Understand the principles of relevance & personalization

I just read this thought provoking article on PerformanceIN titled "What Chief Marketing Officers Should Prepare for in 2015".  The author, Mark Flaharty, writes CMOs are becoming more data-driven each year.  

With this data, they are more focused on technology & performance.  Flaharty's first point states:

1. Understand the principles of relevance and personalization For marketing executives, the most important aspect of first-party data is the relevance achieved by using it. Brands have a wealth of data on their existing and prospective customers and can use this data to forever enhance and maximize their customer engagement and interactions.

I agree & go further to say brands have a wealth of data on their existing and prospective customers & can use that data, integrated into their performance / affiliate marketing programs, to better compensate their publisher sellers.  

For example, let's say Publisher A is highly effective in sending customers who purchase high value products.  Publisher B is also effective in sending customers who purchase mid value products.  When the brand incorporates their own meta data into their performance marketing platform, they actually see this:

• Publisher A sends existing customers who purchase high value products, from which the brand earns a lower margin on each sale, but customers who come back often.
• Publisher B sends new customers who purchase mid value products, from which the brand earns a higher margin on each sale, but customers who come back less often.

ExactView Insights

Should Publisher A & B be compensated differently?  Does one publisher drive more value for the brand? Should Publisher B earn a bonus for driving higher margin sales?  Can Publisher A be better compensated for driving new customers, rather than existing customers, as an incentive?

The answer to these questions is in the meta data. Smart marketers will know what is best for them, provided they are using the right technology & tools.  This is what my company's product, ExactView, allows marketers to do.  It also allows publishers a clear view into their performance, so they can earn more by driving better value, according to what the brand determines is important. 

Traditional sales reps from companies are regularly paid higher commissions for bringing in new business & often earn different comp for renewing business.  Why should it be different in performance / affiliate marketing?  By creating closer ties with top tier publishers, brands are better able to make them more of a partner in the sale, where they can grow their programs through optimization & at scale.