Saturday, July 12, 2025
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HitPath at War with CPA Networks?

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It seems that a major war between affiliate network software companies is brewing. Earlier this year, WebApps DBA HitPath filed a lawsuit against Cake Marketing and three former Hitpath customers who had left the software company to move to another software platform. According to the lawsuit, HitPath claims that these three customers, when leaving, provided Cake Software with access to data that they were not entitled to. The three customers, AffiliateWise, Affiliate Venture Group and EmpyreMedia have all responded that this is complete bullshit and that they only provided access to Cake Marketing to the API in order to export the data that they own to the new platform.

Cake Marketing, believing that they have done nothing wrong and that they were just supporting customers moving to a “better software”, has responded with an aggressive campaign through their attorneys as the Superstar Technology and Investment Law Firm of Wilson Sonsini GoodRich & Rosati.

According the the CounterSuit filed in Federal Court, Cake Marketing claims that Hitpath has engaged in an “unlawful, months-long campaign to sabatoge the efforts of its customers to leave…Hitpath software and transition their business to Cake Marketing.”  The claim that the original lawsuit is “nonsensical” and that the only access that Cake had was through the login provided to the networks.

In fact, Cake Marketing goes as far in the Counter-Claim to allege that Hitpath when finding that their customers were moving over to Cake Marketing, did not provide any assistance in these networks in retrieving the data.

According to Cake Marketing’s counterclaim, “WebApps’s war on its own customers must end. Cake Marketing welcomes free, fair, and open competition – but not frivolous lawsuits and attacks on customers who merely seek to exercise free choice in the marketplace… Cake Marketing has its own independently developed and vastly superior software. Cake Marketing introduced numerous important features such as data validation and distribution for host and post functionality to its software in January 2010. WebApps/HitPath did not offer similar features until spring 2011. Moreover, Cake Marketing could not possibly have stolen the underlying HitPath software by acting as an agent for customers to retrieve customer data through HitPath customer login accounts.”

This lawsuit brings to attention a serious issue in the industry: What happens when a company refuses to allow a customer to leave its affiliate software or affiliate program? Whether or not HitPath actually prevented their customers from leaving the solution to Cake Marketing will be decided by the courts. However, the facts are obvious: that the customers did want to leave, and as part of that attempt to leave, they were sued.

Personally, it is my opinion that HitPath is taking the completely wrong step and wasting money with this lawsuit. I’ve expressed this opinion to Sam Prokop, the CEO of HitPath, and made it clear that lawsuits like this do nothing but hurt the industry. I agree that it’s unlikely that Cake Marketing learned anything whatsoever from having a login that anyone could get as a customer from Hitpath. Hitpath in my opinion, is pissed that they are losing customers to Cake, a company that is gaining customers every week from other solutions.

Instead of filling a lawsuit, especially against their clients, perhaps Hitpath should have taken the higher road and offered a solution to make those clients happy. They were leaving for a reason: they didn’t like the current solution offered by Hitpath and felt Cake Marketing was better. Instead of offering them perhaps a few months free, and offering to change the system to fit what their clients needed, they took an unnecessary path of a lawsuit.

The result of HitPath actions is simple: they have hurt their reputation even more. Other networks with HitPath have most likely started to wonder why HitPath is suing their customers, if they need to worry about their data not being portable, and more importantly, if Cake is a better solution than HitPath. From people I’ve talked to, the vast majority of the industry thinks HitPath’s actions sound almost desperate and ridiculous.  If a lawsuit is the only way to prevent customers from leaving, what does that say about HitPath?  To HitPath’s credit, it should be noted they have told me that they will assist all customers with leaving them, and porting the data over.

Still, why a lawsuit against their customers? I can’t imagine how this is good for HitPath or the industry. I can’t help thinking there was a far better solution for HitPath, or at least one that would have been better for their reputation.

Notable Links:
HitPath
Cake Marketing
Interview with Jeff McCollum of Cake Marketing

Disclosure: All of the Three Networks mentioned are advertisers with this publication, but this has not influenced my opinion that this is a crap lawsuit.

 

Netflix subscribers today, your subscribers tomorrow.

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All the fuss over Netflix yesterday started me thinking about what a great day it is to be an affiliate marketer with a nice opt in email list of people who may be (or until recently were) Netflix customers.  In case you are making the universal monkey face that signals confusion I’ll explain.

Netflix apparently decided that one big blunder in 2011 was less than it could aspire to and ambitiously set out to anger its shrinking customer population a second time yesterday.

