Anne Holland, Publisher of MarketingSherpa, delivered the keynote address at Affiliate Summit West 2006 on January 9, 2006 in Las Vegas.

1. Top 5 Affiliate Marketing Opportunities for 2006 Affiliate Summit 2006 January 9, 2006 Anne Holland, Publisher, MarketingSherpa

4. Source: MarketingSherpa Affiliate and Merchant Survey, August 2005 Affiliates & Search: Dramatic Shift Views on how affiliates use TMs are changing fast. Affiliates and Search 29% 39% 50% 21% 0% 10% 20% 30% 40% 50% 60% We essentially outsource our search engine marketing to our affiliates, and we give them free reign with TMs and branded terms. We don't allow our affiliates to use our TMs/branded terms in the search engine marketing. January '05 August '05

5. Affiliates & Search Opportunity #1: News Releases Source: Shawn Collins Consulting, December 2004 Press releases are for customers, not journalists.

6. Search News Opportunities by Niche Source: PR Newswire Data, August, 2005

7. Affiliates & Search Dramatic change in PPC bidding Source: MarketingSherpa, Search Marketing Benchmark Survey, August 2005 and MarketingSherpa, Search Marketing Metrics Survey, June 2004 E-LOAN says bid management no longer makes competitive difference

8. Affiliates & Search Opportunity #2: Landing Pages Source: Atlas DMT, Search Listing URL and Conversion, 04/2004

9. Example: 30-50% conversion lift Source: Atlas DMT, Search Listing URL and Conversion, 04/2004

10. Many landing pages still lame Source: MarketingSherpa, Search Marketing Benchmark Survey, August 2005 and MarketingSherpa, Search Marketing Metrics Survey, June 2004

11. Example: Tall Women’s Clothing

12. Example: Tall women’s clothing landing page

13. Which search terms are worth extra work on landing pages? Keyword Research ROI – 5+ Years Exp. Source: MarketingSherpa, Search Marketing Benchmark Survey, August 2005

15. #1. Most actionable data: Opt-in recency affects response Source: InformZ for MarketingSherpa, October 2005 Age of User Record

16. Example: New opt-in campaign Consider an educational 5-7x email series before sending clicks to merchants

17. #2. Unexpected success data: Co-registration opt-ins Source: MarketingSherpa, Email Marketing Benchmark Survey, October 2005

18. Example: co-registration

20. #3. Eye-opening data: Segmentation worth the effort Source: Topica for MarketingSherpa, October 2005 0.48% 4.14% 6.68% 30.86% Averages 0.20% 3.50% 1.10% 13.10% > 100K 0.80% 3.70% 4.00% 13.40% 50K–100K 0.50% 4.00% 7.60% 28.50% 10K–50K 0.30% 3.90% 9.00% 48.80% 5K–10K 0.60% 5.60% 11.70% 50.50% < 5K Clicks Opens Clicks Opens Not Segmented Segmented Audience Size Promotional Campaigns

21. Example: Multi-article vs single article ezine

23. Merchants’ Affiliate Growth Plans Source: MarketingSherpa Affiliate and Merchant Survey, August 2005

24. Picking the Best Affiliates: Merchant’s Revenue from Affiliates Source: MarketingSherpa Affiliate and Merchant Survey, August 2005

25. What’s wrong with most affiliates?