Affiliate and Lead Generation Marketing Efforts Pay Off in UK Consumer Spend

According to the third annual Online Performance Marketing (OPM) Internet Advertising Bureau UK (IAB) study, UK consumers spent £16.5bn in 2014 due thanks to affiliate marketing and lead generation campaigns.

This represents a 14% increase on the previous year - this growth rate is almost twice that of advertiser spend on performance tactics, which saw an 8% rise between 2013 and 2014 to £1.1bn (a return of £15 for every £1 invested by advertisers).

The study also revealed that most brands targeted their spend on affiliate marketing, which saw 88% of their OPM (online preference marketing) budget last year compared to 12% for lead generation. With the 125 million purchases consumers made in 2014 through affiliate websites, this strategy achieved returns of £15.4bn.

Additionally, the study found that £1.1bn in sales came from the 30 million contact forms submitted by users - 10% being e-commerce retail sales and approximately 1% of GDP coming from e-commerce retail sales.

Senior Manager at Price Waterhouse Cooper (the company that carried out the study), Dan Bunyan, commented: "OPM has grown to a near-£17bn industry due to the fact that all parties continue to benefit. Advertisers get new customers extremely cost-effectively, consumers save money and get access to free online content, whilst the publisher in the middle gets revenue through referral fees."

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