Netflix made news this summer with a price hike than was not received well by its subscribers to put it euphemistically.  The company justified the relatively large increase in monthly costs for subscribers by pointing out its own rising costs in securing content rights.  The hike in price from $9.99 to $15.98 came without much consolation from Netflix though customers were also offered the option of paying $7.99 for one or the other of the two services depending on their preference for streaming video or DVD rentals.  I’m guessing like many companies seeing growth in their acquisition of new customers Netflix thought that customers would grumble a bit and then accept the new cost of enjoying commercial free streaming content and reasonably easy access to the DVDs they want via mail.  Shocking as it probably was to the leadership at Netflix, customers responded much differently and current projections have the net customer loss at around 1 million.  This comes not long after Starz announcement that it will not renew its contract that expires this year to supply content to Netflix.  In accordance with the law of threes Netflix is also getting a fair lashing in the stock market just when it claims it needs to raise more cash.

Now if you were in charge at Netflix you might build a bunker in your office and demand silence of everyone in your organization until the dust settles.  Netflix instead issued yet another change in its service yesterday, this one very likely to rattle even the most loyal among their customers.  DVD rentals will now be made available under an entirely separate, new brand called Qwikster while streaming video will remain under the Netflix badge.  So the customers willing to shell out more money each month to keep their options of streaming video and DVD rentals will be forced to accept the requirement to manage separate log ins and billing accounts for the two services.  Oh but the CEO of Netflix did pad the news this time with a personal “oops, my bad” regarding the way the first change was made public.  Apparently it’s not the changes that were a bad idea but the way they were announced.  If you do much reading around social circles online you will likely find few who agree with that by the way.

All of this flaunting of power and halfway apologizing will likely cost Netflix big time and anytime there’s a mass exodus of customers from one company there’s a close competitor waiting to catch the landslide of new business.  Though analysts don’t point to a clear benefactor in those terms you can bet that someone is gearing up to send out a lot of emails today.  Will it be you or your company that guides these customers to a friendlier (and more tuned-in) DVD and streaming video provider or providers?  This is certainly the sort of thing that qualifies as an event and no doubt affiliate marketers will want to act on it while there are still customers walking out of Netflix.

Datran Announces Email +1 Program

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From Press Release: Today, Datran Media announced the expansion of its social media capabilities for its digital marketing platform, StormPost. In addition to the platform’s ShareThis and Facebook sharing toolsets, StormPost now makes it easy for marketers to share their email content across Google+. With StormPost’s Google +1 button, recipients can share the full email or article-level content to the appropriate Circle, ensuring higher engagement and relevance. StormPost users can accurately optimize, track and measure engagement and performance across the largest social media networks, including Facebook, Twitter and now Google+.

With over 25 million users and noted as one of the fastest-growing social networks, Google+ simplifies the way people share content. The new Google +1 feature complements and rounds out a robust suite of social sharing capabilities StormPost provides to its users, which includes:

        
        --  Sharing email content across the major social networks, including
            Google+, Facebook and Twitter
        --  Facebook "Like" and "Send"
        --  Social sharing reporting and analytics tools
        --  Re-targeting capabilities specifically designed to target social
            influencers
        --  A/B split auto-optimization of content, from and subject line
            combinations using social sharing data
        --  Facebook email registration forms
        --  Social buzz: social listening and sentiment tracking

“The share-to-social feature has been a great way to integrate social media into our emails,” said Steve Werkmeister, director of email and social media marketing for Salem Web Network, a StormPost customer. “The addition of a Google +1 button will enable us to ensure we are part of the conversation on the rapidly growing Google+ social network, and it will provide yet another way for our customers to engage and share our content with their social circles.”

“Email and social media are complementary channels, and as consumer content sharing across digital media continues to explode, we expect tools like the Google +1 button to be among the most heavily adopted by marketers,” said Tony D’Anna, executive vice president and GM of Datran Media’s StormPost. “Features like the Google +1 tool help brands make it as easy as possible for subscribers to share email content, allowing marketers to reach new prospects by tapping into the massive reach of users’ personal networks. Access to StormPost reports further benefit marketers by providing them with immediately actionable insights into how consumer campaign engagement is impacting marketing results.”

About StormPost StormPost is a digital marketing platform that helps companies manage the customer lifecycle through the delivery of highly relevant messaging across multi-channel touch points, including email, social and mobile. With a full suite of features, including revolutionary audience reporting, StormPost offers brand marketers, retailers and media companies highly specialized capabilities for defining and engaging with their ideal customers. StormPost has been cited by customers and analysts for its flexible architecture and scalability and was named the 2009 Best Email Marketing Platform by the members of the Digital Publishing and Advertising Conference (DPAC).

