The PMA has announced today that the Illinois Supreme Court has uphelp a lower court ruling making the Illinois Affiliate Nexus Tax unconstitutional. Not sure what this mean for affiliates yet. Stay tuneds. Nice work PMA.
http://thepma.org/pma-illinois-lawsuit-victory-upheld/
Here is a link to the opionion:
http://www.state.il.us/court/Opinions/SupremeCourt/2013/Summaries/114496s.htm
Since I’ve been in the performance marketing space I’ve been going to the same conferences year after year. Not that these are bad, most are very good.
The question I’ve been asking myself lately is this, “are there better ones I should be going to.”
Let’s face it, unless you just like traveling the reason for conferences is education and networking….driving more business. So where is the best return on my effort?
This year I’m going to be looking outside the box, at some new conferences to review. Today and tomorrow in New York, the founders of A4U are putting Performance Marketing Insights http://www.performancemarketinginsights.com
I took a look at the agenda and it appears to be filled with relevant topics, good speakers and sponsors.
This will be my first new event in years. i guess we will see how it works out.
There is a new conference coming in March 2012 that is geared specifically toward affiliate managers who are responsible for their company’s affiliate marketing strategy, management and operations.
The conference is called Affiliate Management Days, hosted in San Francisco March 8-9, 2012.
This is an interesting premise as its focus is on the affiliate managers and how to run an successful and effective program.
Normally I leary of first year events, but there are some really great speakers lined up and the agenda seems pretty solid. Also, I will be presenting a session titled: Is your Affiliate Program an Afterthought? focused on how managers can fight for respect among the other sales channels within their organization and will also be also participating on a panel titled: Inside the Mind of a Super Affiliate. Not sure I know what a Super Affiliate really is, but we’re going go inside their mind 😉
If you haven’t checked out the conference yet, take a look
http://www.affiliatemanagementdays.com/
…it may pique your interest. Early bird registration ends tomorrow!
If you are going, we’d love to see you there. If you are planning to go, let me know!
I've been working with a particular client for several years now doing their SEM on a performance basis. Early this week, out of the blue, I received an email from Google with the following Subject:
Your AdWords account: Site violation
Here is a short excerpt of the message:
We've reviewed your account and found that one of your sites is in violation of our Landing Page and Site Policies.
Customer ID: XXX-XXX-XXXX
Display URL: <client-url>.com
Please note that ad traffic to the above URL will be suspended and all new ads pointing to this URL will be disapproved.
This is the client's own website that has been running for years. After reading the Google guidelines….AGAIN… I could find no reason for a site violation.
I contacted Google and was told that the "violation" was due to the lack of a "Privacy Policy."
I know that Google has always said they are in favor of Privacy Policies but I had never heard of an AdWords campaign being shut down for the lack of such a policy.
On top of that, the site in question DID have a Privacy Policy. However, the link was not labeled "Privacy" or "Privacy Policy" it was simply labeled "Our Policy."
I was able to clear this up pretty quickly, but I thought it was interesting how seriously Google it taking Privacy Policies these days. Perhaps this was part of some new algorithm?
Anyone heard of anything like this?
Well this tax issues continues to made news and most of the time it is misinformation and/or partial truths.
Sadly this issue has continued to be branded as the Amazon Tax and as such has been positioned as a David and Goliath issue: The Big Bad Online Only Retailer v. Mom and Pop America
The problem is, this has nothing to do with Mom and Pop.
In a recent issue of The Directors Letter, the following was written:
Goose and Gander We recently wrote about Amazon's aggressive battle with various states to avoid collecting and paying sales tax. Amazon's technique is to eliminate relationships with local affiliates so that it can declare no presence in a specific state. In the latest development, competitors including Wal-Mart, Target and other large retailers have joined up to form the Alliance for Main Street Fairness. The Alliance is lobbying for legislative changes that would require Amazon to pay state sales tax.
Let’s analyze this a bit….
First this part: “Amazon's technique is to eliminate relationships with local affiliates so that it can declare no presence in a specific state”
This isn’t just Amazon’s tactic. Several online retailers have chosen this path. What needs to be nailed down is that this isn’t just a tactic……doing this total absolves then from having to collect the sales tax that was the intent of these Bills.
Here is how it works everywhere it has passed (except NY solely because of pending legislation)
1) Bill Passes
2) Nexus is created for Online Merchant
3) Affiliates Get Fired — In many cases #3 actually precedes #1!
