build a better program: segmentation, attribution & motivation

Segmentation, Attribution, and Motivation

Brian LittletonFounder/CEO ShareASale

SEGMENTATION, ATTRIBUTION AND MOTIVATION – BRIAN LITTLETON FOUNDER/CEO SHAREASALE

Attribution is a popular word!

Overheard at every Industry Conference, every Board Room and every Vendor pitch.

Let’s start by looking at the main problem identified.

SEGMENTATION, ATTRIBUTION AND MOTIVATION – BRIAN LITTLETON FOUNDER/CEO SHAREASALE

The “Last Minute” Click

SEGMENTATION, ATTRIBUTION AND MOTIVATION – BRIAN LITTLETON FOUNDER/CEO SHAREASALE

AVG TIMETO COMPLETE ORDER10 MinutesVS.$$

Click to Commission3 Minutes

SEGMENTATION, ATTRIBUTION AND MOTIVATION – BRIAN LITTLETON FOUNDER/CEO SHAREASALE

The Turtle is in position to earn a commission as last click and is trumped

by the Parrott at the last second.

How to correct?

Major lines of thinking include

• Remove Affiliates• First Click

• Pay Per View Models

SEGMENTATION, ATTRIBUTION AND MOTIVATION – BRIAN LITTLETON FOUNDER/CEO SHAREASALE

Remove Affiliates

SEGMENTATION, ATTRIBUTION AND MOTIVATION – BRIAN LITTLETON FOUNDER/CEO SHAREASALE

Masks the problemLeaves revenue on the table

“Head in Sand” technique

First Click RewardOften utilized by Merchants.

On the surface, it looks like a good way to reward the first person to send

traffic.

SEGMENTATION, ATTRIBUTION AND MOTIVATION – BRIAN LITTLETON FOUNDER/CEO SHAREASALE

SEGMENTATION, ATTRIBUTION AND MOTIVATION – BRIAN LITTLETON FOUNDER/CEO SHAREASALE

First one in, keeps everyone else out.Encourages spam and click stuffing behaviour.Can result in simply random sale ownership.

What about View Tracking•Touted as a way to reward content sites who are

othewise difficult to engage.•Activates on any view of the site as opposed to

the user taking any action.

SEGMENTATION, ATTRIBUTION AND MOTIVATION – BRIAN LITTLETON FOUNDER/CEO SHAREASALE

SEGMENTATION, ATTRIBUTION AND MOTIVATION – BRIAN LITTLETON FOUNDER/CEO SHAREASALE

• Essentially is encouraged cookie-stuffing•Merchant has no real idea why / how a consumer

came through this relationship.• Random sale ownership.

So what’s a better idea?•Let’s create a solution that is fair •Go back to history to remember the benefits…

SEGMENTATION, ATTRIBUTION AND MOTIVATION – BRIAN LITTLETON FOUNDER/CEO SHAREASALE

Early Affiliate Marketing•One size fits all•Scale achieved by giving all people the exact same product thereby limiting the workload of an AM.•Not the reality of today.

SEGMENTATION, ATTRIBUTION AND MOTIVATION – BRIAN LITTLETON FOUNDER/CEO SHAREASALE

Segmentation•Critical in developing a complex

commission structure.•Track trends and manages

positives/negatives

SEGMENTATION, ATTRIBUTION AND MOTIVATION – BRIAN LITTLETON FOUNDER/CEO SHAREASALE

Attribution•Use behaviour and rules to determine

commission

SEGMENTATION, ATTRIBUTION AND MOTIVATION – BRIAN LITTLETON FOUNDER/CEO SHAREASALE

Examples:The “Last Minute” Click

SEGMENTATION, ATTRIBUTION AND MOTIVATION – BRIAN LITTLETON FOUNDER/CEO SHAREASALE

AVG TIMETO COMPLETE ORDER10 MinutesVS.$$

Click to Commission3 Minutes

SEGMENTATION, ATTRIBUTION AND MOTIVATION – BRIAN LITTLETON FOUNDER/CEO SHAREASALE

The Turtle is in position to earn a commission as last click and is trumped

by the Parrott at the last second.

Scenario Building

SEGMENTATION, ATTRIBUTION AND MOTIVATION – BRIAN LITTLETON FOUNDER/CEO SHAREASALE

Coupons v. Content

Scenario Building

SEGMENTATION, ATTRIBUTION AND MOTIVATION – BRIAN LITTLETON FOUNDER/CEO SHAREASALE

Coupons v. Coupons

Things to look out for

SEGMENTATION, ATTRIBUTION AND MOTIVATION – BRIAN LITTLETON FOUNDER/CEO SHAREASALE

Contiguous clicks

Build the Rules“LeapFrog”

SEGMENTATION, ATTRIBUTION AND MOTIVATION – BRIAN LITTLETON FOUNDER/CEO SHAREASALE

Build the Rules“Big Sale”

SEGMENTATION, ATTRIBUTION AND MOTIVATION – BRIAN LITTLETON FOUNDER/CEO SHAREASALE

Encourage an Affiliate to play to their individual strengths.

Scenario Building

SEGMENTATION, ATTRIBUTION AND MOTIVATION – BRIAN LITTLETON FOUNDER/CEO SHAREASALE

Not all about the Coupons!

•2% Bonus from a certain recruitment source•Add $50 for a sale over $500•Double commission for a new customer•Generate full commission for an affiliate tagged as “Coupon” utilizing a specific creative

You’ve created a Modern Affiliate Program

SEGMENTATION, ATTRIBUTION AND MOTIVATION – BRIAN LITTLETON FOUNDER/CEO SHAREASALE

•Uses real data to determine complex commission structure•No “blanket” decisions such as paying all coupon affiliates 2% or removing from the program.•Incentives affiliates to encourage the behaviour that you want.•Scales using technology and rules – not just because one size fits all.

Questions and Discussion

SEGMENTATION, ATTRIBUTION AND MOTIVATION – BRIAN LITTLETON FOUNDER/CEO SHAREASALE