Yesterday saw the launch of the 2014 IAB Online Performance Marketing report. This is a huge piece of work and a massive undertaking, all aimed at highlighting the value and contribution that the affiliate channel makes not only to advertisers but the wider economy. With this in mind, I’d like to say thank you to all of those involved in compiling the report.
So, what of the results? There is much to be positive about. Four thousand advertisers invested £1billion in 2013 on performance marketing, which represents a 15% year on year increase. In total the channel drove four billion clicks, which converted to 210 million transactions. These transactions resulted in £14billion in sales, meaning that for every pound advertisers spent on performance marketing they got £14 back.
The ROI and conversion stats are clearly impressive – so now that we have them, what are we going to do with them? The report creates a unique and strong position for the performance channel to work with advertisers in order to help educate them about where and how they should be investing their digital marketing spend in order to generate long term, sustainable sales that impact the bottom line.
For example, I doubt very few brands would realise that through an affiliate or lead generation site in the last six months 51% of consumers have discovered a new brand. And of those people that have discovered a new brand via an online performance site, 6 in 10 have made repeat purchases demonstrating the value that the channel has to play in not just delivering sales but also increasing the lifetime value of a consumer.
So many great stats, which we that work in the industry have been well aware of but it’s nice to see it finally get the rubber stamp it needed. We need to get this report and its findings out into the wider marketing world so that senior marketers see how more efficient and effective they can be with their spend.
So, in the words of my fellow Norwich fan Delia Smith… 2014, let’s be having you!
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