About Datran Media Datran Media is an award-winning technology and marketing company that leading brands, agencies and publishers depend on to discover, reach and retain their ideal audiences across all digital media channels. Datran Media’s top-ranked solutions for digital audience measurement, advertising, CRM, commerce and monetization have allowed thousands of companies to execute unparalleled advertising and communications campaigns across social, mobile, the Web and email.

LeadSpend

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Enhance your sender reputation, increase your inbox placement rates and maximize your ROI with LeadSpend’s active email validation.  LeadSpend’s real-time email validation determines if an email account is valid and deliverable, when you want to use it.  If you’re in the lead generation, email marketing or email services business then you know that keeping your file free of invalid addresses is critical to maintaining a good reputation, high inbox placement rates and the revenues that follow. Advanced real-time email validation from LeadSpend helps you avoid bounces, spam traps and other invalid email addresses, improving results and your bottom line.

$10k a Day on Content Unlocking?

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Content unlocking has received a lot of press of late. Not only because it is the new kid on the block in monetizing the web, but because it yields real results. Content locking is now considered the best way of giving returns to webmasters, bloggers, forum administrators as well as owners of any type of digital content from photos and pictures to mp3s, videos, PDFs. No other method is as simple nor as effective as the content lock. Wewould go so far as to say, it is as a new wave of advertising that threatens to eclipse the “obsolete” methods others use to create revenue from web and mobile assets.

One of the first questions we get asked by almost every publisher in the Leadbolt network is – what kind of content should I be locking? The answer is simply – any kind of digital content.

A product’s success is typically achieved through being the centerpiece in a situation of high demand and low alternatives – success with content locking stems from that very same idea. If you’re providing content that is valuable to the user, and enough users know this content exists (enter SEO, social media, etc. strategies here), that is theroot of a winning content unlocking campaign.

For example, you may be a gifted writer and illustrator authoring your own digital comic books. Instead of selling these comic books at a flat rate or adopting a subscription service, why not monetize each download without charging the user a dime?

This is where content unlocking is at its prime. Once the user is engaged with the comic and has made the decision to download, they are prompted with the content unlocker that will ask them to complete one of three targeted offers prior to downloading. As an offer is completed, the user now has access to your comic book and the advertiser will pay you anywhere from$0.40-$12, for that lead.

You’re also provided the opportunity to customize your unlocker, giving this intelligent monetization layer a professional look that accurately reflects that aesthetic of your content. Insert one of yourcolorful illustrations as a background skin and draw up some appealing copysuch as, “Please complete ones of these offers in order to receive the latest edition of [insert title here] and help support the author!”. Marketing at its finest.

Here are some great ideas on how you can join the content locking revolution.

E-book
Say you are very knowledgeable about auto repairs, computer programming, bird watching, or just about any other hobbythat you could easily blog about. Now, draw out some thoughtful topics thatprovide valuable insight of the hobby. Populate those topics with some helpful tips, interesting trivia, and additional content other aficionados would find interesting.

Once you have yourself a comprehensive document on this hobby, turn into a PDF and upload to any file sharing service that provides a download link to the file. Create a simple WordPress blog that gives a brief overview of the e-book; basically selling the valuable content the e-book provides. Place the link on a sub-page of the blog and provide an attractive call-to-action.

On the sub-page of which the download link toyour e-book is placed, this is where you will embed the content unlocker script. Before the user has access to the download link, the will unlocker will prompt and require the completion of one out of three targeted offers. Once the user has completed this offer, they will have access to your valuable e-book and the advertiser will pay you for this lead.

Old Documents

Take some of those old documents from your university days and turn them into potential goldmines. Students are alwayshunting for documents they can reference for their own essays, so why not provide them a valuable resource that you can monetize?

For example, that stellar overview you wrote for your exam on Of Mice And Men could serve as quite a benefit for students studying for their exam on the same topic. Convert that overview into a PDFfile, create a promotional blog, incorporate some effective SEO strategies, and rank for the relevant keywords.

Following the same strategy as the e-book example, make sure you lock the sub-page of the blog containing your download link and clear call-to-action. Now those old documents clogging up your hard drive can generate passive income for you!