4) Online Retailer no longer has Nexus since it no longer has affiliates
5) Online Retailer Collects $0 sales tax – no Nexus, no Sales Tax
6) Affiliate Loses Revenue
7) State collects less income tax from small business that have been financially hurt or put out business by passage of the Bill
This is pretty black and white….
Use Affilates to Create Nexus, Affilaites Fired, No Nexus created, Bill is useless…………please tell me what I’m missing????
Second: “In the latest development, competitors including Wal-Mart, Target and other large retailers have joined up to form the Alliance for Main Street Fairness.”
So let me get this straight….The Big Box retailers that KILLED the Mom and Pop stores all across the country in the first place have now joined forces to create the Alliance for Main Street Fairness? There is nothing Main Street about this fight. A look at their website, which I will not link to, or course says nothing about Big Box Stores….it trots out a bunch of local business that have supposedly been hurt by the online retailers.
For the record, I understand that sales tax issue. It won’t be easy to solve, hopefully legislators will see it for what it is.
It’s clear what this is. It’s a fight between behemoths….Online Only versus The Click and Mortar…….
In the meantime, it’s a shame that Affiliates continue to be the Human Shields in the war between Online Only Retailers and Big Box Retailers.
Today I met with my representative to the Pennsylvania State Legislature. The purpose of the meeting? To discuss the Amazon Tax and its implication to Imwave’s business.
Pennsylvania is not currently discussing this (at least not that we are aware of), but in light of recent events in Illinois it has become clear that these issues can rise up and catch us off guard very quickly.
I know what many of you are thinking….I’m not going to bring it up….I don’t want to give them any ideas.
Well believe me….THEY ALREADY KNOW! You are not going to give them an idea they don’t have already.
With state budget deficits what they are, Legislatures are all looking at way to fill the budget gap. They are looking at other states and they know that they are losing sales tax revenue to online sellers.
The questions are:
Are you going to educate them on the impact to your business before the legislation hits the Floor of the Chamber?
Are you going to tell them that depending on the way they redefine nexus they:
Why not present your case in advance? Why not give them the ammunition to have the conversation early in the fight?
Don’t be worried if you’ve never met your Representative!
Don’t be worried if you’ve never talked to a Representative before.
I’ve done neither before today!!
My Representative was very gracious when we met. He gave me an hour of his time. We talked, we built up some report. I asked him if he was aware of the nexus issue.
He was! He was fully in FAVOR of increasing the nexus to capture lost sales tax revenue.
I LISTENED!!! I did not talk. I did not plead my case (at first). I needed to understand what his thinking was; what his position was.
When he was finished I explained New York, North Carolina, Rhode Island, and Illinois. I didn’t lecture, I educated. I informed him about the loophole that would allow merchants to remove affiliates as means to get around nexus and what that would mean for Imwave. I also, with the help of the PMA, was able to let him know that there were thousands of affiliates in PA that would be affected…not just Imwave.
He listened, he took notes.
Now, he understands the loophole of removing us from the program and what that would do to both our business and the sales tax. He can educate his colleagues in advance.
I asked him to keep his ear to the ground and let us know if this issue heats up.
Which he said he was more than happy to do.
We now have front line warning and an ally.
Also, he asked for me to gather some data on how this law has failed in other states…more ammunition should this issue heat up. I will be engaging the PMA to help with this and will send him whatever I can.
I plan to be his resource for info on this matter, his expert….oh and by the way, one of his constituents as well.
Bottom line, we need to get out in front of these issues, we need to educate and inform. We need Legislatures to understand the unintended consequences of these bills and how they can kill small business.
Get out in front now, before there is too much momentum.
The PMA (Performcance Marketing Association) has a great section on their website called "Ask the Expert."
Recently Rebecca Madigan asked me what I thougth was holding our industry back from greatness. I thought about this for a while and sent her the following answer which they posted under the Ask the Expert section.
What are your thoughts?
That question was posed last week. A hundred answers ran through my mind when I read this. But the more I thought about it, the more I realized that there are many symptoms, but only few root causes.
1) Lack of Understanding
2) Continual Focus on the Negative
3) No unified industry voice
First, let’s talk about the Lack of Understanding. For whatever reason, all things Internet related often seem to be relegated to the world of “technology.” This has been going on since the beginning and seems to be getting better, but still exists. The online channel is usually not the largest sales channel an organization has. Couple that with its inherent black sheep aspect of being online and many companies just do not give it the focus it deserves.
