REVENUE performance Monetization & High-Performance Marketing MOBILE THE NEXT BIG MONEY-MAKER • Mobit - The next generation of mobile optimization? • The future of social performance marketing Issue 15 | Summer 2013 • 7 keys to global affiliate marketing success revenue.mthink.com t3leads-ase-ad_16x10-75_PP_v01_crvs.pdf 1 7/25/13 2:40 PM C M Y CM MY CY CMY K t3leads-ase-ad_16x10-75_PP_v01_crvs.pdf 1 7/25/13 2:40 PM C M Y CM MY CY CMY K REVENUE Dedicated To Monetization + High Performance Marketing performance Contents PUBLISHER & EDITOR Chris Trayhorn The Future of Performance Marketing: More DIRECTOR OF ONLINE Consolidation & Better Social Media Sheila Fox Lead Generation..................................4 PRODUCTION DESIGN Rick Greer By Peter Klein, MediaWhiz Revenue Performance is published by mThink 55 New Montgomery, Suite 617 Public and Private Aliate Networks: San Francisco, CA 94105 mThink: Intelligent Performance Marketing Finding the Right Mix.............................6 By George Hansen, oneNetworkDirect, Digital River CHAIRMAN AND CEO Chris Trayhorn VICE PRESIDENT, MARKETING Firefox and Third Party Cookie Blocking ...........8 Yvonne Schellerup By Ryan Gilbert, Webgains USA DIRECTOR, WEB DEVELOPMENT Ron Snow Understanding the Modern Payday Loan ........ 10 By Morgan Gethers, T3Leads advertising Index: ad:tech ................................... 16 SPECIAL PRODUCT REVIEW AdultModa ...............................20 Mobit: Changing The Game In Mobile Media? ... 11 eMetrics Summit ..........................22 By Chris Trayhorn, Revenue+performance FriendFinder Networks ..................OBC Fluent .....................................9 Are You Asking For It? You’d Better! .............. 15 iBallers.com ...............................17 By Matt Frary, SmarterChaos.com LifeLock ..................................23 Privacy Policies: A Legal Necessity Matomy Media Group ....................IBC for Mobile Apps ................................ 18 MediaWhiz ................................7 By David O. Klein & Daniel West, Klein Moynihan Turco LLP Millionaire Network ........................2 The 6 Most Common Mobile Optimization T3Leads .................................IFC Mistakes & How to Avoid Them ................. 19 By Lee Aho, Clickbooth While every effort has been made to ensure the accuracy of the content of this publication, the publisher will accept no responsibility for any errors or omissions, or for any loss or damage, consequential or otherwise, suffered as a result of Seven Requirements for Global Aliate any material published here. The information published in Revenue+Performance is not intended as a substitute for legal, Marketing Success.............................. 20 accounting, tax or other professional advice. The publisher assumes no responsibility for statements made by advertisers By Lisa Mollura, Rakuten LinkShare in business competition. All editorial submissions, whether solicited or unsolicited, become the property of mThink. State- ments and opinions expressed herein are not necessarily those 5 Steps to Accelerating International Growth .... 21 of Revenue+Performance, mThink, its affiliates, advertisers or any other agent. The name “Revenue+Performance” and the By Cristian Miculi, Avangate phrase “Super-Affiliate Insights” are the intellectual property of mThink. The entire content of this publication is protected by copyright; full details are available through the publisher. All Choosing Your Best Network Partner ............ 24 rights reserved. These trademarks or copyright materials may not be used in any media for any purpose without the express By Doug Godkin, Millionaire Network written consent of mThink. Disclaimer: Revenue+Performance and revenue.mThink.com include editorial and/or advertising that refers to affiliate programs © 2013 mThink ISSN: 1549-7615 that often include many different websites. Occasionally those programs may include websites offering education in casino or Cover Image: © Dmitriy Melnikov card games. In such cases no promotion or endorsement of those sites should be inferred or implied – our editorial coverage and/ or advertising relates only to the affiliate program itself. Revenue+Performance magazine and revenue.mThink.com do not accept advertising that promotes online gambling. revenue.mThink.com 3 Industry Insights – Peter Klein, MediaWhiz The Future of Performance Marketing: More Consolidation & Better Social Media Lead Generation By Peter Klein, MediaWhiz Three seemingly disparate events this year — the closing GAN’s failure is indicative of the across-the-board of the Google Affiliate Network (GAN), Facebook introducing consolidation that has been going on in the performance CPA buys and Twitter launching Lead Generation Cards — marketing industry