Post View Tracking –Is Play Time Over?

1

Ronald Paul, CEO QUISMA GmbH

QUISMA in Brief

Established: 06/2001 Integrated: Subsidiary of GroupM and member of WPP-network Focussed: succesful integrated performance marketing Combined: SEA, SEO, Affiliate-Marketing, Performance Display,

Conversion-Optimization Motivated: >100 qualified employees Organized: Munich, Hamburg, Frankfurt on the Main, Dusseldorf,

Zurich, Vienna

Agenda Affiliate marketing – origin and

development Post click, post view – definitions Guidelines for post view (BVDW) Start of a post view campaign

Set-up Increased potential Evaluation Comparison of all channels Allocation Shared conversions Cookie Runtime

Pitfalls Case Study Summary Q&A

Affiliate Marketing Origin

1994 1996 2000 2010

Affilinet Efficient Reach

Zanox TPVCJ DE

CJ VIP

2005

TKP models until 2000

CPO as risk free alternative

Dotcom bubble bursts

Affiliate Marketing Origin

2007 2008 2009

Layer partners no longer play a major role

Traffic Broker market affiliate programme

Layerhighlight

Post-view

guideline

2010

PV becomes important

part of AM

Affiliate Marketing Development

Aim: Setting the last cookie or many cookies

First affiliates

Most popular partners until today

Content/SEO

Added value for users by savings

Contact to users often already during the decision and order process

Voucher

New opportunities when using product data

Price comparis

on

Remunera-tion turns users into affiliate regular customers

Loyalty/cashback

Attempt to place as many cookies as possible by forced opening of the website

Layer

Recalling of content sites

Use of sites with a strong reach in affiliate marketing

Post view

Post click - Definition

Definition Post click: The post click measurement measures if transactions occurred within a defined period after clicking on an advertising medium. If the user completes a transaction on the site of the merchant within this defined period after clicking, a provision is paid to the publisher.

Post click - Scheme

USER

AFFILIATE

Integration of advertising mediaon own site

SALE

Click cookie?Yes

Affiliate network

Visit Click

Cashback

Click cookie(30 days)

No remuneration

Remuneration

No

Post view - Definition

BVDW definition post view: The post view measurement measures if transactions occurred within a defined period after showing an advertising medium. If the user completes a transaction on the site of the merchant within this defined period after display of the advertising medium, a provision is paid to the publisher.

Post view - Scheme

USER

AFFILIATE

Booking(own affiliate risk)

SALE

Yes

Affiliate network

VisitDirectentry

Cashback

Click cookie(30 days)

No remuneration

Remuneration

No

48hrs

View cookie?

NoClick cookie

(96hrs)PV remuneration

Yes

Click cookie?

Networks

Affiliate networks react on market demand and offer own PV tracking solutions

Now, post view partners are clearly identified

Post view (view through) is mainly not in use in US networks

Post view - Involved parties

Publisher

Buy remaining ranking inventory and market the advertising spaces by means of affiliate programmes at their own risk

The condition for this is post view tracking

BVDW – Guidelines for post view

Determination of framework conditions for

post view

Traffic limitation

Placement

Selection of partners

Remuneration

Advertising media

Cookie runtime

Partners book inventory on third-party sites- Normally, information on every delivery not

possible- Definition of excluded websites

Closed group (only selected partners receive PV authorization)

Individual post view entry conditions must be accepted and signed by every partner

Now, large number of professional partners with a maximum of transparency

Partner selection

Post view – Cookie run time

Cookie tracking analogue click through Click cookie ALWAYS beats view cookie View cookie with shorter run time

Definition of minimum requirements to advertising media: Minimum size of every advertising medium: 234x60 Multi-merchant banner with a maximum of 3 merchants

