An Affiliate Marketing Case Study :
The Forzieri Jewelry and Fashion Affiliate Program.
Forzieri.com is the Internet Retail division of Firenze Seta s.r.l., an Italy based company located in Florence, Italy which has been family owned and operated since 1994. Forzieri offers premium Italian designer accessories at the most affordable prices. To learn more about the Forzieri company please click here
Forzieri launched their own internally managed affiliate program in mid 1999 through the LinkShare Affiliate Network. The affiliate program had been successful and well received but due to an open door policy where all affiliates were approved, it suffered heavily from credit card fraud and parasitic affiliates.
In 2004, Forzieri decided that its affiliate program would be better managed by a professional affiliate management company and contacted AMWSO. Both parties began examining how to clean-up the current affiliate base as well as broaden market share through the affiliate channel.
In May 2004 AMWSO was awarded with the contract to manage the Forzieri affiliate program. It was determined that a dedicated team of 2 full time AMWSO staff would manage the program with Chris Sanderson heading the team as Strategic Manager.
Firstly, to gain a thorough understanding of the program’s issues AMWSO carried out an comprehensive evaluation review of the affiliate program. It was discovered that the program was riddled with parasitic sites which were using various technologies to overwrite affiliate links and steal commissions from unaware valued affiliates. Additionally, it was also agreed that the following issues needed to be addressed:
- Clean up: Progressive Anti-Parasite stance and the removal of all affiliates that had been participating in any parasitic activities.
- Clean up: Termination of all affiliates that AMWSO suspected were involved in credit-card fraud.
- Trademark Protection: Trademark protection.
Using in-house analytics and Linkshare reporting to spot inactive, parasites and trademark bidders, AMWSO culled several thousand affiliates from the program. These partners were adding little value to the program and although affiliate revenue dropped by 48%, overall Forzieri sales saw only a marginal drop in overall revenue from the previous month. Through 2004-2006 AMWSO rebuilt the Forzieri affiliate program and worked closely with affiliate partners to ensure that only ‘clean sales’ were generated. The end result by December 2006 was a year on year sales increase of over 150%.
Following the program clean-up the Linkshare affiliate community nominated Forzieri for the following awards:
- Nominated for LinkShare 2006 Golden Link Awards “Best International Merchant“
- Nominated for LinkShare 2005 Golden Link Awards “Innovative Merchant“
Forzieri and AMWSO look forward to a promising future together with a number of new projects on the horizon, including the newly launched UK affiliate program, also running on Linkshare UK. The Forzieri affiliate program continues to be fully managed by AMWSO.