With the ‘year of the mobile’ rapidly approaching, the importance of online performance marketing and affiliate marketing is greater than ever. The Performance Marketing Network explains why
As a nation of consumers, the UK is infatuated with their smartphones and mobile devices. This is becoming more evident with the increasingly widespread availability of mobile internet, 3G and 4G, and is reasoned to have been a contributing factor to the fact that the nation’s ecommerce resonates well above the regional average.
As identified by business and consumer trend tracker, Passport, these online and mobile trends ensure that in regards to business conduct, consumers are targetable and reachable for over 80 per cent of the day. With this in mind, it is no doubt that online performance marketing (OPM) and affiliate marketing are seen to be ‘no brainer’ tactics that should be employed.
OPM and affiliate marketing remain two of the most successful methods of implementing specifically consumer-segmented targeting: ensuring a significant increase in effective lead generation. However, despite their nature of offering successful marketing tools, OPM and affiliate marketing constitute a ‘hidden economy’, in comparison to other channels. A recent study undertaken by the Internet Advertising Bureau and PwC identified the true prosperity of employing OMP and affiliate marketing tools. It was recognised that these forms of digital marketing maintain significant ROIs, with every one pound of sales of OPM equating to 11 pounds of revenue.
With these exciting revelations it is shocking that only an estimated 3000-4000 advertisers are actively investing into these channels and, even more astonishingly, OPM currently accounts for a mere seven to nine per cent of the entire of the UK’s digital marketing spend. Yet OPM offers some of the most engaging and incentivised concepts to draw consumers in, particularly in this digital age where, as previously identified, UK consumers remain perpetually interested in mobile device applications. Despite this steady growth in the market’s deliverance of OPM and affiliate marketing, the companies that are already employing these notions are thought to be on to a winner.