(mostly logo + text) No reloads and automatic rotations Guaranteed fade-in in visible area Text banner with graphic reference to the relevant

merchant The advertising medium must be clickable

Advertising media

Advertising media

Fade-in in visible area on Top AGOF sites

Development of innovative advertisement forms

e.g. animated multi-merchant banners

Multi-merchant banner with clearly visible logo Support through informative text with many click

options

Remuneration

Traffic broker book CPM inventory at their own risk Remuneration of the media service is made indirectly The provision for post view sales can thus vary from the

provisions normally paid in affiliate marketing Depending on the campaign target, lower or higher

provisions are paid

Placement

Fade-in in visible area Post view cookie may be

placed

Fade-in in the initially non-visible area

Post view cookie may not be placed until the visible area is reached

Made possible by visibility tracking

Possibly used tracking switches require a click during every view

Increased server load on the merchant side Use of a high-traffic landing page in this case obligatory

Traffic upper limits per partner ensure risk-free use of post view tracking

By means of traffic upper limits the maximum number of views can be controlled

Traffic limitation

Define aims Define framework conditions Closing individual contracts with post-view partners (liability!) Monitoring of post view activities

- Are all active partners authorized?- Are the advertising media integrated correctly?- Are traffic limits observed or do they have to be modified?

Monitoring of development of overall sales and channel distribution

QUISMA controls and monitors the post-view activities, maintains direct contact to the partners, controls the cookies of all online activities and provides customized solutions for post-view tracking

Summary

Start of a post-view campaign

Monitoring the activities of the post-view partners

Exclusion of unwanted websites (if required)

Controlling the correct technical integration with the partners

Controlling abuse by unauthorized partners

Post-view set up

Determining the time frame

Determining post-view advertising media

Determining post-view partners

Define framework conditions

Creating a high-traffic landing page, if required

Definition of traffic limitation per partner

Securing correct representation in statistics (e.g. via networks)

Checking the quality of sales per partner

Monitoring the development of the overall sales

Revoking the post-view authorization for partners that are no longer active or unprofitable

Update of advertising media and texts

Observing market changes and taking them into account

Initial considerations During the campaign Optimization

Taking into account the cookie weighting

Adapting the provision arrangements Observing increased advertising

performance

Affiliate programme with PV

EXAMPLE Standard affiliate

Post-view affiliate

Cookie runtime

60 days 5 days

Weighting Click (before view)

View

Provisions 8 EUR 4 EUR

Active partners

1,000 6

Views/month 500,000 15,000,000

Increase potential by PVWithout PV

Direct affiliate

Sales 100 100

Turnover 8,500 EUR 8,500 EUR

CPO 0 EUR 8 EUR

Cost 0 EUR 800 EUR

TOTAL 200 sales/800 EUR cost17,000 EUR turnover

With PV

Direct affiliate Post view

Sales 80 110 40

Turnover 6,800 EUR

9,350 EUR

3,400 EUR

CPO 0 EUR 8 EUR 4 EUR

Cost 0 EUR 880 EUR 160 EUR

TOTAL 230 sales/1,040 EUR cost19,550 EUR turnover

Reducing the provision arrangement for post-view partners in order to reduce CPO

Compensating direct sales losses by means of increased performance in other channels

In absolute terms, an increase of the sales is achieved with CPO remaining the same

Values may vary, thus: individual assessment and adjustment to targets

+30 sales+ 2,550 EUR turnoverCPO for + 30 sales: 8 EUR

Determination of OnTop potential by means of- Comparison of all channels before and after

post-view promotion- Click/view path analysis- A/B test

Deduction: programme-specific settings for provision and cookie run time

Evaluation post-view success

Comparison of all channels

Sales

Months

Sales per Day

15%Sales

Months

Overall SalesSignificant increase of

sales with Post-view

Post-view campaign pushes AM and SEM and other channels, where applicable

Direct sales will decrease Overall sales will increase

Month 1 Month 3 Month 70

500

1,000

1,500

2,000

AM PVDirect Sales SEM

Month 1 Month 70

500

1,000

1,500

2,000

2,500

3,000

3,500

Allocation

Minor decrease in direct sales (approx. 14%) Increase of overall sales and of turnover by approx. 15% Development of overall CPO depends on post view provision

