Forward–thinking Retailers must not only retain a focus on selling goods online but with the media industry becoming increasingly digitised they should also consider the internet as a fertile ground for Marketing. Mark Syal, Head of Walker–i, reviews the increasing importance of digital media and Affiliate networks.

Digital media

What retailers face is a confusing array of online options including online display advertising, social networking, blogging, micro–blogging, and a variety of other online activities revolving around online conversations that might either be the ideal solution for marketing of a client's products, or totally irrelevant.

Mark Syal, head, Walker–i, says: "There are many options and retailers need to find ways to zone in on the most relevant ones to their businesses." He suggests the way to do this is to look at relative size of the activity amongst the target audience and to consider what role it might play in a communication plan.

It is essential to prioritise these options, according to Syal, as with nearly 32 million people 'frequently online' in the UK and more than six out of 10 adults online at least once a week, digital channels have become a mainstream way of reaching your target audience.

Affiliate Marketing

The major focus for most UK web advertisers is not branding or engagement activities, however, but sales driving activities. Search marketing, either through search engine optimisation or through paid search is the primary medium here, but increasingly affiliate market is becoming a key channel. Most major UK retailers will have an affiliate programme running – although not all are run according to best practise.

The three parties involved in affiliate marketing are the publisher/affiliate that runs the website, the retailer or advertiser, and the affiliate network that enables the two parties to work together. The arrangement centres on advertisements being placed on the affiliate website and payments only being made to its owner when consumers have clicked on ads and gone on to purchase the advertisers' product or service.

Visit Barclays Commercial for more information on use of digital and affiliate marketing in shaping your business strategy.