Posts Tagged ‘insurance’

Lessons From Eastern Europe- We Could All Learn A Lot!

Wednesday, October 28th, 2009

So I had the distinct pleasure to visit Eastern Europe in early October. Having grown up in an American classroom- I have heard lots of stories about WWII, Hitler, Poland, Germany merged into one country and Czechoslovakia split into two countries as I grew. However, everything I knew was from the mouths of American teachers and textbooks. I have an insatiable curiosity to discover things for myself and not take things at face value.

I learned so much. I was able to talk to several East Germans who were alive during the Second World War. The East Germans are a proud people- and not ones to share too much emotion- but they told me of their hate for Nazi’s and of not being able to speak their mind. They spoke of neighbors being shot on the spot for having different ideals than the regime. I was able to go to an 80 year old man’s birthday party where they heartily sang songs (in German of course) of the freedoms in America. There was a song about marching – and sure enough several gentlemen got up and started marching to the beat. And, yes, the beer, wines, etc were flowing just as fervently as the music. These are a people who’s opinions and actions have been oppressed for almost their entire life- and they found their joy in the simplest of things like the company they kept, song, and drink.

Unfortunately for America and for them- I was the first American they had ever met. They were shocked I was familiar with a Russian folk dance. By the end of the night- despite the fact we didn’t speak the same language we were, and I quote, “best friends” and we had a mutual understanding and respect for each other.

On the drive to that party I saw the location General Patton met up with the Russians to combine efforts to eliminate they tyranny. So much history- and a history littered with chaos, abstract, destruction, genocide, and while there were some bad people there were a lot of really, really good ones.

I visited Dresden, Berlin, Poland, and several towns that had been destroyed in between. These towns are alive and well, and quite frankly- beautiful. In Dresden there is a well known church that was bombed to oblivion. And today it stands, rebuilt, as one of the most beautiful buildings I have ever seen in my entire life. In Berlin I went to a shopping area where I was aghast at the prices of the goods- yet the cash registers were ringing. While these area may have looked a lot different 65 years ago- they are alive and thriving today.

Over the course of the trip I tied this back to affiliate marketing several times. Affiliate marketing history has been littered with rogue behavior, frauders, market dynamic changes that have eliminated thousands of affiliates at a time, and while some bad people there were/are a lot of really, really good ones.

So, yeah affiliates- we have taken our lumps, our bruises, we have seen the worst of affiliate marketing. Now, it’s time for all the really, really good people in the industry to rise up and turn this industry into one that we can all be proud to be affiliated with.

I get calls every week for companies asking me how they get into this affiliate business; what does it entail; or my favorite- “I have been given a budget of $X to explore affiliate marketing- how should I spend it.”

What does this mean? Despite pressures from Google, despite a spotted past- we are relevant. Companies feel this is the wave of the future as a viable distribution channel. I had no doubt this would happen- as I stated a company built around affiliates- but I thought the stage would take years to get to. I remember less than a year ago- everyone who asked me what I do- I would have to go into great detail explaining exactly what it was. Now, I can say affiliate marketing and sometimes people have actually heard of it! These are little things- but huge steps for our business. Ladies and gentlemen- let the games begin and the cream rise to the top. There is nothing that can stop us now- but ourselves.

Treat the industry respect- and compete like hell- ethically. Recognize poor behavior and reach out to the reckless affiliate who is damaging our opportunity to make money.

You see- the money has come, and will continue to come in far greater droves than today. The key to recognizing greater revenue sooner is having a vast majority of exposure to the industry be positive. Those who are doing it right- keep it up and encourage others to do the same. Those who are doing it wrong- quit being jerks!

WWF Smackdown- Only 30 years later it Google applying it to Affiliates… What to do?

Thursday, September 24th, 2009

Ahh- memory road… Rowdy Roddy Piper and JunkYard Dog going at it! Or who can forget Andre the Giant vs. Hulk Hogan. WWF in it’s glory days. As a child I loved this stuff! Maybe I knew it was fake- maybe I didn’t- but I remember it fondly. And, every Saturday morning amongst the Smurfs, Voltron, Speed Racer, Fraggle Rock, there was the wonderful “WWF Superstars” cartoon- that I wholly enjoyed.

