IAB reports 2012 boom in affiliate marketing spend

Affiliate marketing is undergoing a 'boom' in the UK according to new figures, with a total investment of more than £800m last year delivering £9bn in sales.

Quidco: part of the affiliate marketing 'boom'
Quidco: part of the affiliate marketing 'boom'

Research carried out by PricewaterhouseCoopers on behalf of the Internet Advertising Bureau (IAB) reveals that advertisers spent £814m on affiliate marketing and lead generation in 2012, with an ROI of £11 for every £1 spent.

The study shows that 3500 advertisers and 10,000 publishers are engaging in online performance marketing (OPM), which the IAB described as digital marketing's 'best-kept secret'.

IAB director of research and strategy Tim Elkington said: 'Each year [OPM] drives more than two online purchases for every UK adult and causes the equivalent of every UK person to fill out a form showing interest in a product.'

Price-comparison, voucher, loyalty and cashback sites including Comparethemarket.com, Vouchercodes.co.uk, Nectar and Quidco are the best-known examples of OPM.

The financial sector is the biggest spender on OPM, with a 45% share of the market last year, compared with retailers' 20% share; telecoms and media companies account for 10% of the market.

Have your say...

Before commenting please read our rules for commenting on articles.

If you see a comment you find offensive, you can flag it as inappropriate. In the top right-hand corner of an individual comment, you will see 'flag as inappropriate'. Clicking this prompts us to review the comment. For further information see our rules for commenting on articles.

comments powered by Disqus
Media Week Jobs
Search for more media jobs

Latest

Banner ads at 20: why don't people want their faces on elves?

Banner ads at 20: why don't people want their faces on elves?

Graeme Noble, the executive creative director at TMW, reflects on 20 years of digital.

Share
WPP posts 3 per cent rise in third-quarter revenue

WPP posts 3 per cent rise in third-quarter revenue

WPP's third-quarter revenues rose 3.1 per cent to £2.8 billion, according to the company's trading report.

Share
Channel 4 expands interactive ads to mobile

Channel 4 expands interactive ads to mobile

Channel 4 has expanded its interactive ad formats to tablet and mobile devices.

Share

Get news by email