Video Collections

Let’s assume you and your friends are aspiring filmmakers and have a collection of short films featured on your own Youtube channel. Let’s also assume that you create one every three weeks and upload it to your channel as soon as it’s complete. Now you’re at the point where you have quite a number of fans and receive thousands of views for each video but generate little to no revenue as a result.

Let’s create a blog that will act as your “showcase theatre”, where all the current and future fans of your films come to view your latest installment. Before the user is able to view the video (uploaded by a third-party video upload service that locks the video), theymust complete one of three targeted offers provided on the content unlocker. In return, each view will result in dollars as the advertiser will pay out anywhere from $0.40-$12 for each offer completion.

Not only have you monetized no-cost products, you have increased the potential for download numbers based on your attractive price tag (or lack thereof). Content locking is so easy, the skys the limit. Go ahead, try these strategies and witness the awesome monetization potential that only content locking provides.

Check out LeadBolt

 

MailChimp Blocks Affiliates

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In late “breaking” news on this Friday night, it seems that MailChimp, a email service provider for newsletters has made changes that includes banning a great deal of marketers from using their service. According to insiders, this was done because MailChimp was facing significant problems with their deliverability caused by a few less-than-ethical marketers. Since it was late evening, no one picked up their phones to address our questions, but their website made it clear that they were banning a whole host of marketing programs, including all “Affiliate Marketers.”

I’m not sure exactly what they think “Affiliate Marketers” are specifically, because most of the email marketing industry is a type of “Affiliate” or “Performance Marketing” of sorts, where people are paid some type of bounty from an “Affiliate” relationship with an advertiser. Well, either way, even if you aren’t an affiliate marketer, pretty much every other type of product is now banned from MailChimp.

Here is their own new terms:

Also, there are some industries that send certain types of content that result in higher than normal bounce rates and abuse complaints, which in turn jeopardize the deliverability of our entire system. No offense intended, but because we must ensure the highest delivery rates possible for all our customers, we do not allow businesses that offer these types of services, products, or content:

  • Illegal goods or services
  • Escort and dating services
  • Pharmaceutical products
  • Work from home, Internet Lead-gen, Make money on online opportunities, etc.
  • Online trading, day trading tips, or stock market related content
  • Gambling services, products or gambling education
  • Multi-level marketing
  • Affiliate marketers
  • Credit repair, get-out-of-debt content
  • Mortgages and/or Loans
  • Nutritional Supplements, Herbal Supplements or Vitamin Supplements
  • Pornography or nudity in content
  • Adult novelty items or references in content
  • List brokers or List rental services
  • Marketing or sending commercial email without proper permission

If you are using MailChimp, I would recommend anyway either iContact or aWeber. They both have excellent rates and little deliverability problems.

RevResponse

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The Largest B2B Specific Lead Generation Network on the Web. RevResponse empowers B2B web publishers with contextually relevant offers like free magazines, white papers, and eBooks from industry leading advertisers and content creators. Quite simply, RevResponse pays you to provide your visitors with a free resources that will keep them coming back again and again.

Scrubkit

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Scrubkit is an extremely powerful fraud analytical system with a proven track record of identifying fraud in real time. It’s a living breathing system that is constantly envolving with new trends that emerge – the outcome is a product that allows you sleep better at night knowing you have complete control of your network. ScrubKit is a solution that is self-managed by the customer yet backed by our highly-knowledgeable, and intensely-dedicated staff. We provide everything you need to get started. We can even pull historical data right from the start so you can get immediate results of possible fraudulent activity. We literally eat, breathe, and sleep fraud. It’s what we do, it’s what we know, and it’s what we feel is necessary to rid the industry of dirty traffic. At any time if you have questions about a fraudulent scenario, know full-well that we’re there to assist you by providing our in-depth knowledge.

Pave Way To Monetize Blogs

This article is the last one of a 3-part series in which bloggers participated in a revealing survey — sharing their experiences, joys, and disappointments with different facets of the performance marketing industry — as it pertains to how they monetize blogs.

In this third article we will hear recommendations for industry improvements that will help those new to affiliate marketing as well as any who struggle to make it work for them.

Rumbles

The recent earthquake that rocked the Eastern Seaboard had been in the making since the formation of the Appalahian Mountains millions of years earlier. To our utter shock, and without any warning, it proved how small events compounded over time can have cataclysmic outcomes of Richter-scale proportions. I was in New York at the time; the 2011 Affiliate Summit East concluded it 3-day conference just days before the earthquake rumbled through New York.

