Watch as ERA CEO Julie Coons delivers a sneak peak of what attendees can expect from ERA’s upcoming 2009 D2C Convention in Las Vegas September 13-15. Register now! Early bird ends July 1!
Click here to visit ERA’s YouTube channel!
Questions? Comments? Interested in contributing content? If so, please contact Pat Cauley, eMedia editor, at pcauley@retailing.org or 703-908-1030.
MEXICO CITY—Mexico is protesting what it says is a whopper of an insult, according to the Associated Press. An advertisement for Burger King’s Texican Whopper burger that has run in Europe shows a small wrestler dressed in a cape resembling a Mexican flag. The wrestler teams up with a lanky American cowboy almost twice his height to illustrate the cross-border blend of flavors. “The taste of Texas with a little spicy Mexican,” a narrator’s voice says. The taller cowboy boosts the wrestler up to reach high shelves and helps clean tall windows, while the Mexican helps the cowboy open a jar. Mexico’s ambassador to Spain said Monday he has written a letter to Burger King’s offices in that nation, objecting to the ad and asking that it be removed. Jorge Zermeno told Radio Formula that the ads “improperly use the stereotyped image of a Mexican.”
Click here to read the complete article.
Tired of the same old tips and tricks about web affiliate marketing programs? “Communicate with them, treat them with respect” yada-yada. What about what really works? I pulled together a group of my most experienced, thought-leading colleagues to find out what’s moving the needle in affiliate marketing today. The below innovations are what I discovered. I’m happy to share these best practices. Yes, they can be quickly and easily applied—helping you manage your affiliates and extract maximum sales efficiency. Stay tuned to Electronic Retailer’s blog for candid interviews with these experts where they’ll “go deep” to reveal their secrets to success.
1. Allow affiliates to access a knowledge-driven feedback loop to improve their ROI and, as a result, increase yours.
a. Let affiliates “connect the ROI dots” between their investments (media spending) and your ultimate success (sales or new customers).
b. Provide select, trusted affiliates with limited, yet unfettered, access to your internal metrics and customer behavior data.
2. Strengthen relationships with superstar affiliates and open doors for potential superstars by actively, yet cautiously, investing hard and soft dollars in them.
a. Invest in affiliates: Underwrite affordable, educational opportunities and conferences for them. Sponsoring affiliates is very popular in the European realm.
b. Sponsor low-cost, virtual innovation forums and webinars that offer training opportunities for top affiliates.
c. Provide limited access to web metrics (i.e., Google Analytics, Omniture) and optimization tools that are already at your disposal, yet possess a high perceived (and applied!) value among affiliates.
d. Invest in affiliates: Subsidize the media buying of select, high-value affiliates by providing matching contributions to their expenditures or allowing access to your media buying prowess.
3. Develop and communicate a clear, well-reasoned search marketing policy to affiliates.
a. Audit your affiliate program for confluence with paid (PPC) search advertising efforts.
b. Understand value driven by affiliates across various categories based on audit results that demonstrate “triggers” of sales transactions.
c. Create business rules that negate and approve affiliate commissions based on logical rules that are shared openly and pro-actively with affiliates.
d. Understand where your search engine optimization “sweet spot” is by identifying where you want to spend time, energy (money). Assign “long tail” search terms/keywords (those able to generate less referral volume) to affiliates for their monetization efforts.
4. Experiment with social media affiliates.
a. Scale your most precious resource, time: Use new tools, such as Syntryx, to rapidly prospect for qualified affiliates.
b. Provide affiliates with access to helpful, innovative Web 2.0 linking technologies like Linkshare’s FlexLinks or Amazon’s various tools ranging from “SiteStripe” to widgets.
c. Give affiliates access to product data, coupons and other content via flexible, RSS-enabled technologies.
5. Consider creative, new approaches to paying and bonusing affiliates based on performance.
a. Throttle up payouts among performers who drive volume at a reasonable cost, considering channel confluence issues, etc.
b. Throttle down payouts among under-performers who’ve been given a fair chance, but are not performing on a quarterly basis.
Stay tuned for more actionable tips and interviews with experts in a variety of performance-focused web marketing strategies.
Jeff Molander is a leading Web marketing expert, author and speaker. He is CEO of Molander & Associates Inc.
People always say that sex sells. Perhaps that’s why these two foreign ad campaigns for Burger King and the Fiat Panda heavily incorporate sex/sex appeal. Both were eventually banned in their respective countries. However, they obviously still enjoy viral life on YouTube and through e-mail.
What’s your take on the ads?
Pat Cauley is Electronic Retailer magazine’s eMedia editor.