Imagine walking into a CFO’s office and explaining Affiliate Marketing, not in Internet terms, not in Marketing Terms, but in the language of the CFO…..NUMBERS. I imagine the CFO’s answer goes something like this:
“So, let me get this straight….you are selling our product (or service) on our behalf, but I only have to PAY you IF and WHEN we actually sell something….AND I only pay you at a predetermined percentage of the sale that I get to set at the beginning of the relationship.
Isn’t that really a no-brainer? Imagine elevating the conversation above the internal politics and looking at the real numbers.
Second, is the continual focus on the Negative side of our industry. I’ve never seen an industry that was so vocal about its own negatives that the noise actually drowns out the good things that we can do. How many blog posts do we need about affiliate fraud, TM bidding, etc? Between the Work At Home, Get Rich Quick messages and the fractured message of a vocal minority who insist on shinning a light on the few unscrupulous people in the industry, it creates a “Guilty until Proven Innocent” mentality, which we have to overcome on an almost daily basis. The message of the hard working and ethical affiliate is lost. You can’t have the conversation necessary to solve the issue in number 1 above until we can change the message of our industry.
Third, there is no Unifying Voice. This is a direct effort to address Number 2. There are a lot of people talking, but what they are saying is so chaotic that there is no message. As marketers, we should be able to create a powerful marketing effort that educates companies on the value that the industry brings to the table. Many industry groups have tried to form and I salute the PMA for getting farther than any of the others. Let’s try to get out of the hamster wheel of fighting about “cookie stuffing” and start talking about all of the good things that we as an industry can bring to the table.
We have an industry filled with great people and great companies. We just need to tell the world!
Well I’m not Irish, but that’s never stopped me (along with countless others) from celebrating St. Patrick’s Day.
I’m all for the green beer, but I never really got the whole Corned Beef and Cabbage part.
Well, Anyway……This year the folks over at ShareASale put a new spin on the party with, what I guess they are calling the “Got Cabbage?” contest. The winner gets….you guessed it….
Corned Beef and Cabbage!
Yesterday I got a call from Jason saying we were one of the winners! My prize arrived this morning and I just had to share it with you. Just as advertised, there was a head of cabbage and a corned beef brisket!
I have no idea how to cook corned beef, but that’s what search engines are for. Although the package wasn’t packed with cold packs and the brisket says to keep refrigerated…I’m a little skeptical….I guess it still safe to eat?
Happy St. Patrick’s Day to all!
There seem to be more and more conferences that are focused on the Affiliate Industry. Maybe too many. Well at least too many for me…..
If you are like me there are just way to many to be able to go to them all. We are, of course, in the business of Performance Marketing, not "Conference Attending." Don't get me wrong, these conferences can be invaluable to your business. It's a balance of attending the right ones.
There are a few of these that I keep hearing good things about and yet have never attended. I keep hearing great things about Search Engine Strategies. So, I've been thinking lately that I need to go to SES and check it out for myself.
I know, the New York show is only weeks away and I probably should have made up my mind by now, but honestly it's a short drive for me and so I guess I can afford the procrastination on this one.
Anyway, I've been looking over the agenda for SES New York to see what looked interesting. On Day 1 there are a number of sessions that looked interesting:
But what really caught my eye, this year, was Day 3. There is an "Affiliate Track" that seems to be new this year. This track will be led by Kris Jones of PepperJam Network.
From looking at the agenda, it appears that there are some good Round Table type discussions setup for Day 3.
The link to the Affiliate Track is here: Affiliate Marketing Forum – Conference Day 3
Also on Day 3 are some other very interesting looking items like:
There really seems to be some good opportunities here. Based on that, I will probably end up going…if I do, I'll be sure to report back.
For a while we (along with others) have been telling CJ that we need more control over the email notices that are distributed through their system.
There are certain emails I want to get personally, but I couldn’t do that for fear that my inbox would instantly fill up with newsletters and offers to join programs.
We spoke with CJ about this in the past and again at Affiliate Summit West last month. Either this was already in the works, or they are just really quick!
When I logged in today I saw the following:
Get too much email?
Clients can login to update their communication preferences with our upgraded Mail Settings tab.
It’s easy – simply head to the Mail > Mail Settings tab.
So I checked it out. When I got to the settings I found this screen:
So now I can filter what emails go to each email address based on roles. This is a great enhancement and one that is long overdue!
So let me say to the whole CJ Crew……”Thank you for listening!”