Natural events have a way of portending and mirroring our realities. The question on the minds of online business owners and business bloggers is how to successfully use affiliate marketing and performance marketing networks to monetize blog content. Will the industry fix the 7 fissures now present before the tremors erupt and explode?

Loudly Voicing State of Industry

Affiliate marketing is on the rise — Adam Riemer

Adam Riemer, speaking in his recap of the Affiliate Summit East 2011 Recap says affiliate marketing is on the rise. While affiliate marketing might be on the rise, and new players are storming the scene, one consistent rumble — becoming as loud as geological plates crashing together — is publishers’ voices making known the state of industry according to their experiences, perceptions, and realities.

Since this series began, blogger T.T. Mitchell has written a series of articles laying naked his affiliate dealings and Pace Lattin (editor here at PMI) has created a popular CPA review section.

Recommended Improvements

According to small business bloggers who attempt to monetize blog content, there are numerous areas of the performance marketing industry that could stand to be improved.

Believe it or not, the average small business person will forgive shortcomings in services and products. Why? Because they recognize the facts. They know they could be growing pains, represent the need for industry oversight, or smack of poor management. They understand that each of these scenarios is usually fixable with a little bit of chewing gum and elbow grease, or at least by having a hearing ear and a seeing eye . . .

 

Performance Marketing Bloggers Recommend Improvements

 

While they are too busy with their own enterprises to dig into (and fix) the woes of affiliate marketing conglomerates and performance marketing networks, they did take the time to offer suggestions for improvement to those who have a hearing ear and a seeing eye.

Aside from a recommendation that the amount of affiliate commissions be increased, these are the top seven areas suggested for improvement. Addressing these areas will contribute to success for bloggers monetizing blog content.

  1. quality control
  2. internationalization
  3. usability and the underlying technology
  4. ethics, greed, unfair competition, and fraud prevention
  5. education
  6. customer service
  7. communication

Improve The Quality

I can only assume they don’t check the products they authorize to be sold through their networks. Some of them are pretty bad and not worth promoting. — Adrienne Smith of AdrienneSmith.net

Remember the signature question asked by infamous former New York Mayor, Ed Koch? “How am I doing?” It wasn’t just a catchy phrase, it was an invitation for on-the-spot evaluation and the performance marketing industry could well apply it to both advertisers within the network as well as their own internal systems.

The outcry can be heard far and wide concerning ClickBank’s need to take a much deeper look at the products being put forth for general consumption. Business blogger Adrienne Smith, along with many others, places quality of products high on the list of recommended improvements. From suitability of products for their readers, customers, and visitors to the quality of the information provided to share with their audiences, bloggers declare this area one that needs focused attention.

The larger networks appear more interested in graphics than descriptive words so even the creatives have come under scrutiny. Bloggers seeking to monetize their content want a larger variety in banner sizes, and better designs (starting with less flash and more color choices). Further improvements that encompass interactive media and follow-on materials would be a welcome enhancement.

ClickBank might be on the hot seat, but they are not alone. The quality of products promoted within any performance marketing network must be taken seriously or they will die a slow death, no longer appearing in the pages where bloggers monetize blog content.

Improve Global Appeal

Paypal banned countries and tons of bloggers had big problems to collect their incomes. — Foodie Blogger, Gera of SweetsFoods

A number of bloggers say the networks should pay more attention to their dealings in countries outside their home area. Two things that rise to the surface in the international legs of programs are the need to improve access to certain types of products and the critical need to improve the number of options available to pay affiliates their commissions.

With respect to the latter issue, international bloggers cited problems with getting paid when networks sole-source PayPal services, especially since the number of countries it operates in has been dwindling over the last few years. Similarly, issues arise when the only options for payment are either bank check or direct deposit.

Improvements could be had in these two areas by making a more even selection of products available internationally, and researching – then implementing – payment solutions like Payoneer, which can integrate a network’s payment processing system with a solution that gives international publishers easy access to their commissions.

Improve Usability of Technology

Usability is key. The more improvements they can make in the area of making it easier to use their platforms the more money everyone will make. Gail Gardner, GrowMap

The underlying technology of any major system is in place to enhance efficiency and place relevant tools in the hands of those that need them most. Right?

Before attempting to create an educational component to show publishers and advertisers how to use the technology to meet their goals, the components of the technology should be solid, sensible, and simple. Right?

In simple terms, in order for small business bloggers owners to monetize their blog content, the tools must be easy to use. Unquestionably, bloggers cited this area for improvement. Apparently numerous advertisers could benefit from improvements in the underlying technology, too.

