Despite the dark shadow of the recession, the affiliate marketing sector is continuing to flourish and, according to Econsultancy’s 2010 Affiliate Marketing Buyers Guide, will drive £4.62bn in online sales during 2010; representing a 12% increase on 2009.

This £4.62bn represents 8% of all online retail sales and – although this is down on 2008′s 10% – the resilience of the sector is, at least in part, due to a key shift in the way some newer agencies manage their relationships.

Those fledgling companies trying to forge a reputation and grow their client base during uneasy times, and in a market that is still something of an unknown quantity, have started to recognise – perhaps more than industry stalwarts – that the bespoke and personal approach is the key to longevity, winning trust and gaining respect in an ever-expanding and competitive market.

A recent analysis by IMRG and Capgemini has forecast that the UK’s online retail market will grow by 110% over the next 10 years to a value of £123 billion in 2020 and that the internet will come to account for half of all retail sales. Further research carried out last year by Penn, Schoen & Berland Associates, Inc found that 92% of consumers have more confidence in online information than they do sales people.

But it’s not just a question of highlighting those big numbers and pitching them to clients. Many working within those brands agencies are desperate to sign up may still be wary and lack understanding on how it is the affiliate industry actually works and need convincing.

But questions such as: what are the benefits and what are the inherent risks involved can’t be answered the same way twice. To ascertain what is important per brand and what approaches are likely to succeed, are best answered from a position of experience, authority and through a personal approach with strong and well-maintained two-way relationships. These are essential in an era where brands are less inclined to part with their cash on a punt; instead preferring a viable and costed ROI.

As featured in the Econsultancy 2010 Affiliate Marketing Buyers Guide, 7thingsmedia was created during a time of economic unease yet we growing our client-base to include some high-profile brands.

Results are generated through bespoke campaigns, an understanding of the personal requirements of the client, micro-management of relationships with all parties and opting for innovative and imaginative approaches that are specific to individual clients.

This approach could be essential for the affiliate industry as a whole to grow to fully take advantage of the exodus from the high street to online shopping.

It’s not overstating the case to propose that a more personal and personalised case ownership and management of clients, affiliates and resources will effectively grow a programme and convince brands and retailers to put their scepticism to one side. The more clients understand and trust affiliate marketing – through closer and more hands-on relationships with their agency – the more the industry as a whole will invest in the channel and help the sector reach its full potential.

Ally Millar
Publishing Manager