students" to stay around--weighing down the overall performance.

  11. #11
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    Affiliates made a few cents off that program. The merchant grossed $39 in sales. CJ made $250. How exactly is the monthly fee keeping out bad advertisers and those only looking for clicks at our expense?

  12. #12
    ABW Ambassador mailman's Avatar
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    SSanf. Yes said it right! The whole affiliate thing is a scam! How many,affiliates are really making money? Oh yes I agree there are some that are,but out of 2000 members how many are? One of the most successful sites is this one.Haiko found a market niche and filled it. I hope he makes money,he deserves it.
    Gerry

  13. #13
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    There are a small number of super-affiliates and a small number of super-merchants, the rest make the $39 and complain about it.

  14. #14
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    Well, I make good money every month but only about 10-15% of my monthly earnings are from cj merchants. I've been averaging about $600 a month at cj for awhile. I don't know if that is good or bad :confused: , but the few merchants I promote sell well for me. I personally wouldn't have promoted that merchant for a variety of reasons, but basically because their products wouldn't make me enough money to bother with it.

    I think there are merchants who do extremely well at cj, and affiliates who make really great $$ every month. Unfortunately, the majority of both affiliates & merchants haven't developed (discovered?) the way to earn what they would like to.

  15. #15
    ABW Ambassador iucpxleps's Avatar
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    WEll at least for me the whole affiliate thing isnt scam eheh [img]/infopop/emoticons/icon_biggrin.gif[/img]

  16. #16
    ABW Ambassador mousejockey's Avatar
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    If it's a scam how do I manage to feed my shopaholic habit?

    Ssanf, don't listen to the gloom and doom, just keep building and tweaking.

    In the first three months of this year I've jumped from $6K to nearly $8k a month, DH keeps saying "How big can this grow?"

    BTW cj accounts for only 25% of my merchants.

  17. #17
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    >don't listen to the gloom and doom, just keep building and tweaking.

    See there ARE real #s to be made but only a few will make them.

    In most sales situations, 80% of the business is done by 20% of those involved. The 20% build & tweak while the others rant. :eek:

  18. #18
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    I build, tweek and rant. [img]/infopop/emoticons/icon_smile.gif[/img] You just have to be good at time management.

    [ 04-24-2002: Message edited by: Core ]

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