Here are some specific areas of improvement that would greatly benefit publishers:

  • control panel and account management
  • reports, charts, graphs
  • facilitate and archive communications
  • selecting and creating links for creatives
  • accurate click tracking, leads, and sales
  • access to help at the point help is needed

Able to withstand intentional malice, the underlying technology should further be bullet-proof, earthquake strong, withstanding many of the fissures that fuel the rumbles heard in earlier parts of this series.

Where Are We Headed?

Will the industry fix the fissures now present before the tremors erupt and explode?

Although we drilled down to get a clearer understanding of some of the recommended improvements, the others still bear deeper discussion.

Wouldn’t you say issues such as these can only be addressed by the industry policing itself, raising levels of standards, and adopting a caring attitude towards the publishers? That would at least be a beginning.

Thanks for reading. Add your voice to the discussion in the comments below.

Survey: Do Bloggers Monetize Content is still open. Share your experiences. Take this 5-minute, multiple choice survey.

Other Article in the Series

Read Part 1, Established Methods to Monetize Blogs.

Read Part 2: Survey: How Bloggers Monetize Blog Content.

Pay-Per-Call Hits Networks

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HasOffers, the affiliate tracking company out of Seattle, is already pretty well known for their ridiculous API.  They always seem to be the guys that are harping on flexibility and scalability with all of there talk about cloud computing, data layers, etc.  That’s why I was first surprised to stumble on their press release yesterday about integration with RingRevenue.  I mean, hasn’t Pay-Per-Call integration been done before with other affiliate tracking platforms?  Why is HasOffers so late to the game on this?

Lucas Brown (HasOffers CEO) said that “a Pay-Per-Call integration has certainly been a long time coming for HasOffers.  We held out because we really wanted to provide real value in our integration, rather than just adding hyperlinks to other platforms and calling it a day.” Turns out they did do some pretty cool stuff.  In fact, it’s something RingRevenue has never done with another affiliate tracking platform according RingRevenue’s CEO.

“This is the most complete integration we’ve done with an affiliate tracking software,” said Jason Spievak, CEO of RingRevenue. “We chose HasOffers simply because their platform and API can support this level of partnership, and we’re excited to see it taking off.”

Just in case you’re not familiar, RingRevenue is basically a call performance marketing solution that creates unique phone numbers for affiliates so that their clients are able to track which affiliates influenced customers to pick up the phone. So what so unique?

Well, I guess for starters there is a single login for both HasOffers and RingRevenue to make hoping between the systems really simple for affiliates.  Beyond that, what really makes this integration a huge time savor for networks is that HasOffers conversion reports actually include RingRevenue call and conversion data.  You can imagine how tedious it is to have to consolidate reports from two different systems or always hop back and forth to check your stats.

The release did quote a pretty excited customer saying: “Representing Fortune 500 clients, we required a robust affiliate solution that would not only track campaigns but phone calls as well. Working with HasOffers and RingRevenue has been the perfect solution and we highly recommend them for all your affiliate tracking needs,” said Brian Apploff, VP of Business Development at iPowerDigital.com

According to HasOffers, the best way to implement Pay-Per-Call tracking for your HasOffers affiliate program is to Signup for RingRevenue and let them know you’re already tracking your affiliate program with HasOffers.

Facebook Marketing = Go to Jail?

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According to legal analysts, there is a law being passed which could in theory make many types of affiliate marketing a federal felony. In theory, many types of marketing, which don’t fall under the terms and conditions of sites and social networks, could be prosecuted under the Department of Justice, for as much as three years in federal prison for each instance.

The issue here has to do with the Computer Fraud and Abuse act of 1986, which was originally made to prosecute and convict hackers, has been expanded over the years to include almost any type of “unauthorized access.” While this is currently just a misdemeanor, and the DOJ ignores these cases unless they are in combination with “real” crimes, that might be changing. Well, congress is about to expand this law to make it a felony, and make any “excess unauthorized access” a federal felony.

Pushing for congress to enact this is companies like Microsoft and… well, Facebook.  The problem with this is that this law will make it ILLEGAL to do anything that is in violation of the terms and condition when you sign up for example Facebook. That means if you are one of those marketers who use Facebook to promote your business, and the terms and conditions prohibits you from posting commercial messages on other people’s pages, or perhaps sending out commercial messages via the message function, you could be arrested for “excess unauthorized access.”

Think this is not possible? Well, in 2009 it turns out that the DOJ actually did prosecute a woman who violated the Terms of Service of Myspace for using a “fake photo” on her profile. Why was this illegal? Because the TOS required her to only use real photos of her.

