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Scum-bag Affiliates and Skunks - Tales from the IRCE 2008

Linda Buquet

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I've been debating whether to blog the stuff that came up last week at the <strong>Internet Retailer Conference <a href="http://www.internetretailer.com/IRCE2008/">IRCE 2008</a></strong>. A record breaking 5,000 people in the eCommerce space attended, including some of the biggest eTailers out there. A large majority of these companies have affiliate programs.

Around 400 attended a panel discussion that was essentially "<strong>a 90 minute rant about what scum-bags affiliates are." (See more choice quotes from the IRCE below)</strong> I haven't seen any other AM blogs talk about this and almost decided not to share <a href="http://affiliate-blogs.5staraffiliateprograms.com/1395/controversial-jason-calacanis-summit-keynote.html">any more negativity</a>. But sometimes we need to talk about these things if we ever hope to influence change and clean up our industry.

We all know that some rogue affiliates give our entire industry a really bad reputation and many people either misunderstand affiliate marketing or stereotype us all as "Scum-bag Cheaters." <em><strong>Is it possible the <a href="http://affiliate-blogs.5staraffiliateprograms.com/1539/performance-marketing-alliance-working-groups.html">Performance Marketing Alliance</a> could help us educate others outside our industry, help set some standards to clean up our industry and do something to help us create a more positive image?</strong></em>

<strong><font color="#ee7700"> Well I certainly think that for there to be a panel discussion bashing affiliates to an audience full of merchants and not have ANYONE there to take the side of honest affiliate marketers was a damn shame!</font></strong>

Many times when conference panels are put together they call on an association member of that industry to sit on the panel or ask the association to recommend a speaker - <strong>IF their is association. We have nothing right now! We have no organization looking out for our interests period!</strong> One of the many roles the <a href="http://www.performancemarketingalliance.com/">PMA</a> could play I think - is to do industry outreach, education, PR and represent our side of things at Internet events like this.

<strong>Here's a taste of what happened at IRCE with no one to stand up for the many honest hard working affiliates in our industry that DO play by the rules and add value</strong>!

<blockquote><strong><a href="http://www.csestrategies.com/cse/2008/06/live-blogging-f.html">Live blogging from Internet Retailer Conference</a></strong> "Here at IRCE, I'm in a workshop around affiliates and along with 80% of the attendees, I'm sitting here with my jaw open because instead of offering ways to maximize your affiliate business, <strong><font color="#ee7700">this workshop has essentially been a 90 minute rant about what scum-bags affiliates are and tons of data that are essentially telling retailers to scale back or do extreme policing of their affiliate programs.</font></strong>"</blockquote>
<blockquote><strong><a href="http://www.rimmkaufman.com/rkgblog/2008/06/12/irce-affiliate-rant-did-i-go-too-far/">IRCE Affiliate Rant: Did I go too far?</a></strong> "I stand by the content of my presentation, but I do regret some of the language I chose to use.

To the extent that I highlighted ways to catch folks who violate the Terms and Conditions of their affiliate agreements, I have no problem calling those folks thieves, rascals, criminals, skunks and any other epithet that might have popped into my head on Monday.

Finally, I implied in my talk that most affiliates were ?bad guys?. That was wrong. I apologize to those I offended. <strong>However, I do believe that the vast majority of the $3 Billion in affiliate commissions that will be paid out this year will go to cheaters</strong>, and other programs that add no value for retailers."</blockquote>
Wayne posted yesterday <a href="http://www.revenews.com/wayneporter/reality-check-shoporg-video/">Reality Check: Shop.org Video</a>. Scott Jangro posted today <a href="http://www.jangro.com/a/2008/06/19/affiliate-marketing-needs-to-reinvent-itself/">Affiliate Marketing Needs to Reinvent Itself</a>. Both posts are about a video from the IRCE that is eye-opening as well. You can watch the video at GetElastic. <a href="http://www.getelastic.com/the-state-of-affiliate-marketing-in-online-retail/">State of Affiliate Marketing in Online Retail - Internet Retailer 08</a>

Jangro at the end of his blog says: "Can a <a href="http://www.performancemarketingalliance.com/">professional industry organization</a> help that? I think so." Wayne in another post writes "<a href="http://www.revenews.com/wayneporter/opinion-shift-happens/">Shift Happens</a>?Participate or watch" which is in part about the PMA too.

<strong>Can the <a href="http://www.performancemarketingalliance.com/">PMA</a> make a positive difference? I agree with many that it can. <font color="#ee7700">But only if the people that have strong opinions about what's right, jump in to help shape this thing, instead of tearing it apart before it even gets started!</font></strong>

Some people are speculating, even accusing the PMA of doing or not doing certain things or of standing for or against certain things. If the PMA already unilaterally without input from anyone made up all the rules, you'd complain they didn't ask you for input. Asking questions or stating opinions is one thing - accusing and attacking is not productive and won't get us anywhere.

<strong>Folks get a CLUE! There is nothing there to complain about yet! It's an empty shell right now, that will eventually be shaped by the members!</strong>

A few people are donating time to do the hard work of building the foundation. It's probably going to be roll up your sleeves, thankless, grunt work - but someone has to pour the concrete before the rest can be built. I think we should be supporting, not bashing the people that are taking time out of their busy lives to help build this organization that could ultimately help our industry in numerous ways!

After the foundation gets poured - THEN that empty shell will be filled with ideas and principles of the boards, working groups and members. <strong>Hopefully lots of good honest affiliates will be on the boards, working groups and in the membership. It's YOU GUYS that are going to help shape the association. IF you are INSIDE you can make a difference!</strong>

You can get involved right now if you want to help insure this group is structured with your interests in mind. <a href="http://www.performancemarketingalliance.com/uncategorized/working-groups-call-for-participants/">Join a working group</a> and help build this thing!

(Full disclosure - I was honored to be selected as one of the nominees for the Formation Advisory Board and had to regretfully decline due to some personal issues. But I'm supporting the organization in other ways.)
 
George Michie went on a rampage and talked about the bad guys and their tricks such as:

- Coupon sites - these guys are trained by the consumer press (today show mentioned twice - evidently Matt Lauer is big on coupons)

-Domain squaters - they buy things like plasmatvs.com and do lots of SEO and then charge for traffic to a bunch of affiliates

I'm surprised that a guy that will spout this kind of utter nonsense is respected enough to be part of a panel.

Coupon sites being a "dirty trick"? :rolleyes:

He needs some education on what the definition of Domain Squating actually is - it's clear that he's clueless on the subject.

If i could name one person right now that is a problem for the affiliate industry...it's George Michie.
 
In my former job as an inhouse affiliate manager, my affiliates added around 30% to the bottom line of the business. I would say 95% of them added value to the product too.

If a merchant is not getting value from their affiliates it's because they have somebody in charge of their affiliate program who has no clue.
 
Good point Rob!

Or the other option is they are one of the many merchants who thought "if we build it they will come" or "we can set it and forget it" and just launched a program without having a manager at all. Or have their Director of marketing who manages search and wears 10 other hats, trying to run it. Then they wonder why they have problems. :eek:
 
With such anti-affiliate sentiments, you'd think that these retailers would simply just pull the plug on their affiliate program.
 
MI
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