New Insights into Affiliate Performance: PartnerCentric Brings Transparency to the Forefront of Partner Contributions
The world of affiliate marketing is undergoing a dramatic shift as advertisers and marketers strive for greater transparency in how affiliate partners are credited for their role in driving conversions. This shift has been prompted by increased scrutiny over browser extensions, which have long been a point of concern for measuring true performance. One of the key players leading this transparency movement is PartnerCentric, the largest independent partnership marketing agency in the U.S. Their groundbreaking work, particularly with their proprietary tools such as FUSE Incrementality™ and FUSE Precision™, is reshaping how affiliate marketing effectiveness is understood, offering advertisers a more accurate picture of partner contributions.
PartnerCentric’s Role in Defining Fair Affiliate Performance Measurement
PartnerCentric’s recent data release has uncovered a critical insight: many affiliate networks have been over-attributing credit to certain partners, particularly in the Coupon, Loyalty, and Cashback sectors, while under-crediting other partners such as Influencers. These findings have been made possible thanks to PartnerCentric’s innovative approach, which includes the newly introduced FUSE Incrementality™ tool. The Conversion Origination metric, a crucial part of this tool that was added in 2024, aims to identify which affiliates truly drive sales, moving beyond the traditional last-click attribution models that have dominated the affiliate marketing industry for years.
Revolutionizing Attribution Models: What the Data Shows
The latest data from Q4 2024 provides a fresh perspective on the role of various affiliate partners. The findings suggest that the affiliate industry has been heavily skewed in its attribution models, over-crediting some partners while not giving enough recognition to others who are responsible for starting the conversion journey. In particular, Coupon, Loyalty, and Cashback partners were found to be over-attributed by affiliate networks, with PartnerCentric’s data showing that on average, these types of programs were credited for 87% of conversions they didn’t actually initiate.
Here are the specific breakdowns of the originations of various programs:
- CapitalOne Shopping: This partner was responsible for initiating 16% of conversions credited to them.
- RetailMeNot: This program was responsible for initiating just 5% of conversions credited to them.
- PayPal Honey: With a relatively low initiation rate, PayPal Honey was only responsible for 2% of conversions credited to them.
- Rakuten Rewards: As a standout performer, Rakuten Rewards led the category with 40% of conversions initiated by their program.
On the other side of the equation, influencers have long been a key but underappreciated part of the affiliate ecosystem. PartnerCentric’s data highlights that influencers are significantly under-credited for their role in driving customers toward a sale. In fact, influencer contributions were found to be under-attributed by 39%. This means that while influencers are often responsible for initiating the customer journey and driving sessions, they are not receiving adequate credit for the conversions that follow.
The Need for a More Accurate Attribution Model
So, why is this significant? The over-attribution of certain partners and the under-attribution of others can result in unfair compensation practices and a misalignment between the performance of partners and the rewards they receive. Outdated and overly simplistic last-click attribution models only account for the final step in the conversion journey, leaving out the critical early stages where influencers, coupon sites, and other partners play an instrumental role.
Stephanie Harris, CEO of PartnerCentric, explains, “While Coupon, Loyalty, and Cashback often close sales, they rarely initiate conversion sessions, and outdated attribution models often misdirect their commissions. The solution isn’t the elimination of these partners, but fair compensation based on their actual contribution.” In this new age of affiliate marketing, it’s clear that fair compensation for all partners—based on their unique role in the customer journey—should be the goal.
FUSE Incrementality™ and FUSE Precision™: The Tools for a Fairer Affiliate Landscape
PartnerCentric’s response to these challenges has been to develop more sophisticated tools that give advertisers better insights into the real contributions of each partner. One of the standout innovations is FUSE Incrementality™, a tool designed to go beyond last-click attribution and identify the true drivers of conversions. By leveraging advanced data analytics and full-funnel measurement, FUSE Incrementality™ helps advertisers understand the broader impact of each affiliate partner, providing a much clearer picture of who is truly responsible for driving sales.
Additionally, PartnerCentric has developed FUSE Precision™, a patented commission automation technology that takes things a step further. This tool uses the full-funnel analytics of advertisers to automatically adjust commissions, ensuring that partners are compensated based on their actual impact rather than just the last-click that led to a conversion. With the use of FUSE Precision™, commissions are aligned with real sales performance, giving advertisers a much more accurate and fair way to reward their partners.
FUSE Precision™ has already demonstrated significant improvements in partner compensation based on the new metrics. For example:
- Rakuten Rewards: Saw a 95% improvement in commission accuracy.
- CapitalOne Shopping: Experienced an 89% improvement in the alignment of commissions to performance.
- PayPal Honey: Benefited from a 66% improvement in commission alignment.
These improvements show that when advertisers are equipped with better tools and more accurate data, they can significantly enhance the fairness and effectiveness of their affiliate programs.
The Future of Affiliate Marketing: Fairer, More Transparent Partnerships
The work that PartnerCentric is doing with FUSE Incrementality™ and FUSE Precision™ represents a fundamental shift in how affiliate marketing operates. By moving away from outdated attribution models that fail to account for the full customer journey, PartnerCentric is leading the charge in ensuring that all affiliate partners receive fair compensation based on their true contribution.
As Stephanie Harris succinctly puts it, “FUSE Incrementality™ gives advertisers the clarity and control to optimize performance with integrity, and FUSE Precision automates accurate commissions.” This approach, focused on real-world performance data, is not only helping to restore fairness but is also paving the way for more meaningful partnerships between advertisers and their affiliates.
As more brands adopt these innovative tools and approaches, the affiliate marketing landscape will continue to evolve, prioritizing transparency, fairness, and the recognition of all players in the conversion process. Ultimately, the work PartnerCentric is doing is setting a new standard for what affiliate marketing should look like in the future, ensuring that all contributors—whether they are coupon sites, influencers, or cashback programs—are compensated fairly for their role in driving business success.
The future of affiliate marketing is here, and it’s one that values true performance, clear data, and transparent partnerships. Thanks to PartnerCentric’s cutting-edge tools, advertisers can now navigate this new landscape with confidence, knowing that they are rewarding the partners who are truly making a difference in their sales performance.