You should read the Facebook TOS, there are several things that you could be prosecuted for.

For example:

You will not engage in unlawful multi-level marketing, such as a pyramid scheme, on Facebook.

In theory, if you ever mention a MLM product on Facebook, you could now go to jail. If you mention it 10 times, you could spend 30 years in prison?

You will not provide any false personal information on Facebook, or create an account for anyone other than yourself without permission.

You want to make another profile for your business, and one for your personal use to keep people separate? Well, that’s illegal.

You will not post content or take any action on Facebook that infringes or violates someone else’s rights or otherwise violates the law.

Want to promote a free gift card product, go to jail if you don’t have rights to the TM. Just some of the examples. In theory, many, many CPA networks are violating the law when they use facebook to promote their network in any fashion, or an offer and do not use the facebook advertising system.

You will not send or otherwise post unauthorized commercial communications (such as spam) on Facebook.

What is Spam? What is unauthorized? This means if you use facebook to market any product, or even reach out to a potential customer, is that illegal? Do we want to criminalize this?

What’s even worse, if your company engages in unauthorized marketing on any forum, any social network or any site (that means even comment spam, which I hate), you could be also prosecuted as organized criminals under the changes in the law.

Jesse Willms Assets Frozen

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Marsha J. Pechman, Federal Judge out of the Western District Court of Seattle has ordered all the assets of Marketing Millionaire and accused scammer Jesse Willms to be frozen. Additionally, according to news reports, the judge also banned Willms from continuing his business practices specifically negative option selling (ie, continuity marketing).

Willms is currently charged by the US Federal Trade Commission (FTC) of scamming consumers for almost half-a-billion of questionable “risk-free” products. According to the FTC, these products were often sold as being free, or just paying shipping and handling, but consumers would then be billed for months and months of charges on their credit card without any easy means of canceling the bills. Many consumers complained that they would often get the product after the free trial period, and have no means of returning it.

The FTC will be speaking to authorities in Canada where Willms lives in order to enforce the asset freeze there. Currently, according to news reports, there is a both a consumer and criminal investigation against Mr. Willms in Canada.

While Jesse Willms has not responded much to these accusations, he has hired many firms to engage in a positive PR and SEO campaign and consistently sends out news releases claiming that he has been assisting charities with financial donations. Additionally, there are at least a dozen “blogs” setup by Mr. Willms to counteract the negative press with positive SERPS.

Company Claims Email Marketing Patent

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In the category of “WTF” news, comes the claim from a company that they own the patent to email marketing. Yes, you heard me right. The company Email Link Corp, claims that they have patented the process of which emails are sent out, and then someone can click on a link to go to a promotional webpage. Basically, they are claiming that any promotional email sent out that links to a webpage, would be in violation of their patent – which would basically be the entire email marketing industry and almost every single newsletter sent.

On Wednesday, they filed a suit in US District Court against several Las Vegas casinos for sending out email to customers that contained links claiming that these “email communications to past, present, and potential future customers that contain links to data comprising website pages.”  Email Link Corp basically claims that this violates the patent for their “Information Distribution and Processing System” patent.

Email Link Corp purchased this patent, which makes absolutely no mention whatsoever of email marketing, or links within emails from Hark Chan of Cupertino, California. It seems that the company, Email Link Corp seems to have no business connections to email marketing, or any clients or business on the internet, an only purpose may be to pursue claims against marketing companies.

The patent is basically a conglomeration of various other patents, some which predate the internet, and include references to satellites and other communication devices. It seems that most likely by combining these previous patents, the references to linking data, the hope is that the patent “troll” company can create a possible patent that has something to do with linking data from email to the internet. Unfortunately, when it comes to patent lawsuits, common sense has nothing to do with it, as similar to the Patent for Affiliate Marketing from Essociates. Most companies, when faced with these lawsuits, like perhaps the casinos find it cheaper to settle than to fight ridiculous claims.

5 Tips for Better Affiliate Product Reviews

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There is one common denominator when it comes to the affiliate products I sell often vs. the affiliate products that never seem to move at all, and that is whether or not I have done a review for the product. In general, my goal is to not recommend anything I haven’t used myself, but just a quick mention in a post or reference on a resources list doesn’t seem to cut it.

On the upside, whenever I do a great review, I usually make a killing on that product’s affiliate commission. So here are my tips for better affiliate product reviews.