THUS: Adjustment of possible post view provision to maximum overall CPO possible

TOTAL: 2.750 Sales

Revenue: 233.750 EURCPO: 8 EUR

TOTAL: 3.160 Sales

Revenue: 266.900 EURCPO: 8 EUR

SEMn = 750

Direct Sales

n = 1500

Affiliaten = 500

SEM n = 830

Direct Sales

n = 1250

Affiliate n = 620

Post Viewn = 460

55%

18%

27%

14%

26%

20%

40%

Without Post-view

With Post-view

Weighting PV/shared conversions

Post-view partner receives a provision Post-view remuneration only, if not other contact exists Post-view can push other channels -> Determination of correlation

between channels Use of interaction effects of all channels and efficient use of post view Increased brand visibility through “free” display of advertising media

Click path analysis: Evaluation of frequency of individual paths and allocation of weightings of individual contacts. In most cases, several hundreds of combinations.

PV > Affiliate > PV > SEM > PV 20

x

SEM > SEM > PV > SEM200x

PV100x

Cookie run times post view for 7 days post view tracking and “click before view” regulation

Cookie run time post-view

Cookie run times for 30 days post view tracking and without “click before view” regulation

Days

Days

“Click before view” regulation ensures fair allocation of sales In most cases, a short cookie run time of less than 96 hours is

enough

0 1 2 3 4 5 70

100

200

300

400

500

No. Of Sales

0 2 4 6 8 10 12 14 16 18 20 22 24 26 28 300

100

200

300

400

500

No. Of Sales

Sales with Postview

Sales without Post-view

Pitfalls

Adjustment of cookie switch

Isolated consideration of post view

Taking into account shared conversions

Control of post view authorization in the network

Partner selection (closed group/entry conditions)

Traffic load (high traffic landing page)

Coordination with existing cooperations (no multiple booking of websites)

Defining adequate sites/contents

Customer with online shop (industry: retail) Peak season: Christmas (December) Addition of post view as online channel in summer 2009

(PV cookie: 4 days – 5 post view partners – standard provision)

Case study

Case study

General increase of sales level in 2009 due to intensive sales measures

Post view integrates as additional advertising channel and supports existing measures

Only minor cannibalisation of direct sales observed

Oct Nov Dec Jan0

100200300400500600700800

Affiliate Postview Direct SalesNewsletter SEO SEM

Oct Nov Dec Jan0

100200300400500600700800

Affiliate Postview Direct SalesNewsletter SEO SEM

2008 2009

Development of the individual channels in 2009 in percentage

Case study

In the peak season high increase in the post-view area compared to affiliate

Advertising pressure through post view and newsletter results in a clear increase also for SEM and SEO still showing effects in the following month

In comparison, affiliate stable channel with low fluctuations

2009  Oct Nov Dec Jan

Affiliate -5% 35% 59% -10%

Post view 3% 33% 146% -40%

Direct -1% 15% 160% -46%

Newsletter 2% 22% 195% -65%

SEO 0% 11% 165% -6%

SEM -1% 4% 98% -2%

Consequences: Post-view has been in constant use since summer 2009 Post-view partners are specifically addressed during the

peak season Development of a maximum advertisement pressure during

the peak season Provision of adequate post-view advertising media for the

online campaign Evaluation of correlations of online channels

Case study

Post-view can result in a general sales increase Additional cost for sales increase must be calculated throughout

all channels Detailed documentation of post-view activities important for

evaluation Success/failure can be clearly proven Use of post-view for a limited period of time possible (e. g. during

seasonal peaks) Cooperation with reliable and professional partners only

Summary

In general it can be said: Not in all cases, post-view does lead to success. Individual

adjustment to the own targets is a mandatory requirement.

Q&A

www.quisma.comwww.twitter.com/twismawww.quisma.com/facebookwww.twoqubes.com

QUISMA GmbH . Rosenheimer Straße 145i . 81671 München . Phone: 089/44 23 82-0

Thank you very much for your attention!