I am not a fan of violence and have since fallen off the wrestling band wagon and have never been into those cage matches. However, if that’s how people get their jollies beating each other- more power to them If they can get people to pay to watch them bash their heads in- god bless America. In these scenarios you have willing participants and everyone knows the rules and what’s expected… even if does end ugly.

I think it is sad – and ultimately far more violent what Google is doing to affiliates. Google is laying the smack down on affiliates without much notice- nary any instructions that don’t include a lot of ambiguity. Unlike the WWF- this isn’t fake. It’s affecting people’s lives and our economy and to the degree it is happening is a genocide of affiliate marketing. Google doesn’t see this clearly- and while they may do a lot of things right- and will make a lot more money than I ever will- they are in the wrong on this one.

I understand Google trying to keep their product as clean as possible. So they throw out arbitrary instructions that don’t really make sense and are contrary to the history of commerce. The reality is there are a lot of stores, products in the brick and mortar world that are crap! It is ultimately up to the consumer to choose the path they want to acquire their knowledge or products. Online, if they don’t like what they see it takes .000045 milliseconds to get to the next offering. If a website isn’t providing value- it ultimately will not make money and get weeded out. Just like a restaurant that has terrible food- might do well on opening day- but one month later will likely be empty.

Some of you may know what I am talking about and some may not. Google is evaluating sites and banishing them from Pay Per Click marketing if, in their opinion mind you, they feel a website’s primary purpose is to redirect a person to another website.

Now, some of this clean up could be good- if a website is misleading or lying to the consumer- that should be removed. Ie- if someone is shopping for Barbies and they click on a link that takes them to a marijuana paraphernalia website they can’t back click on- that needs to be removed.

However, if someone is shopping for auto insurance- per se- and they end up on an affiliate site that takes them to an insurance carrier- then so be it… at the end of the day- the value to the consumer is getting to an insurance product- protecting themselves and their family- and potentially saving money. If the consumer happened to take a path through the affiliate- that was how they preferred to shop… or research information, or whatever it was that appealed the consumer to that store front. What is wrong w/ that? Who is Google to shut this down? Just a big bully flexing their muscles irresponsibly- and it will eventually catch up to them. They are cheating both the consumer and the affiliate and ultimately themselves. While they are an incredible company- they could be soooo much better… like by having account managers for paying customers!

I have two examples that are counter intuitive and highlight why this is wrong and the policy needs to be revised.

One- I had an affiliate for 5 plus years. He doesn’t have his own insurance product- but arbitrages his traffic to a few different partners based on filter questions. His site has thousands of articles on Auto insurance- and even a free ‘ebook’. Google came by and shut his account down overnight. I used to provide his insurance product fulfillment- and he sold no fewer than 20,000 policies over 5 years. That is 20K people who have peace of mind when they get in an auto accident, or when an uninsured drive hits them, and probably saved money along the way. This doesn’t even account for all the people that found more information through his articles.

My second example is the real kicker- same thing… arbitrages the physical product- but also has tons and tons of valuable information on his website. Google’s organic algorithm has him listed #1 or #2 is several of the top keywords for top industry terms. Yet he can’t buy clicks on the same keywords. So, according to Google’s own algorithmic evaluation that focuses on consumer behavior- he has an exceptionally valuable site- he is top of the charts. Yet, when it comes to their arbitrary, opinion-based algorithm for AdWords- he is left in the dust.

Google- leave commerce to supply and demand and natural marketplaces. If something doesn’t have value to the consumer people will not buy a product and it will not be able to fund itself (case in point- the housing market). Stick to what you are good at- or have you forgotten what that is at this point. Kinda like actors/actresses and political outbursts- we don’t’ want to hear what you have to say- we just want to utilize your product.

Affiliates- it is a good idea to provide value so consumers will want to come back… and good luck fighting a bully who doesn’t abide by their own rules and logic.

PS. Bing and Yahoo- pay attention to this misstep- it is your opportunity to eventually surpass the industry giant.