1. Make the post all about the product.

I’ve tried two different types of posts to market affiliate products – posts that are only about the product and posts that are educational that lead into the product for more information. I thought that the latter would gently ease people into buying an affiliate product in the excitement of wanting to learn more about a specific topic, but instead they just gloss right on over it.

So if you want to have a successful review post, make the whole post focus on the product – hook, line, and sinker. Or title, content, and call-to-action in the case of blog posts. This way you only get people reading that are interested in the product, and you’re more likely to make more sales.

2. Be sure that your review is the most thorough review of the product.

You want your review to be so comprehensive that people get more out of the review than they would the sales page. You want your review to leave no doubt in the reader’s mind that this is the product they must have, not by using a hardcore sales pitch, but by highlighting all of the value the reader will get from it if they purchase.

People almost always want to know more about a product before they buy, and if your site isn’t providing all of that information, they are going to seek out another review. And chances are the reviewer with the most unique insight into the product is going to get the click on their affiliate link – make sure that in-depth reviewer is always you!

3. Search optimize that post for the product name + review.

The most commonly searched phrase for almost any affiliate product is going to be the product name review. Therefore, you are going to want to optimize your post as much as possible so that it will rank for those keywords. The higher up in the rankings you are for the product review, the better your chances of getting more hits and more sales.

Places to include the product name review include the title tag for the post, meta description, a header tag within the post (<h2> or <h3> ), and within images. I would even go so far as to suggest that, if you have several images in the post, to name each of them the product name review – description of image.jpg and include the product name review – short description of the image in the ALT tags for the images as well.

4. Build some links to your review post.

After the on-site content optimization of your review post, you will need to do a little off-site optimization as well in the form of link building. Since you have the product name review in the title of your post, you can easily get some more traffic generating links to it by commenting on blogs enabled with CommentLuv (find some great blogs to start with here and here).

Blogs enabled with CommentLuv allow you to leave the link to your latest post along with your comment – some of those links might also be dofollow meaning you will get some SEO value for them as well. Comment on blogs whose audiences would be interested in the product you are reviewing, and you’re likely to get clicks to your post from those CommentLuv links as well.

Along with commenting, you can also use services such as social bookmarking to build up some links to your post as well. $14.90 will get you 350 social bookmarking links within about 48 hours.

5. Share your post with others asking about the product.

The next time anyone asks about products you’ve reviewed, either in blog comments, on Twitter, in forums, etc., you have the ultimate answer in your post. No one wants to be sent an affiliate link, but most people are very receptive of you simply saying “hey, I wrote a review of that product here – it has a lot of information about the ___, ____, and ____.” If your post is really good, then others will share it when people ask them about the product too – a definitely score for your affiliate marketing!

Those are my tips for a great affiliate product review. Now it’s your turn – what elements have you included in your product reviews to ensure they will be as successful as possible?

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How Mango Habanero, Metrics, and Masterful Moves Redefined Marketing Genius Every so often, a guest comes along who doesn’t just raise the bar—they throw it into orbit. Erin Levzow is one of those guests. From the moment she joined The ADOTAT Show, it was clear we were in the presence of brilliance. Erin is a marketing powerhouse, blending emotional intelligence with razor-sharp strategy, all wrapped in a package of humor, humility, and dazzling storytelling. She’s the...

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A civil investigative demand (“CID”) is the instrument by which the Federal Trade Commission exercises its compulsory process authority in connection with investigations.  CIDs may require the production of documents - including electronically stored information – or tangible things, the provision of testimony, and the providing of written responses to questions. A CID must state the nature of the conduct constituting the alleged violation which is under investigation and the provision of law applicable to...

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Recipients of FTC warning letters and notices of penalty offense should be on high alert and act quickly. Their advertising and marketing practices could be in violation of applicable legal regulations. What is an FTC Warning Letter? Federal Trade Commission “warning letters” are intended to warn companies that their conduct is likely unlawful and that they can face serious legal consequences, such as a federal investigation or lawsuit, if they do not immediately stop. ...

The Good, the Bad, and the SPO-ly

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The Hidden Flaws Behind Ad Tech’s Favorite Buzzword. Supply Path Optimization (SPO) is my love-hate relationship in ad tech personified. It’s the reason I fell for this industry’s maddening brilliance—and why it sometimes feels like a bad rom-com where no one learns their lesson. At its core, SPO promises efficiency, transparency, and accountability, and when it works, it’s like watching a Rube Goldberg machine perform flawlessly. But when it doesn’t—and let’s be honest, that’s most...