Quote:
Originally Posted by Peaches
But when you put down $20K for a party/sponsorship, pay one or two people $80K a year plus benefits and travel expenses to run these events and only 3 of your biggest customers are there and the rest are just sucking up the freebies, at some point you have to question "Why are we doing this?"
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Sponsors not already asking these questions should be doing so. But you are looking at the whole issue through a distorting lens.
First, many sponsors are no more professional than the majority of affiliates. Thus they have chosen marketing directions which appeal to their own personalities and comprehension more than because there ever was much financial reason involved. Putting money put into affiliate development would be far more productive, but a lot less glamorous. In consequence, few sponsors even bother to hire reps who are more than minimally competent.
That isn't the only way most sponsors are stuck firmly in the 90's as regards their view of affiliates. The majority still pitch their main marketing straight at newbies, which was fair enough when there was a constant flood of newbies and experienced webmasters were in a minority, but those days are long gone. As you pointed out, very few newbies will make it these days, yet existing affiliates are still largely left to their own devices.
Which is not to say that even if affiliates were monetized more efficiently, there are not alternatives. But diving into the arms of operations like Zango would be one of the most dangerous options. No-one in his right mind would make his business dependent on an operation which is skating so close to the edge of the law.
Settling down to work only with existing "whales" doesn't come far behind on the list of things not to do. This has already been discussed at length in one of these threads and it is obvious how it would appeal to a few of the least bright candles. But it really isn't an option at all for anyone who plans to be in business for more than 5 years or so.