Case Study #2: Building a Successful Program: Angie’s List
The Challenge: Setting up the first affiliate program for Angie’s List. The company was in a significantly earlier stage of marketing compared to now, and we were breaking new territory with the program.
The Plan: We set up a campaign to reflect their basic price structure for monthly and annual plans. We designed all the content around the Angie’s List brand message and what makes them so special. After the first year, we had proven the model and increased commissions to reflect their varying prices by market region. By providing the maximum amount of compensation to affiliates for every market region we made it easy for them to see initial success, and then we provided one-on-one conversation to motivate them into sending more sales.
The Results: The affiliate program helped Angie’s List rapidly increase the size of their business. It provided the lowest cost to customer acquisition of any of their marketing channel. Despite the low cost to Angie’s List, it provided a huge opportunity for affiliates to grow large successful marketing campaigns for Angie’s List. This overall success is reflected in the stunning growth numbers of 254% year over year growth during the second year, with a continuing growth of 97% and 16% during the subsequent years.