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Thread: Electricshopping voucher code decision

  1. #1
    Frostie's Avatar
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    Is the world going mad?
    - Over the last few months we have found that sales generated though voucher sites tend to be from customers already on electricshopping.com
    - We end up paying a commission for a sale that in truth was generated though another channel, and therefore we are paying twice for the same sale.
    Fair enough I thought until I read the following
    Please note that this does NOT include any other affiliates including cash back sites and similar.
    So cashback sites generate new customers and sales that weren't generated through another channel. Realllllyyyy?? Absolute and utter Poppycock!
    - Often the codes have expired, so the customer expects something they don't receive
    BAN the affiliates - thats why the IAB introduced rules!

    :td to ElectricShopping that IMO have simply jumped on the "drop commissions for voucher sites" bandwagin and hidden behind a smoke screen with other merchants, whilst being held, bent over a barrel by cashback sites.

    My response? A simple thanks and goodbye... hit that LEAVE button and push an alternative merchant instead.

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    I think you're right Frostie, the only solution is find another merchant. Merchants will have to learn the hard way.

    Graham
    Buyagift.co.uk - over 3000 gift ideas | 10-12% on Affiliate Window |
    email: graham@buyagift.co.uk | msn: grahamatbuyagift@hotmail.com | Twitter: http://www.twitter.com/buyagiftaffs

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    The whole voucher code rigmarole is getting out of hand and it smacks of prejudice, in any other part of society there would be an outcry if a group of people were hounded like this, voucher code sites are not run by pariahs.

    Vouchers, PPC, cashback and content are all viable business models, and they all add to the user experience in their own different ways and many affiliates dabble in all these areas.

    Am I right in saying if an affiliate runs a voucher site no matter how small electricshopping.com will reduce the commissions across the board for that affiliate regardless of which channel the sale comes from?
    Keith ~ My Blog general ramblings. Internet Marketing Blogs UK all the blogs together in one place (pm for inclusion)

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    in any other part of society there would be an outcry if a group of people were hounded like this, voucher code sites are not run by pariahs.
    is a slightly hysterical reaction. Because a handful of merchants have retreated from using voucher codes over the past few months does not I feel represent any sort of witchhunt.

    Where is the reference to all the new entrants to affiliate marketing over the same period and the voucher codes they've introduced? I would hazard a guess that there has been a net gain in voucher code merchants.

    Consider the growth of voucher codes. Do you seriously expect viable businesses not to want greater clarity and visibility on the returns they bring? Any merchant worth their salt should be carrying out their due dilligence.

    I'm not justifying any individual decisions here as I don't have access to the facts and full set of data in order to draw appropriate conclusions but it's short sighted and naive to assume merchants won't make these decisions. It's their perogative, just as it's your perogative not to promote them.
    Kevin Edwards, Strategy Director
    Tel: +44 (20) 7553 0354
    kevin.edwards@affiliatewindow.com
    http://www.iabaffiliatemarketing.com

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    Kevin do you not think it's short sighted and naive of a merchant to assume they can pull the wool over affiliates eyes? As you know, some of us have been involved for years (far to long some may say ) but anyone with common sense, knows that Voucher Code site and Cashback sites kind of operate the same business model.

    To come out and say, effectively, that Cashback sites generate new customers, or sales that would have not gone via a different channel, is a questionning my intelligence. I've progressed from being a monkey and don't take kindly to being insulted by a merchant thats been involved in the industry for a shorter space of time than myself.

    It is their perogative to do as they see fit, but at the same time, with such questionable findings and assumptions, these merchants stand to lose face. As for the witch hunt comment, I have to agree on this one. Its becoming the norm if you consider the number of recent examples. Those merchants to take this route will lose out. I don't care what due dilligence they have done, they can't complete any due dilligence until they implement a blanket ban on voucher code sites. I suspect they will reverse their decision however affiliates don't forget easily, and those that conitnue such as Dixons, will benefit and reap the rewards.

    Quote Originally Posted by Graham@Buyagift
    the only solution is find another merchant
    As Kevin said, it's my perogative to promote them and as such I left this merchant immediately

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    Frostie,

    As mentioned I wasn't commenting on individual merchants, I was commenting on a perception that reactions to voucher code sites have somehow got out of hand.

    Cases like you mention can probably be counted on one hand.

