When rebrands go wrong

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Domino's trials digital tool that allows bloggers to earn money

Domino’s Pizza is to test an online marketing tool that enables anyone with a personal web space, such as a social network page or blog, to host advertising from nominated brands and earn ad revenue.

The pizza delivery firm has signed a deal with digital agency BLM Quantum, part of Arena BLM, to test a new “social affiliate” tool, a widget that combines social media and affiliate marketing.

Any consumer that uses the widget will be able to promote products or services within a framework of designated brand guidelines. They can then earn money whenever a sale is driven from their ad.

They will be able to track the sales generated through their web page on a dashboard, which has been created by BLM Quantum and runs on the Affiliate Window network reporting system.

BLM Quantum will promote the new tool, which was designed by OoSocial, and advertise Domino’s participation through an online PR and blogger outreach campaign. This will be supported by an online media campaign later this spring.

Dan Clays, managing director of BLM Quantum, says: “Brands benefit by aligning with sites run by fans who are more likely to drive a sale, while site owners can generate revenues from their Facebook page or blog.”

Last month the company, which operates the British and Irish franchises of the global home delivery brand, reported pre-tax profit for the full year to 27 December increased by 27.8% to £29.9m. Domino’s said it had made an “exceptional start” to 2010, with like-for-like sales up 11% in the first six weeks of the year.

Readers' comments (1)

  • It will be fascinating to see the results of this trial from Domino’s and whether other brands start to follow suit integrating their social media and affiliate marketing programmes. The rise of social marketing in parallel with the boom in web 2.0 technologies has dramatically changed the landscape for affiliate marketing through the emergence of micro-affiliates. Commission payment is one area where the influx of micro-affiliates has led to new challenges for merchants. Frequent, small payouts are costly and time-consuming for brands to manage. Only when the industry has effectively addressed these challenges will they truly be able to leverage the collective power of micro-affiliates and achieve competitive advantage.

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