Bad Etiquette with Brand Name Bidding?

[mickn88]

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Guys,

I have just noticed one affiliate of ours have been making a lot of sales for us recently. However on closer examination, I see they have been inserting google ad's on our brandname.

How is this perceived in the affiliate world...?

Thanks

Mike

[tbp]

It depends on what your policy is for affiliates using PPC. Some merchants will not allow any bidding on their name / brand names, whereas others don't mind.

In the end, you are getting sales, which is the main thing.

The only time that it really causes problems for merchants is when they are using PPC themselves, and then you end up competing with affiliates on your own name. If your not using PPC, then I can't really see its a problem affiliates bidding on your name.

[mickn88]

It depends on what your policy is for affiliates using PPC. Some merchants will not allow any bidding on their name / brand names, whereas others don't mind.

In the end, you are getting sales, which is the main thing.

The only time that it really causes problems for merchants is when they are using PPC themselves, and then you end up competing with affiliates on your own name. If your not using PPC, then I can't really see its a problem affiliates bidding on your name.

We are using PPC...but this particular affiliate is taking the Pss. I wouldn't mind if they were doing a PPC campaign on us....but just bidding on our brandname is not really on.

[tbp]

Sorry, I misunderstood you, thought they were running a campaign for you on your name. No, its not really on if they are using your brand name and advertising someone else.

[marky]

I think it is generally accepted that it doesn't take much in the way of skill or provide much in way of value for an affiliate to just bid on a clients brand, using their url (is this what is happening, apologies if I misunderstood) though it isn't illegal either. Some merchants allow it, some don't. If you have put it in your terms, deal with it in however you deal with people abusing your program. If it isn't, amend your terms now and there is no more grey area.

As I did briefly touch on, some merchants are happy for this (normally as part of a wider generic campaign though) so make it clear. Don't want to comment to much on ethics or etiquette without knowing the specifics, though as you are clearly unhappy about it, make it clear from today on. On the other hand maybe you still want to work with this affiliate ? Maybe you can work with each other closer by letting him/her know you would letthem carry on if they were sending say 80% of traffic from generic terms ? Just ideas really ...

[DioBach]

The other thing to check for is if they're broadmatching and they don't realise they're in breach of your PPC terms (provided they're clearly set down).

You could ask them if they could negatively bid on your name. It's happened to me, unintentionally on several occasions that my ads have come up on a site's name due to broadmatching. With a generic term in many of the sites I promotes names, it happens. I've always sorted it out when it's come to light.

[D-Mac]

Your network should really have spoken to you about this issue when you signed up with them.

[Emma Delaforce]

It is important to discuss with your network these issues before you launch your program so the terms are clearly defined from the beginning of your affiliate program and you and your affiliates understand what they can and cannot do.

It would be best if you contacted the affiliate directly to find out their side and get it sorted amicably as said by DioBach, they may not realise they are bidding on your brand if they are using broad match terms or they could be unaware of the terms of your program.

[mickn88]

It is important to discuss with your network these issues before you launch your program so the terms are clearly defined from the beginning of your affiliate program and you and your affiliates understand what they can and cannot do.

It would be best if you contacted the affiliate directly to find out their side and get it sorted amicably as said by DioBach, they may not realise they are bidding on your brand if they are using broad match terms or they could be unaware of the terms of your program.

Yep true, I did not clearly define terms. So I hold my hands up there.

What happens is we spend a shed load on PPC ourselves...people come and book orders over the phone and we then send them to pay online. However when they return to pay online, a term they often use to find us is "dial a dealer" and they click on our ad.

However this particular affiliate only seems to bid on our brandname terms. Real opportunistic behaviour in my opinion. At least make an effort to promote us!..and not try to "nick" a quick 20%!

[hpops]

Your network should really have spoken to you about this issue when you signed up with them.

Without a doubt the most important issue in Brand Name Bidding is the above.
With transparency comes trust, with trust comes growth

[KirstyM]

I think the best thing you can do if you are unhappy with this is to send out a notice to all affiliates saying you want all brand bidding to cease within a set period of time (make it a reasonable time for affiliates to see this and adjust campaigns). Make it clear that after this time period you will reverse any commissions generated in this fashion. The network will be able to identify any that have come from this promotional method.

If you just tell this one chap to cease and desist all that will happen when he switches off is that he'll be replaced by someone else.

Allowing select affiliates to bid on brand can work well for some merchants. For example, if you have an affiliate in the future who is driving a lot of sales you may be able to offer them brand rights in exchange for them ramping up their generic sales. This varies from programme to programme, but it should be your (informed) choice at the end of the day!

[drivetowin]

Fully agree with Kirsty.

If you haven't explicitly stated that brand bidding is not allowed then really you should pay the commissions to this affiliate up to the date that you communicate to all of your affiliates that brand bidding is not permitted.

Brand bidding is a real hot potato which is why it has its own session at the Affiliate Boot Camp next weekend (details in sig) - if you can make it you really should book a place and come along - you will learn a lot about not only working effectively with ppc affiliates but lots of other useful information too.

[Frostie]

Hang on, I think a few people have got the wrong end of the stick here, if I'm reading it correctly....

- MICKN88 owns XYZ program with Network1
- Affiliate123 is not a member of the XYZ program but is a member of ABC program that is in the same industry.
- ABC program maybe on Network2
- Affiliate123 is bidding on XYZ Brand, but actually sends the traffic to ABC via a different network
(eg, me bidding on FIREBOX, not being an affiliate with them (AWin), yet sending all my traffic to PREZZYBOX (POR))

Is this what you are saying?

If so, I think merchant ABC and Network2 need to be contacted to make them aware of a rogue affiliate. Its touch luck if its not a brand or TD, but if it is, I don't think its against any rules so to speak, but it is fround upon.

I STAND CORRECTED
I think I got the wrong end of the stick
I misread "However this particular affiliate only seems to bid on our brandname terms. Real opportunistic behaviour in my opinion. At least make an effort to promote us!" as in someone trading off their brand name for another company.

So ignore everything I've said, and listen to Kirsty lol

[KirstyM]

So ignore everything I've said, and listen to Kirsty lol

I'm framing that quote and showing it to my other half. He'll see it makes sense in the end.

[mickn88]

I think the best thing you can do if you are unhappy with this is to send out a notice to all affiliates saying you want all brand bidding to cease within a set period of time (make it a reasonable time for affiliates to see this and adjust campaigns). Make it clear that after this time period you will reverse any commissions generated in this fashion. The network will be able to identify any that have come from this promotional method.

If you just tell this one chap to cease and desist all that will happen when he switches off is that he'll be replaced by someone else.

Allowing select affiliates to bid on brand can work well for some merchants. For example, if you have an affiliate in the future who is driving a lot of sales you may be able to offer them brand rights in exchange for them ramping up their generic sales. This varies from programme to programme, but it should be your (informed) choice at the end of the day!

Yeah...fine if he is sending me lots of sales..and a lot of traffic....and ..but it is not the case. I have just spent the whole day looking at all of our keywords...Funnily enough this chap does not bid on anything other than direct search terms..ie stuff like "dial a dealer" or I feel pretty violated to say the least. I really don't mind paying people comm when they make a serious effort and promote us and work hard. But this is taking the pss..

There should be something to safeguard against this. (I know people will come back and say, put it in the small print and be more careful)

Anyway, enough said, I am logging out for today...and having a few pints!

Cheers for the feedback guys. Appreciate it...