in recent years. Performance marketing foretell the future of performance marketing. There are two is still a huge growth channel, and it will continue to grow, trends moving in parallel: the increasing consolidation of the fueled by innovations in mobile marketing and social media. industry that will result in only a few select full-service players There remain, however, far too many small companies getting and niche networks in operation, and a continued integration squeezed out by market saturation and capital needs. of lead-generation marketing capabilities by social media In short, there wasn’t enough value being added to the portals. performance marketing food chain by all of the new affiliate Brands are increasingly coming to the realization that network entrants to sustain their own business, let alone an experienced performance marketing network/agency is drive organic growth for the industry. Something had to give, critical. Equally important is the acquisition of action-taking and it took the shuttering of GAN — not the largest affiliate consumers in a social media setting versus merely purchasing network, but one that had great name recognition given a presence. its affiliation with Google — to wake the industry up to the In short, more advertisers, along with the social media reality that a bubble of new, often unsustainable affiliate platforms they use to reach consumers, are realizing that a networks was forming. And just like financial and real estate strong lead-gen component is needed for successful, ROI- bubbles, all good things eventually come to an end. positive brand advertising. The closure of GAN, combined The Era of Performance Marketing Stability with Facebook’s and Twitter’s forays into lead generation, represents a critical evolution toward performance The closing of Google Affiliate Network represents the marketing’s future. end of a reckless era of expansion and greed within the performance marketing industry. We’re at the dawn of a more google affiliate Network Closure and Consolidation mature, stable era in performance marketing. In mid-April, Google announced it was shutting down the Affiliate networks and performance marketing agencies GAN platform to allow the search giant to “focus on other need more than big-name recognition to fuel sustained products that are driving great results for clients.” All services growth. They need to have their own content and properties, will be shut down over the course of a few months, Merchants focus on a particular niche or vertical(s) and employ highly (May 1), Publishers (July 31) and reporting (October 31). Many skilled internal media buyers with powerful technology and of the traditional CPA networks have tried to capitalize on this analytics — not just own the physical media channel. There gain, though I’m sure the majority of this scramble went to the will always be room for small players to earn a decent living, convenient choices of behemoths like Commission Junction or but those days are slowly passing by without having one of LinkShare. these pieces. The sudden closure of GAN came as a major surprise to Large or small, consolidation is helping to assemble large, many in the performance marketing industry because of the end-to-end performance media experts. I have even seen general feeling that Google had the market power to succeed this with my own company. MediaWhiz has always been a at anything it attempted. Google has an amazingly talented large player in the performance marketing industry, working and entrepreneurial staff but even so it is hard to shake the with some of the world’s top brands across a variety of media idea that Google believed it could dominate a $35 billion channels, such email and search, and competes strongly in industry on name and existing clients alone. The problem is several verticals (Education, Finance, Insurance and Health that search and performance marketing are two completely and Beauty). Last January, we were acquired by Matomy distinct channels of online marketing. The complexities within Media Group, a global performance marketing company that the performance marketing industry are far greater than those excels in display, mobile, international and verticals such as within search marketing. games and entertainment, and is a strong complement to Google’s shuttering of GAN reinforces the notion that MediaWhiz’s core business. Combining the best of these two performance marketing is one of the most complex facets of companies’ core strengths in such a complementary fashion online marketing. It requires a sophisticated understanding of will pay off in the near future as we spread out wider coverage how customer acquisition works in the digital age. to thrive and adapt. Adaptation, in this case, is the