The Hut Group (THG) is the UK’s leading multi-website online retailer, comprising 16 programmes including Zavvi, MyProtein, Lookfantastic and ProBikeKit across five retail sectors.
In 2014, they worked with Affiliate Window on two key objectives for their programme:
1. To increase year-on-year revenue by 50 per cent through the performance channel
2. To ensure that promotion of THG is easier for publishers
Solution Number One—Targeted Recruitment and Optimisation
Optimising the Core
To optimise influential publishers, the team provided added incentives such as cost-per-action (CPA) increases, bonus targets, tenancy allocation or exclusive codes.
CPA increases and tenancy spend with a key social site delivered a 98 per cent uplift in clicks, 129 per cent uplift in sales and a 79 per cent increase in revenue.
A gold package and commission bounty with a large content site delivered over 700 per cent uplift in traffic and over 2000 per cent increase in sales.
Increasing the commission for a key product site saw a 188 per cent increase in clicks, 272 per cent uplift in sales and 374 per cent increase in revenue.
Revenue share from new publishers
The performance of new publishers was monitored across the group and compared with network performance to understand where programmes are under-indexing or over-indexing in comparison with competitors. The team then prioritised and targeted publishers where programmes were under-performing, offering CPA incentives and trialling tenancies.
In 2014, three per cent of total revenue came from new publishers joining THG programmes.
Solution Number Two—Innovation
As an online-only advertiser, THG’s priority is to ensure sales are being attributed to publishers and, through Affiliate Window’s cross-device tracking, THG has seen a five per cent uplift in revenue.
Affiliate Window’s tool Convert-a-Link automates the conversion of product links into trackable affiliate links. THG has rolled out the Convert-a-Link solution to a few key publishers to aid conversions. This has enabled recruitment of smaller blogging sites to be more streamlined and approachable.
New data feed solution
With the update to Affiliate Window’s data feed platform, advertisers can upload more than one feed and utilise vertical-specific columns for publishers to use. The THG fashion programmes have three feeds: generic; fashion; and best seller.
Analysing the feed performance from February to July 2014 against August to December 2014 (an old version feed versus a new one) has generated the following results across THG:
Solution Number Three—Cross-programme Account Management
Analysis and Trends
In-depth analysis was conducted so that influential decisions could be made to aid performance. Code and date analysis was performed to assist with promotional planning and ensure publishers were getting the correct exclusive codes to drive conversions.
Group collaboration and tenancy allocation
THG trialled a collaborative approach to ease promotion for publishers. Publishers were approached regarding all THG programmes by one account manager, resulting in discounted rates on tenancy spaces due to bulk bookings, enabling publishers to engage with the group.
The tenancy budget enabled THG to aid affiliates in their promotion and take competitors out of these spaces which was the key argument in securing this budget.
The uplift on average across the programmes for a week with a tenancy promotion versus a week without is as below:
The team took a unified approach for email communications and created retail specific newsletters allowing the team to monitor open and click rates to report on the interaction of publishers, as well as seeing the most popular links clicked.
– 100 per cent target hit
– Cross device: five per cent uplift in revenue
– Data feed: revenue increase of 49 per cent across THG
– Tenancy uplift: click uplift of eight per cent, sales uplift of 17 per cent and revenue uplift of 18 per cent