Special Report: Affiliate Marketing
Today, as chief operating officer for Seta Corp., I’m still at it. And partnership marketing is booming as it comes of age with technology. Seta Corp., under the marketing title Palm Beach Jewelry, began partnership marketing in 1989 with the former Montgomery Ward. Seta has since partnered with other leading retailers and catalogers including J.C. Penney, Sears, Home Shopping Network, Lillian Vernon and many Redcats USA titles.
Following are some models of partnership marketing:
-Catalog mailing. This is the most basic offer and is comparable to traditional list rental. For example, Seta’s Palm Beach Jewelry catalogs are sent to a retailing partner’s customers. The catalog cover includes an endorsement from the retailing partner to its customers. All orders and fulfillment are handled directly by Seta. The partner is paid a commission on net sales.
- On-page program. We put four to eight pages of jewelry into a partner’s existing catalog. Customers call and order from the cataloger directly, who in turn passes the orders to Seta electronically for fulfillment. This program allows partners to test a jewelry product line without the investment of a full catalog.
- On the Web. Similar to the on-page program, but for Web partners. Online merchants can add a product line with little effort, other than the coordination of data and item setup.
- Package inserts/statement stuffers. Inserts are a great way to sell a single product or introduce a new line. The offer is inserted into the partner’s billing statements.
A Final Analysis
In my view, any company that’s not looking at partnership marketing is missing the marketing opportunity of the century. You must overcome what I call the “old school” business philosophy that states every company must own and distribute all of its own products. Be realistic in terms of what your company can do itself and where it makes business sense to partner with a company whose products or services are a good fit with your product line.