LisaRiolo

I received some great advice a few years ago and have put this item into action ever since: at least once a year replace all of your passwords with third-party websites.  It is a simple “security” precaution that you can implement over the course of a couple of weeks.

I also, typically, replace the account numbers assigned to my plastic.

The key to my actually doing this regularly is also a great time management tip: I associate these activities with a regularly scheduled calendar event.  In this case, I fill the gap of creating New Year’s Resolutions (which I now do on my birthday) with changing out my passwords.  The New Year is a trigger to update the passwords, replace the plastic etc.  Similar to how some people use re-setting the clocks for daylight savings time changes as a reminder to replace the batteries in their smoke alarms.

This approach is good for those “I-should-do” tasks that often get left undone because they’re not urgent.  Maybe you can think of other activities, important to your safety or security, that you never seem to get around to doing?  Try associating these tasks with an annual or semi-annual event that acts as a To-Do reminder.

Thank You!

For over a decade, all of us that earned a living through affiliate marketing, have you, the professional affiliates, to thank.  Whether an affiliate program manager or a customer service representative at one of the networks–our paychecks were basically funded on yours and the backs of other successful affiliates.

I know you receive gifts, party invites, year end Thank You cards, and other creative expressions of appreciation from the well-intended.  No doubt there are great individuals that express just how important you are to their livelihood.  But how often do you get the big, genuine, shout-out for making this all possible?  What representative group could even convey such a public message to the aggregate group of you?

Whatever the platform, forum or group…all of affiliate marketing should express our gratitude to all of you more often.  We should acknowledge how critical the professional affiliate is to all of performance marketing.  We, meaning those of us that depend on affiliates to drive results, should take pause and really think about the tremendous value affiliates bring to our own income or revenue.

Ultimately, I don’t get an argument when I say we should better emphasize the important role you play in our success.  People generally agree that we’re all depending on you. Yet, as a community, we place greater priority and focus on competing with each other than on serving the needs of you, our most important members.

I don’t mean to naively suggest that all the networks, outsourced program management companies, agencies, consultants and even some of you, should start singing Kumbaya around the industry campfire.  I simply point out that in the one area our interests should be aligned, they are not.  We, as the collective beneficiaries of your efforts, should recognize that we do (or should) share a purpose: and that is to empower your success.

My hope is that, after reading this letter, you’ll reach out to your peers, congratulate them, and then agree that your value deserves greater recognition.  Yes, the words, the awards, and the gifts are great.  You’ve earned them.  But I hope you will seek another form of recognition–and that is resources, support and our ears.  We should be listening to you and learning from you.  How can we help?  What can we do to ensure your continued success?  What are we doing right that you want more of…?  And what are we doing wrong that we need to correct?  Hold us accountable, affiliates.  Make us step-it-up.  Make us tell you and show you how much we appreciate you.

Sincerely,

Lisa Riolo

After glancing at the clock, I reach (well… search) for the remote control.  Time for bed.  I finally find it, point at the cable box, and just as I’m about to press the power button off, I hear those famous words, “But WAIT!  There’s more!”

This is the point, if I’m actually watching a TV ad, that I try to guess what more I get if I call now.  Another gadget? Twice as much for the same price? Twice as much for half the price?  In this case, three times as much for only $5 more!

The “But WAIT! There’s more!” phrase works.  Which is why every direct response ad includes some version of it, along with the requisite improved offer.  As consumers, we expect to hear “There’s more.”  We expect a better price.  We expect a bonus.

What customers expect is of critical importance to a business.  Why? Because customer expectations drive customer satisfaction.  As a marketer you must understand what a prospective customer needs, wants and expects.  And what they expect after they’ve already bought, or referred over a friend.  Your relationship with your customers is about continually managing their expectations.  And as expected: managing customers’ expectations is not easy.

What you may not realize is the extent to which other marketers, in the process of promoting their products and brands, influence your customers’ expectations.  Not just in terms of price.  They are influenced by many things–including the format and content of your advertisements.  For example: consumers are conditioned to expect to hear, “But WAIT!  There’s more!” toward the end of a direct response TV ad.

The funny thing about customers is they often don’t realize what they expect.  For example, unless you point it out to them, a prospective customer watching a direct response ad may not understand they expect to hear, “There’s more.”  But, if there is no bonus?  They know something is missing from the offer.  The deal is not as good as it should be.

So, your job is to both engage and observe the customer.  Ask what your prospects need, want and expect.  Then, research what else might be influencing their perceptions.  Look for things like a little phrase, “But, WAIT! There’s more!“

Affiliate marketers claim they can grow their businesses during the same economic slow downs that hurt other marketing channels. Makes sense, right? Advertisers shift their budgets and focus from general advertising to direct response type deals. The affiliates, which are expert at sending ready-to-buy customers, revel in market conditions that specifically favor their skills.  Plus, the affiliate community can point to prior downturns in online advertising when they actually grew their businesses.  So, the answer to the question of whether or not affiliates can survive this economy ought to be Yes, right?

Well… maybe.

You could argue the No position just as easily.  The current financial crisis is unlike anything we’ve ever seen.  Black Friday might not be black this year.  Instead of an impressive Cyber Monday, predictions for the first day of the 2008 online holiday shopping season are coming in low.

Obviously, performance marketing doesn’t work when consumers aren’t buying.  And, consumers aren’t buying as much.  Not even when 50% OFF promotions are accompanying brand new merchandise.  With consumer confidence clearly at or near worse-ever lows, this financial crisis is likely to trigger deteriorating conversion rates and smaller commission checks.

In the context of the US or, even, World Economy, survivability becomes a serious question.  Or, perhaps, a serious worry.

Affiliates looking for a path to survive this economy can already find plenty of great advice out there. For example, check out Rosalind Gardner’s 2009 predictions video, which includes some great tips and hints.  Rosalind recommends affiliates focus on items that consumers are likely to buy, even during a bad recession.  Think: functional, practical, great values, lower-priced.

Test different merchandising strategies.  You might already be on the right track with your product mix, but might find better responses with a different presentation.  Segment and place in groups of lower pricing denominations than what you used last year.  For the 2008 Holiday, test “Gifts under $25″ instead of under $50.

Finally, affiliates planning to use the economy’s downwardly spiral to power revenue growth in their businesses will closely monitor the financial strength of their advertising partnerships.  Performance-based advertising deals shift risk from the advertisers to the affiliates.  The affiliates must invest resources up front without guarantee of a return.  Scaling up promotions and driving revenue for an advertiser becomes especially risky in an unstable economy.  It is critical that affiliates defend their interests and avoid Advertisers that are bleeding red ink.

So: Yes or No?  Affiliates are fast-learning entrepreneurs. Online shopping continues to grow.  Advertisers are going to aggressively seek accountability in advertising.  Yes, affiliates will survive this economy, but their path to riches isn’t coated in sugar.