When launching innovative partnerships for your brand, the path to get from idea to end-result is not always clear. Creative problem-solving and out-of-the-box thinking is often necessary to turn a new partnership concept into a measurable result.
Here are three examples that convey how brands can overcome common challenges when launching new Performance Partnerships®.
Prospective partner not comfortable working on CPA basis
- Situation: The CPA (Cost Per Action) payment model can be a new concept in a region or contrast with how a partner typically operates when promoting a brand (e.g. they may have historically partnered with brands on a CPM (Cost Per Impression) basis.
- Challenge: As they are not used to CPA compensation, or even truly understand the structure or the long-term value it offers them, the partner may resist an initial partnership pitch.
- Solution: Develop a user acquisition cost goal for the partnership that is made up of two payouts: a fixed monthly payout (e.g. an up-front flat fee) and a performance-based fee (e.g. cost per action). Monitor the user acquisition cost to ensure profitability and optimize as needed.
Prospective partner unaccustomed to rigorous compliance mandates
- Situation: As fraud tactics continue to get more sophisticated, mandating strict checks and balances is critical. Unfortunately, sometimes these checks and balances deter a new partner’s enthusiasm to launch with your brand.
- Challenge: To ensure safeguards that will protect your brand and the incrementality of your marketing while also enticing high-quality partners to work with you.
- Solution: Be as detailed as possible when explaining the “why” behind each compliance check; offer to have a call with the partner after the first week of launch to review the compliance reports together.
Prospective partner campaign requires unique tracking and payment structure
- Situation: Partner proposes a new campaign idea where a specific offline ad would acquire new users for the brand.
- Challenge: Offline-to-online campaigns may increase the tracking-associated risks and payment difficulties; also necessary to adapt standard tracking and payments.
- Solution: Leverage a custom tracking link in the offline ad that sends users to the brand’s online signup page. This can help ensure high-quality traffic from the offline ad to online signup page.
Roadblocks that arise when launching new Performance Partnerships can often be dissolved when all sides focus on the big picture and on building a mutually beneficial partnership. When they do, creative solutions can be found.
To help guide them through these partnership challenges, many brands partner with an agency. Download our What to Know Before Choosing an Affiliate Program Management Agency guide and learn what to know, ask and look for when evaluating agencies to manage your partner program.