They’re called superaffiliates, but there are no secret powers behind their amazing sales. They follow the same path every other affiliate does: They publish a Web site, sign up for affiliate programs, download the affiliate codes and troll on the search engines.
But they work a little smarter, make a few more calls, send a few more emails and do a lot more testing. And what they do better than anyone else is integrate all of the standard affiliate marketing pieces – email lists, merchant relationships and showcased products – to get more people to their site and more people to buy. Their efforts net results only dreamed of by other affiliates: transactions by the thousands, and monthly commissions often measured in six figures.
To illustrate the point, Revenue decided to introduce our readers to Bob DiCerbo, a Chicago resident who never dreamed he would be working just 20 hours a week to make a very comfortable living. He started ClearSave.com with his wife in October 2002, affiliating with merchants such as Overstock.com, Nordstrom.com, QVC.com, Land’s End, FoodSmart.com and Pet Food Direct. Now he does little more than chat up affiliate managers, tweak keywords and cash checks.
ClearSave is a “check here first” site, where visitors come just to see if any of the merchants they regularly patronize are offering discounts, sales, coupons or bargains. The 2-year-old site gets a whopping 300,000 hits per day. Merchants drool over that kind of traffic. And DiCerbo and his wife pull in enough commissions to pay themselves salaries and hire a part-time assistant. Eventually, they expect their “super” efforts to send their kids to college.
What exactly is a superaffiliate? Well, it’s not one particular thing. It could be one person or 100. It could be an individual or it could be a company. It could be a site offering discounts, rebates, rewards, funding for charities, dating services, apparel, travel arrangements, downloadable music or any of the Internet’s hot products. One thing they all have in common is that they’re treated well – even heavily recruited.
Being a big dog has its benefits. “Merchants reach out and help us put together creatives just for us because we’re doing so well,” said DiCerbo. Many affiliates also get higher commissions, special offers and other assistance from merchant partners.
Here are some ideas from DiCerbo and others on how you can get similar treatment.
Find the best programs.
DiCerbo believes one reason he does better is simply by keeping the lines of communication open with the right merchants. “Only a handful of merchants – Overstock, Avon, Sierra Trading Post, Blair and Eddie Bauer – will actually reach out and call and talk to you to see what it is you actually need,” he said.
Glenn Sobel, founder of AffiliateAdvisor.com and webmaster for DatingTek.com, said some of the best programs offer lifetime commissions. “The key is to look for programs that pay residual income – I’m just kicking back right now and enjoying my Internet income,” he said from his Vegas retirement home. Dating sites are a prime example. When an affiliate refers someone, many programs give a commission for the new member and each time that person renews the membership.
To help choose great merchants, would-be superaffiliates should read contracts carefully before signing up. Contracts should spell out exactly what earns a commission, when commissions are paid, how long affiliate referrals are tracked and what happens if buyers come from more than one affiliate site. If the contract doesn’t spell it out, then add it in writing. “There are a lot of issues like that that really matter,” said Sobel. “They greatly impact your income.”
Provide only those products your visitors want.
This may seem elementary, but many new affiliates spend months discovering it. A site posting sports scores, for instance, should have links to sports magazines and sports betting, not printer ink.
“We wouldn’t promote Overstock as hard as we do if our audience didn’t think it … met their needs for discounted products,” said DiCerbo. “The proof is in the pudding.” That pudding consists of $40,000 to $50,000 in monthly sales, resulting in commissions of $2,800 to $3,500 for ClearSave.
Loyalty site FreeRide.com, which gets 30,000 hits per day and affiliates with hundreds of merchants, asks visitors for demographic information when they register. “But a lot of the way we figure out our demographic is by watching their activity – What are they buying?” said FreeRide.com director Corey Newhouse. FreeRide then beefs up selection for that audience.
“Once you’ve found the ideal types of products, choose one or a handful of really good quality products and promote those well,” said Internet Marketing Center founder Corey Rudl, who built his one-man affiliate operation into a $6.6 million-per-year company. Top affiliates in his program use this strategy to earn $4,000 to $8,000-plus each month.
Email your site visitors.
Superaffiliates always collect email addresses when visitors come to their sites. They have visitors sign up for free offers, newsletters or access to more information already on the site. More than 200,000 of ClearSave’s visitors have filled in their email addresses when prompted to “sign up for exclusive deals, bargains and coupons.” DiCerbo blasts them carefully honed emails once or twice a month. Jermaine Griggs, the superaffiliate featured in our story on religion sites (see page 68), credits his email list for the success of his piano lesson sites. Visitors enter their first name and email address anytime they want to pick a free lesson, see a full music score or add a comment to the lesson forum. The options are free anyway, so Griggs turns them into selections that require visitor input: “I could automatically direct them to all 60 lessons, but ‘Choose a free lesson’ is better than saying ’60 free lessons,'” Griggs said. “This way they enter their information. We have a 60 percent conversion rate with that list, and we’re building it by 6,000 people each month.”
