An affiliate network is an affiliate

[gadget]

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I'm not sure how I feel about this yet. I've just found out that one of the main affiliate networks also operates an affiliate site.

So, a merchant signs to this network and builds a relationship in the normal way. Next, the affiliate part of that network earns commission from what qualifying sales.

I've kept names confidential at the moment.

What does everyone think of this?

[Alfie]

I'm sure this thread will prompt a lot of response!!! My feelings are that it shouldn't be allowed - as affiliates, we from time to time are asked to reveal to networks all sorts of info about how we promote our sites / traffic sources etc.

They have also got access to thins such as keyword reports etc. So by operating their own affiliate site, they can surely "steal" if thats the right word, all the best practises.

Maybe there is a legitimate reason for having a site up, for example, testing new tracking software ( heaven forbid!! lol ) - but if its a revenue generating site, being actively promoted, then that is wrong - in my opinion!

All the best,

Alf

[Maxafi]

I think most of the networks, with one or two exceptions, have affiliate sites in one form or another. The ones I know of have done so far a few years as far as I can tell.

I also know that one network in particular is actively trying to acquire affiliate sites to add to their portfolio.

[marky]

this has been discussed quite a lot before - will try and dig up some old threads - though peoples attitudes can change so always great to hear what peoples feelings are now .... certainly one of the networks had been very open about it and had maintained it kept it operating in a separate area. (not that that will satisfy a many people against this set up)

In addition - there are a lot of blurred lines in this industy

There are lots of merchants who are affiliates
Affiliates who are also merchants
Networks who are affiliates
Network Staff who are affiliates.
Agencies who are now also networks.
Affiliates who are agencies

Additionally some networks will not allow their staff to become affiliates. and am sure there are other cases like this.


I do not have a problem with it, others do. There have been some very strong feelings on the subject before ... am sure they will be this time ..

[D-Mac]

Business is business

[drivetowin]

A number of the networks do it - Affiliate Future, Paid on Results, Smart Quotes, OMG and Affiliate Window all have (or did have last time I checked) their own affiliate sites as well as being networks.

And I would think there is probably not a single network which does not have the odd employee who has their own affiliate website(s) or does ppc in the evening - and those who think they don't are probably just deluding themselves since affiliate activity is in reality pretty impossible to police (an employee would only need to register domains and their accounts in a 'friend's name for example)

As to does it matter, probably not that much but I do think the networks which engage in it should be more open about it - then everyone can make their own judgement about who they wish to work with. For my personal viewpoint, I am certainly less forthcoming with information on planned new websites with those networks I know do have affiliate sites than those that as far as I know do not.

[Hero]

Business is business

Business is business up to the point where there is a conflict of interest.

[mattb811]

For the record, DGM operates no affiliate sites and has no plans to do so. I am also confident that none of the staff working on the affiliate side of our business are running their own affiliate sites.

[Adeel]

I don't see any problem in that as far as the information is open to everyone such as agencies, networks or affiliate managers dont hold the necessary information to themselves to take advantage of it before publishing it out to affiliates.

It not easy to monitor who is working as an affiliate said above they can register the website on thier freinds name etc. I wonder why agencies, networks or affiliate managers would hide their websites as far as they comply with Ts n Cs of their job roles and merchant programs.

[gadget]

I've just found out that the network in question has earned commission from a merchant I advise but that merchant has never accepted them as an affiliate!

[Ambski]

I've just found out that the network in question has earned commission from a merchant I advise but that merchant has never accepted them as an affiliate!

WTH!! That is completely out of order.

There is also no way on earth that a Network, launching a new Affiliate Website would NOT use their insider information to gain edge/advantage over their competitors in the field...us.

This is no different to 'insider trading' in the banking/stock industry...which is illegal.

[gadget]

I've always been quite open about what's working, what's not working etc.
I've also always shared what my forthcoming plans are too .. not anymore.
I know this subject has been discussed before but WTF, surely there are lines that shouldn't be crossed?
I accept the point that there's lots of cross over between individuals but come on, networks operating an affiliate site!!

[marky]

I've always been quite open about what's working, what's not working etc.
I've also always shared what my forthcoming plans are too .. not anymore.
I know this subject has been discussed before but WTF, surely there are lines that shouldn't be crossed?
I accept the point that there's lots of cross over between individuals but come on, networks operating an affiliate site!!

Its up to you if you trust the network to have their affiliate work ringfenced or not and obviously a lot of people don't. What are the real reasons for thinking this (merchant with affiliate site) is unaceptable behaviour though ?

Where do you draw the lines though ? Why is it bad for a network to be an affiliate but say not an agency to work as an affiliate or an affiliate as an agency ? Is it any different if some of the network staff operate their own personal sites or the network itself owns them ? Via a different company ? What if a program not on that network ? What about hybrid Merchant-Network-Affiliates (e.g. uSwitch) ?

For those that feel strongly that it is wrong - what do you guys do ? .. Do you refuse to work with that network ? Carry on working with that network but not promote programs you see a potential conflict of interest in or just carry on as normal ? Would be interesting to see what people do and how much voting with peoples feet there is ..

[Supercod]

A number of the networks do it - Affiliate Future, Paid on Results, Smart Quotes, OMG and Affiliate Window all have (or did have last time I checked) their own affiliate sites as well as being networks.

Just to be 100% clear here Paid On Results Ltd do not own or operate any Affiliate sites or take part in any PPC or SEO, that's what Affiliates are for.

As has been said loads of times for many years over countless of these same threads myself and Graeme who are Directors in Paid On Results Ltd where Affiliates for many years before and started the Network it has different set of directors (that include me and Graeme) and totally different staff from UK Internet Sites Ltd, it's listed on my forum profile and in countless places online.

Ultimately you have to make your own choice, if you want to work with us or not, loads of very big and successful affiliates have no problem what so ever with working with us as we have always been up front and honest about what we do, our experience as Affiliates and knowing what the industry wants has been the fuel that has driven our network and makes us stand out from the crowd.

[lethal0r]

think of all the affiliates conversion data the network could use on their own affiliate site, i bet theres plenty of people who track conversions through the networks website without encrypting it. the network would rake it in and they wouldn't have to do half as much work as a normal affiliate.