    I'm completely unaware of what research or data this merchant has done. I presume voucher codes represent a much significant proportion of their sales. This merchant has chosen to make this move and as such has the right to do so.
    Kevin Edwards, Strategy Director
    Tel: +44 (20) 7553 0354
    kevin.edwards@affiliatewindow.com
    http://www.iabaffiliatemarketing.com

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    cashback = lifetime cookie and constant voucher discount.
    --
    Gifts -/ wine,vouchers/Chocolate -/Garden
    Got a bingo site? Want a link. Get in touch.

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    Kevin no I don't consider my reaction to be hysterical and it was a general observation not restricted to this case, hardly a day goes by without another thread cropping up deriding voucher code sites, its not painting a pretty picture to newcomers to the industry.

    My own activity in in the voucher code sector is in a very minor way, first and foremost I am a content affiliate.

    Regarding what restrictions merchants put in place I agree its entirely up to them however my question was:-

    Am I right in saying if an affiliate runs a voucher site no matter how small electricshopping.com will reduce the commissions across the board for that affiliate regardless of which channel the sale comes from?
    Keith ~ My Blog general ramblings. Internet Marketing Blogs UK all the blogs together in one place (pm for inclusion)

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    Keith,

    How many of those comments come from affiliates?

    Voucher coding is big business. Inevitably it will be scrutinised. The A4U Forum has never really been completely representative of the world of affiliate marketing I see from a network perspective so I would take many things said with a healthy dose of scepticism.

    I generally think using a public forum to talk about merchants rather than contacting them directly to try and understand their decisions doesn't lend itself to the pretty picture you talk about for newcomers.
    Kevin Edwards, Strategy Director
    Tel: +44 (20) 7553 0354
    kevin.edwards@affiliatewindow.com
    http://www.iabaffiliatemarketing.com

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    There is no doubt in my mind that the merchants who ban voucher code affiliates don't understand all the issues involved, they are taking knee jerk reactions based on threads they have read on here.

    Which goes back to point, that all this infighting between affiliates is only going achieve one thing in the long run, merchants will pull back from using affiliates!!

    First it was brand bidders, now it is voucher code sites, next it will be cashback sites, then who knows.

    I'm not suggesting that we don't discuss difficult issues, but please lets be more professional. This is a multi-million, if not a mutli-billion industry. Do you see Amazon and Play discussing their issues on a public forum?

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    Quote Originally Posted by Top banana View Post
    There is no doubt in my mind that the merchants who ban voucher code affiliates don't understand all the issues involved, they are taking knee jerk reactions based on threads they have read on here.
    I hope AW won't mind me butting in here just to say that in this case you are wrong. I managed Electric Shopping on Webgains back in 2007 and they were concerned about the users of voucher codes even then and for a long time wouldn't issue any new codes so this decision at least is not knee jerk nor based purely on what has been posted on the forum. I know these changes can be very frustrating to affiliates but it doesn't help anybody to claim that all merchants are ignorant when they make them because whilst some are, this simply isn't true across the board.
    -
    Kier - Digital Media Manager
    Nonsense

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    Quote Originally Posted by KevinEdwards View Post
    I generally think using a public forum to talk about merchants rather than contacting them directly to try and understand their decisions doesn't lend itself to the pretty picture you talk about for newcomers.
    Disagree. I think newcommers need to have the whole picture about a merchant, not just the nice pretty pink fluffy stuff that promotes them. Lets give them the whole picture, good and bad, and let them make an informed decision.
    Quote Originally Posted by Top banana View Post
    Do you see Amazon and Play discussing their issues on a public forum?
    Yes you do, albeit their agency - Removal of Myvouchercodes from Play.com

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    As far as I can see the last time they actually released a voucher for their program was way back in 2007 when I was actually given an exclusive from them. Had they released codes more frequently they may have had some incremental sales from voucher codes sites.

    Ta

    Baz

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    @ Kier - they may have been "concerned" back in 2007, but they didn't take this action until Feb 2009.

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    Quote Originally Posted by Frostie View Post
    Disagree. I think newcommers need to have the whole picture about a merchant, not just the nice pretty pink fluffy stuff that promotes them. Lets give them the whole picture, good and bad, and let them make an informed decision.
    Yes you do, albeit their agency - Removal of Myvouchercodes from Play.com
    No Frostie, you misunderstand me. I meant you don't see infighting between retailers in a public forum. E.g. you don't see Amazon having a go at Play about their site, marketing, etc. in a public forum.

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