Finally, if you really want to win big, produce a newsletter and promote the heck out of it. Have site visitors subscribe through an opt-in section of the site’s home page, and load the newsletter with advice, news or updates on your industry. Affiliates can work great deals with merchants just by the breadth of their newsletter subscription base.
Hire help when needed.
DiCerbo has part-time help finding new coupons and codes to post on the site. He also has an IT person on retainer. Superaffiliates must either be webmasters or have one on hand. These days, even knowing HTML may not be enough. “We found that XML is much more search engine friendly,” said Rick Schneider, VP of business development for World Choice Travel, an all-affiliate travel merchant. “XML lets you more deeply integrate an affiliate product with the merchant’s brand.”
There are even small companies that are really superaffiliates. They run virtual online stores with lots of customer support, information, great design and other labor-intensive elements. That’s what FreeRide.com – which uses “tokens” redeemed for merchant gift cards to reward visitors for purchases, surveys or Web surfing – does. It’s a four-employee loyalty site run by New York-based Endai Worldwide, an online marketing and technology company with 20 employees of its own. From his loft office overlooking downtown Manhattan’s South Street Seaport, Newhouse knows this isn’t an ordinary affiliate company. But it could be a glimpse at what in just a few years might be the norm. Major affiliates are already being acquired by their merchants – Hotels.com owns hundreds of affiliate sites.
Help searchers find your site.
Keywords, search engine placement, refer-a-friend programs, viral marketing – these are a few of the steps to bringing new viewers to your site. Pay-per-click search engines let affiliates quickly test search words. Through Google AdWords, DiCerbo creates his own ads, chooses keywords to match the ad to his target Google audience and pays only when someone clicks on the ad. He said his site has the most success with high commission products like perfume and footwear. He tries words often provided by his merchants and then tinkers with different landing pages – those pages that actually advertise the product, rather than directing people to the home page – to find out which word and page combinations would help to make the most sales.
Griggs gets even more distance from his hosting service, which gives him unlimited email accounts with his domain name. “If you have an attractive domain name, you can easily offer free theirname@your site.com email addresses to site visitors,” Griggs said. “I’m getting at least 1,000 [viral] impressions a day with that strategy, because my site names appear at the bottom of every email they send out.” Griggs also suggests that affiliates search out the forums or online chat rooms where their ideal customers congregate.
Meanwhile, FreeRide.com is trying its hand at co-registration campaigns, where visitors to other sites can check a box and be added to FreeRide’s list. “So far so good,” Newhouse said.
Once visitors get to your site, keep them there through easy navigation, great design and an established sense of community. “The bottom line is, you’re selling ideas and you’re selling community,” said Web site designer Dean Peters. One way to establish community is through personal endorsements and testimonials. Place them well and make them convincing pieces of friendly advice rather than an obvious cash grab. Testimonials “could increase the response you receive by 400 percent or more,” said Rudl, who has trained 75,000 affiliates in his strategies.
Roll up your sleeves.
This is a day-and-night business. Click-through problems aren’t reserved for 9 to 5; if not cared for immediately, these problems can harm sales. Affiliates must be able to respond as soon as problems occur. That doesn’t mean you actually have to work 24 hours a day. Many successful affiliates grow with just 40 hours per week of combined staff time. But they’re regularly checking their stats, regularly checking their site operations, regularly testing new promotional methods and regularly working with merchants to improve their affiliate offerings. “It’s definitely roll up your sleeves and a lot of grunt work to see what works and what doesn’t,” DiCerbo said.
Test response rates for different affiliate banner ads and text links. Put them in different spots on your site. Try different articles and newsletters. Use different autoresponders. Test promotions on the small scale before taking them to your mass list. “While this might seem like a lot of work, it will ultimately increase their traffic and their affiliate commissions,” said Rudl.
Newhouse at FreeRide.com seconds that: “Giving people a variety of ways to take an action helps a lot.”
Be ready to respond to changes.
“I never look too far out into the future,” DiCerbo said. “The e-commerce landscape changes so quickly that I’m not going to say that the way we’re doing business now is the same way we’ll be doing it next year. Paid search is a new thing that has just taken off. The spam area is closing down. It’s hard to say what’s going to happen.”
In the end, the superaffiliate must be committed to working regularly on its site, must talk frequently with its merchants, must constantly be in touch with its customers and must be able to wait for its efforts to pan out. The buyers often don’t come running. But with the right products and the right customer capture mechanisms in place, at least they’ll be following the right tracks.
JENNIFER MEACHAM has worked for Revenue, The Seattle Times, The Columbian, Vancouver Business Journal and Emerging Business magazine.