How could affiliate networks be replaced?

A

ameyer

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Aug 13, 2012
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ok I must be bored:

I assume most of you are generating leads on a daily basis.
If you do so, in my opinion you are getting at least 25% of them shaved or scrubbed on at least one offer that you are currently running.
Either by the network or by the advertiser, or both ofc..

What I personally find even worse is that virtually every network out there is giving low CPAs by default. What's the difference between a 40% shave and a 40% margin? both is ridiculous, even a 5% margin for redirecting the traffic is ridiculous.

Would it really be so difficult to create a transparent platform that cuts out the current middlemen? What for do you need an AM? For pushing some offer to you that he is getting a higher margin on? Or for begging him to raise the CPA (lower his ridiculous margin).

By the way, if you are a publisher and you are NOT getting fucked over by your network then there are two options
1 - you don't know that they fuck you
2 - you and/or the network is fucking the advertiser
it's all plain bullshit, and really primitive.

/end rant
 


P.S. it would be really interesting to hear what you need your AMs for.
I'm sure some of you appreciate them.
 
you form relationships with advertisers directly. this often only happens at scale.

or you could own your own product and herd affiliates yourself.
 
What I'd really love is a payment/affiliate option that resembled Paypal's adaptive api. You push traffic and the second a sale is made you get paid. No Net-7, Net-30 etc but on the spot (money is split in transit based on a preset percentage). Avoids the whole "well the advertiser didn't pay up soo we are going to delay your payments"
 
Medici said:
you form relationships with advertisers directly. this often only happens at scale.

or you could own your own product and herd affiliates yourself.
Click to expand...

most of the time i'd imagine product producers don't want to fuck with that. the nice thing about AM for people who produce products is "they can go to the exchange" and let it get handled from there for a fee.

the affiliate network is to the ad markets what the investment bank is to the capital markets. as a product developer, i don't want to promote my shit; i want to utilize my expertise to create & i'm willing to pay for others to utilize their expertise to market it. i like having that middleman, it serves a skill i don't have and don't particularly care to pursue.
 
There's a substantial amount that most people don't see that goes on beyond the scenes at networks. Unless you drive massive long term volume to a single offer, in which case going direct makes a lot of sense for the affiliate and the merchant. Other than that, using a network is the way to go.

If you think your CPA network is shaving, taking too high a margin or their AMs aren't providing any value, vote with your traffic and go to another network. There's plenty of good ones out there... though I will CPA networks in general do seem to suffer from far more issues than most other types of companies in this industry
 
dsiomtw said:
^^^^ never gonna happen, how would anyone account for fraud?
Click to expand...

I would not neglect the whole idea because of fraud or other obstacles.
There are simple solutions to that:
The advertiser may flag any publisher as fraud, however it's bad for the advertiser because his fraud% will be public. So if an advertiser chooses to flag 95% of his traffic as fraud I guess you are willing to take a risk to send traffic there. And/or you could have a dispute system similar like Paypal.
 
drave said:
most of the time i'd imagine product producers don't want to fuck with that. the nice thing about AM for people who produce products is "they can go to the exchange" and let it get handled from there for a fee.

the affiliate network is to the ad markets what the investment bank is to the capital markets. as a product developer, i don't want to promote my shit; i want to utilize my expertise to create & i'm willing to pay for others to utilize their expertise to market it. i like having that middleman, it serves a skill i don't have and don't particularly care to pursue.
Click to expand...

What do you think is their expertise or skill?
 
SethH said:
There's a substantial amount that most people don't see that goes on beyond the scenes at networks. Unless you drive massive long term volume to a single offer, in which case going direct makes a lot of sense for the affiliate and the merchant. Other than that, using a network is the way to go.

If you think your CPA network is shaving, taking too high a margin or their AMs aren't providing any value, vote with your traffic and go to another network. There's plenty of good ones out there... though I will CPA networks in general do seem to suffer from far more issues than most other types of companies in this industry
Click to expand...

Could you please elaborate about what is going on behind the scenes?
 
ameyer said:
What do you think is their expertise or skill?
Click to expand...

i'm sorta confused by the question. my initial response would be "what you're marketing" but that's so obvious that i wonder if you meant something else.
 
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