Affiliate Marketing: How affiliate marketing is being used to shift fast-moving consumer goods. How FMCG marketers are choosing to increase their presence online through affiliate marketing rather than though using other online marketing tools.
FMCG companies traditionally have always had to sell their products via offline stores. FMCG goods are the items that you would typically find in a supermarket, and as such most of their offers are either “on pack” (money off vouchers), or loss leader (two for one offers). Although these promote the offer, they don’t allow the company to know any more about the consumers that are buying their products.
The holy grail of marketing is being able to marry up consumer buying habits with their personal details – something that was almost impossible before the advent of the online phenomenon, and now the availability of Affiliate Marketing has allowed companies a risk free way to generate this information.
With Affiliate Marketing, FMCG companies can offer free samples of their products (razor, washing powder, make-up etc) or money off vouchers in return for consumer information – thus marrying up the consumer to the offer. This information can them be used to build a profile of the user via the products that they sign up for, and consequently can be accurately targeted for new products as they are developed and put on sale.
If we use Gilette as an example, then they could build long-term sales by offering a free razor to everyone that signs up to www.mygillette.co.uk
The consumer would enter their Name, Address, Date of Birth, contact details, where they buy their razors from and any other information that Gillette establishes as beneficial for their marketing activity (perhaps a list of other products the consumer is interested in). Suddenly, instead of simply knowing how many razors have purchased from a particular store, they now know (for example):
John Smith, 25, of Old St, New Town buys his Gillete Fusion razors from Tescos in Springfield.
Instantly they have married up the consumer data to their sales data and started to build a consumer profile of their users.
How they use this information is up to them – they can email or post vouchers to John Smith, or even recommend a certain type of shaving foam, or do a survey on aftershave – building up the picture of him over time and expanding the questions until they get a complete lifestyle survey on which to develop future campaigns and targets successful growth and sales.
Further, using Affiliate Marketing as a means of building consumer profiles means that they only have to pay for results – and therefore no risk is involved, as opposed to other marketing formats (both online and offline).
Online Affiliate Marketing in the FMCG sector has yet to be realised to its full potential, although the benefits over other online marketing formats, particularly its ‘no risk’ nature, evidently prove attractive.
This is how FMCG companies use Affiliate Marketing to raise profile, gather consumer information and increase market share currently – although, by the nature of the online marketing arena, development and diversification are inevitable.
How do FMCG companies utilise Affiliate Marketing opportunities - To learn more about this author, visit Elliot Jones's Website.
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Elliot Jones
(Visit Elliot's Website)
Hi, my name is Elliot Jones and I have 9
years experience in marketing both from an
Agency and Blue Chip Multinational
Clientside perspective, specifically
concentrating on Online Marketing covering
Search Engine Optimisation (SEO), Paid
Search (PPC), Affiliate Marketing and
Social Media Optimisation (SMO)...
The world of Online Marketing is
constantly evolving and is an ever
growing, vibrant and challenging
environment. Having worked with and
advised many large and small companies
alike, I currently head up the marketing
at a specialist Online Marketing Agency,
Search Logic PLC - www.searchlogi
c.com - as well as providing
independent consultancy reports and
services on all aspects of Online
Marketing.
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