Written by: Clare O'Brien - Industry Programmes Consultant at IAB UK
The IAB’s first ever study measuring the contribution of online performance marketing revealed the value of the industry and its place within the marketing mix. Clare O’Brien, IAB industry programmes consultant, shares her insights into the study.
The launch of the IAB’s Valuation of the Online Performance Industry is a project that, as one commentator has said, was a long time coming. Affiliate marketing and lead generation are two of the most mature channels on the web, but have constituted a ‘hidden economy’ when compared to other channels. Just as it’s essential to explore new ways of reaching consumers, assessing the value of marketing staples is just as vital in growing brands and business results.
That’s because online performance marketing is highly trackable and efficient. Since advertisers pay only for a consumer’s specific action (completed purchase, data submission, call request etc), wasted spend decreases greatly and can disappear entirely when campaigns are properly optimized – usually by specialist experts.
The interviews revealed some fascinating insights for marketers. For instance, one major advertiser said:
“Affiliates drive the highest value customers compared to other channels like paid search, display and offline channels”.