Build Your Own or use a Network

Which is Better?

[cabbagehead]

I am new to affiliate market as a merchant but I'd done plenty as a marketer. Now I am wondering how to proceed since I have my own wbesite to promote via affiliate marketing. Is it better to create my own affiliate program and run it internally? Or does the value of programs such as LS, CS and ShareaSale overcome their costs?

Here are a few questions on that note i've been pondering:

1. Quality - Shareasale seems to have a good rep but I've never bothered with them as a marketer because a) their site is ugly and unpressional and b) they don't seem to have a lot of good brands to market. So I usually just focused on CJ and LS. So, am I shooting myself in the foot if I use them, as a merchant?

2. Affiliate Network - It seems I would gain a tremendous amount of exposure from a place like LS or CJ as compared to running my own. How big of a boost is this? Does it help to justify the presumed large commission chunks the affiliate networks are taking? I presume I'd keep a lot more of the profits myself if I run the program myself.

3. Technical Integration - how easy/hard is it to integrate an affiliate network to be able to track sales? I have a programming background and I know exactly how I'd do this if I build my own but I'm fuzzy on how CJ or LS would track this. Perhpas some javascript include on every page for tracking or something?

4. Link Popularity - if I create my own, I can of course create SEO=friendly links and still track usage for credit. I hate the crazy redirect links LS and CJ seem to use because it would presumably prevent my affiliates from passing any link popularity credit my way. Am I right that these links wouldn't given any weight to me, coming from the major networks?

Thanks.

[cabbagehead]

Does anyone have any advice? It would be very helpful to hear some perspectives on this. Basically what I want to know is this:

Is it better to work with an affiliate network or have your own in-house affiliate program? And why?

Thanks

[cabbagehead]

Wow - I'm kind of surprised there is absolutely not input here. I thought this question would go to the core of this forum. No takers? No moderators even? Oh well. :-\

[decaff]

If you "build your own" you have complete control over all the elements of your aff program (including inbound links ;-)...as opposed to being at the mercy of the tired hosted aff programs being run online...

You might check out hotscripts for some ideas...

[tke71709]

One big advantage to joining a network is that you get access to their affiliates immediately.

Another advantage is that many affiliates see networks as having a vested interest in keeping their stats honest, whereby a merchant may be tempted to shave off a few commissions to save money.

A few things to think about for ya ;)

[cabbagehead]

I have to admit I'm torn.

As a previous affiliate marketer I have to admit that (for better/worse) I never bothered with any indie programs because it seemed so much more efficient just to join the few major hubs (LS and CJ) and just click the ones I wanted, instead of applying for a million and one programs.

On the other hand i'm sure those major boards take more than their fair share of commission. And I'll bet it costs me a fortune to run a program for 12 sites through a network, compared to just running my own mini network.

What are the comission rates the big hubs like CJ and LS charge? I mean, if I make a $100 sale and $50 of that is commission - what is the network's take?

[idolw]

both.
this is what we are working on now.

if you have your own, you can give more to your top affiliates and reward them what should make them stick to you.

networks can help you in starting but i guess one good own affiliate can make more for you. on the other hand, networks give some stability...

[cabbagehead]

> "both. this is what we are working on now. "

...so you are actually working on running a program from one or more of the networks *and* running your own indie program? Interesting. I'm surprised the networks don't have some sort of exclusive/non-compete requirement. Is it common to do both?

[idolw]

no idea. we are not finished, yet.

i dont care about them. they either take our product or not. money or no money for them.

[vikramvora]

Inhouse Program v/s CJ / ShareSale

Inhouse programs
Advantage : Personal contact with Affiliates, Customisation possible, Flexiblity in designing incentives as per individual affiliate
Disadvantage : It is a slow process, takes time. Credibility is built up very slowly,

CJ
Advantage : Excellent tools for Affiliates, Credibility is built up very fast, Global Recognition
Disadvantage : Customization not possible, personal touch not possible

Hope the above throws some light on the issues addressed