Blog Post
Web Analytics
Nadine
Wolff
published on:
21.09.2017
Tracking Methods in Affiliate Marketing
Table of Contents
With the various tracking methods in affiliate marketing, shop operators can sometimes end up in a confusing mess. What exactly is fingerprint tracking? What is cookie tracking?
Accurate tracking is known to be necessary so that conversions can be correctly assigned depending on the campaign. This can be tracked through various affiliate networks, but can also be measured in Google Analytics if the campaigns are properly tagged. This way, the correct publishers in affiliate marketing can be paid the appropriate commissions for acquiring leads or sales. If different campaigns are to be tracked, differentiation via deep links is also fundamentally possible, allowing one to track how conversions develop.
Especially advertisers who want to set up a new affiliate program often feel overwhelmed when providing tracking parameters. We know the regular hurdles within program set-ups and therefore provide an overview of common tracking methods in affiliate marketing.
What are the functions of tracking methods?
Performance in online marketing must be made measurable. This is the only way to have an overview of your ROAS as well as the relevant platforms that generate conversions like clicks, leads, sales, etc. In affiliate marketing, besides Google Analytics, the respective affiliate network can also provide information about which publisher generated a conversion. Quite simply put, affiliate tracking is triggered when an end customer clicks on an affiliate ad and is thereby directed to the shop operator's website. Based on the unique publisher ID, it can be traced at what time a conversion occurred through which publisher. At that moment, tracking kicks in and the interaction is passed into the affiliate network.
The necessary data for affiliate tracking is primarily obtained by the publisher from the respective network. Other data fragments can be directly incorporated by the customer either in the page's source code or through the Google Tag Manager.
Since there are various tracking methods in affiliate marketing, we will explore this topic further.
Standard Cookie Tracking
Cookie tracking begins the moment the customer clicks on an affiliate ad. From that point onward, a cookie is set in the customer's browser, which remains valid for a period defined by the advertiser (e.g., 30 days). If the customer makes a purchase or signs up for a newsletter within this period, a commission is assigned and paid to the publisher for brokering a lead or sale. Cookie tracking is often considered a classic among tracking methods in affiliate marketing. However, cookies are only tracked within a single browser. If the user first uses Chrome and then Firefox, the customer journey cannot be fully observed. Once the lifespan expires, the cookie is automatically deactivated by the browser.
Post View Tracking
Unlike standard cookie tracking, the publisher can be rewarded in post view tracking just for displaying an ad. For this, a special optimization tag for implementing view tracking and a high traffic landing page are required. It is advisable to keep the cookie lifespan as low as possible since the post view cookie regularly overwrites the standard cookie. This can lead to a distortion in commission distribution. There has been a long-running discussion about the extent to which post view tracking is justified because it cannot be definitively determined whether a user even noticed the affiliate ad when it was displayed. Critically small ad displays, for example, are shown at the bottom scroll area of a webpage, i.e., "below the fold". The publisher would receive compensation for an impression even if the user did not see or notice the advertisement. Therefore, close monitoring with post view publishers is recommended to prevent misuse and unnecessary spending of ad budgets.
Pixel Tracking
Some affiliate publishers use special solutions, such as ads whose performance can be tracked by a pixel. This is particularly recommended for direct cooperations. For this purpose, a pixel is incorporated into the source code of an advertiser's target page or the Google Tag Manager. The pixel is fired when the purchase is completed. With the pixel, a graphic is loaded in the customer's browser, through which the relevant data can be retrieved. At that moment, the customer is marked and, besides the advertiser's program ID, the type of remuneration (pay per lead/pay per sale, etc.) is also transferred. Additionally, the type of ad, the net merchandise value, as well as an order ID of the respective order are included. Pixel tracking is not recommended for all affiliate partnerships. In most cases, we resolve this for our customers by setting up the pixel in the Google Tag Manager, ensuring no additional effort for you arises.
Tracking by Mobile Publishers
Multi-device tracking by affiliate networks enables user IDs to be tracked across devices. Previously, it wasn't possible to mark customers remotely, but now a user can be holistically categorized based on their unique ID, and the correct commission can be allocated to the publisher. The prerequisite for this is that your shop's mobile website is equipped with the affiliate tracking code. The tracking is based on a user's ID, which is linked with the login, for example, when signing up for a newsletter. If an online shop operator's website is accessed over a desktop with a user's email address, for example, and then again over a mobile device a week later, that user can be identified. Alternatively, the target URL for desktop and mobile users could be highlighted differently, allowing them to be tracked differently. Legally, this tracking is rather in the gray area. To what extent the tracking complies with current data protection remains to be seen until the new data protection regulation in May 2018.
Additional Tracking Methods
In addition to the usual tracking methods in affiliate marketing, there are other procedures like URL or session tracking, which are rather rare. Flash cookies are also no longer used.
By the way: Fingerprint Tracking - a questionable principle?
This tracking method works completely without cookies. Fingerprint tracking is generated from various information such as computer configuration, IP address, and the respective browser. Depending on the settings of the respective system, a virtual fingerprint can be created from a user's surfing behavior. From this, a picture of a user is created. This could be used by pre-targeting publishers in affiliate marketing to quickly reach a vast audience. High dispersion losses are a calculated risk here, but they can sometimes lead to a higher branding effect.
Think about how many computers, tablets, and smartphones in your office are connected to the internet via the same IP address. You will quickly realize that by fingerprint tracking, it is quite difficult to precisely track how an individual user behaves. Therefore, fingerprint tracking is rather inaccurate for controlling affiliate marketing measures.
You can find more on fingerprint tracking
Lastly: Tracking and Attribution Models
In the course of accurate tracking, the respective correct attribution model also plays an important role in keeping a good overview of the media budget in affiliate marketing. The last cookie wins method has long been considered outdated since significantly more touchpoints up to the conversion weigh into the holistic view of the customer journey. This interplay of the right tracking method, well-converting ads, and a suitable attribution model can lead to a long-term well-managed affiliate program.
How can we help you?
If you are considering whether affiliate marketing is right for your online shop, feel free to contact us to give you an initial impression with no obligation. We look forward to your inquiry.
Nadine
Wolff
As a long-time expert in SEO (and web analytics), Nadine Wolff has been working with internetwarriors since 2015. She leads the SEO & Web Analytics team and is passionate about all the (sometimes quirky) innovations from Google and the other major search engines. In the SEO field, Nadine has published articles in Website Boosting and looks forward to professional workshops and sustainable organic exchanges.
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