Mobile Marketing in the Affiliate Channel: Trends, Opportunities and ChallengesOwen HewitsonClient Strategist, Affiliate Window & buy.at

Trends

Some Context

• Smartphone penetration in the UK at 33% (source)

• 23% of all time on the web is now via mobile (source)

• 50% start their mobile web experience with a search (source)

• eBay make a sale every second on mobile (source)

• One third of UK shoppers used m-commerce last Christmas (source)

Percentage of mobile-driven traffic

Percentage of mobile-driven sales

Mobile traffic by device

Mobile sales by device

Apple Devices

Conversion by device

AOV by device, June 2011

Opportunities

Mobile Affiliate Trends

• Social and location-based models provide the most promising opportunities

• At present a money saving niche exists within mobile that is gaining momentum

• One large retailer sees c.90% of mobile sales from incentivised traffic

Affiliate Example: Nectar

• Combining incentive and location-based features

• Members get access to exclusive reward points opportunities only available through the app

• Prioritises advertisers with mobile tracking enabled

Affiliate Example: Quidco

Affiliate Example: Sccope

Mobile product comparison: 79% of smartphone owners use their phones to search for information on a product (source)

Barcode scanner will compare both pure play and multi-channel retailers

Rotating the phone reveals price history graph for the selected product

Advertiser Example: Debenhams

• Multi-channel approach• Detailed reporting• Increase store footfall and

online traffic• Reduce reliance on offline• Capture email & mobile

data• Acquire new customers• Use unique codes to

prevent misuse

• High volume distribution through affiliates

• Affiliates drove 43% of total sales

• Majority redeemed in store (57%)

• 70% were new customers• Successful trial = repeat

campaign

Challenges

Challenges

• Current lack of mobile-optimised advertiser sites

• Imperative to get affiliate tracking on advertisers’ m-commerce sites

• Advertisers’ own apps are a ‘walled garden’• No standard for linking into a mobile app

Thank you

Mobile Marketing in the Affiliate Channel: Trends, Opportunities and ChallengesOwen HewitsonClient Strategist, Affiliate Window & buy.at