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Business Models and Strategies
Interview with Lex Sisney CEO,Commission Junction (2)

 

Starting An Affiliate Program

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KAREN LAKE: The list of some of your affiliate programs contains small and medium sized businesses. Is that your target?

LEX SISNEY: Yes, it is. We think that the revolution taking place online is not the fact that Disney can have a website. The revolution is that hundreds of thousands of small and mid-sized businesses are setting up shop online. Every one of them is going to need an affiliate program to be competitive.

KAREN LAKE: Let's say that I decide I want to start an affiliate program. I'm a small business. I don't know that much about the Internet, but I'm ready to sell my product. What do I need to be ready to join your program?

LEX SISNEY: It's very simple. We charge a one time network access fee of $795.

 

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KAREN LAKE: What does that buy?

LEX SISNEY: That gets you several different things. We put a little piece of tracking code onto the confirmation page of your website. We train you in terms of effective affiliate marketing techniques and strategy. We provide customer support and service to get you started into the network. We advertise your program to our prescreened network of 70,000 plus affiliate sites. We provide ongoing customer service and support. We also pay your affiliates for you, which is a big, big thing. With Commission Junction, one of the advantages is that affiliates, instead of working with each program individually, get a single ID and password. They can work with multiple merchant programs. We give the affiliate realtime reporting on impressions, clicks, leads and sales. Every month, we pay the affiliate a combined aggregated commission check from all the merchant programs that they're working with. As a merchant, the $795 gets you access to this network of prescreened affiliate sites that are highly m otivated to work with this program. Even if they earn only a couple of dollars immediately from your particular program, they're still going to get a check on your behalf from Commission Junction.

Read more, Service Based Revenue Model
Back to Affiliate marketing

 


by Karen Lake, strategyweek.com

 

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