As we wind down from ERA’s Annual Convention, it’s always fun to look back at some of the things that distinguish the direct-to-consumer industry from the greater retail and advertising industries at large. I recently conducted a Q&A with well-known DRTV host Beau Rials. When asked how he’d seen direct response evolve over the years, Rials had this to say:
It’s moved from the punch line of Madison Avenue to something they must do. Sure, people still make fun of infomercials and short-form spots, but a huge percentage of Fortune 500 companies now make them an integral part of their advertising plans. What’s great is, one week I’ll be shooting a show for some start-up’s dream product, and the next I’ll be selling $4,000 air conditioning systems for Mitsubishi Electric or $3,000 fish finders for Johnson Outdoor. In my 17 years, I’ve seen direct response advertising go from laughing stock to something you better be doing if you’re a VP of marketing.
Click here to read the entire Q&A article where Rials discusses a variety of aspects of the DRTV industry. As an on-air host, all of the products Rials represents must receive his stamp of approval. Being a DRTV or live shopping host can be a very daunting task. We’ve shown bloopers on the Electronic Retailer blog before, but the video below may take the cake.
(Note: Watch until the end if you have the time—the entire demo continues to snowball into tears and laughter!)
Pat Cauley is Electronic Retailer magazine’s eMedia editor.
As advocates for choice, competition and innovation on the Net, we’re troubled to read about a ludicrous court ruling against online commerce. The French Tribunal de Commerce in Paris ordered eBay to pay 39 million Euros to French luxury goods maker LVMH. Mike Masnick of Techdirt shares our outrage here.
Judging by media coverage of this ruling, one would think it’s all about preventing sales of counterfeit goods. But it’s actually much farther-reaching than that, in a way that’s incredibly damaging to the growth of e-commerce, small business and consumer choice in Europe. The French Court ruled that eBay must halt the sale of legitimate, genuine LVMH perfumes on the eBay site. Essentially, the Court held that a big business like LVMH could stop customers and owners of its products from re-selling them to someone else. This is blatant discrimination by French authorities against the e-commerce channel. eBay is appealing the ruling (read their take on the ruling on their company blog, eBay Ink). The outcome of this appeal could impact the future of e-commerce around the world.
Imagine if efficient online marketplaces like eBay, Overstock, Amazon and others had to pull the plug on entire categories of items, preventing perfectly legal sales of authentic items. Millions of shoppers use these sites to find great deals on things they want or need. During tough economic times, many people look to the web to help stretch a household budget. And millions of people around the world use the web as a tool for running their small businesses. And if you think that this is just another example of “France being France,” think again. This backward, anti-competitive perspective may be coming to a court near you. Any day now, the Federal District Court in New York will rule on Tiffany’s lawsuit against eBay. Again, Tiffany is crying counterfeits, and trotting out dubious data on online sales. But we believe Tiffany’s real interest here is to shut down any distribution of Tiffany products that isn’t completely controlled by Tiffany. Got a gift of earrings that just aren’t your style? If the New York court rules the wrong way, you may no longer have the option of selling them online.
Of course, counterfeits are a scourge to any marketplace. They undermine brand integrity and cheat buyers. And counterfeits have been a problem long before the Internet existed. eBay and others have worked hard to stem the sale of fake items. But go to any urban sidewalk, bazaar or back alley, and you’ll likely find the counterfeit trade still thriving. So when manufacturers and retailers cry “counterfeit” and point fingers at the e-commerce channel, their true motives are exposed. They’re calling for competition prevention—not consumer protection. And when courts agree with them, we all lose.
Steve DelBianco is executive director of NetChoice.
Home furnishings giant IKEA clearly has a grip on its segment of retail. IKEA, originating in Sweden, has grown into an international fixture over the years. However, cultures around the world are very different, and therefore, the marketing and advertising that makes sense to consumers in different countries can vary greatly. Knowing that most Europeans are typically harder to offend than most Americans when it comes to sexuality, would this kind of advertising work in United States? Would this be harmful to the IKEA brand? Electronic Retailer reached out to Dan Akalou, IKEA’s general manager, to get his input on this thought-provoking issue.
“This commercial, which aired in Scandinavia, reflects both the impact of divorce on home life (the tag-line reads ‘A better divorce for everyone’), as well as the versatility of the IKEA range of home furnishings solutions. It’s unlikely that we would run advertising like this in the United States. That said, the sentiment of versatile products that allow adults to have an adult home even when they are parents, is consistent across national borders. IKEA is known for doing edgy commercials in many of its markets. Breakthrough communication creates awareness quicker and at a lower cost than the usual informative approach to advertising.” —Dan Akalou, IKEA general manager.
Do you think this ad would work in the U.S.?