IQ News: Homestead Stakes Claim To New Affiliate Program

This week, personal homepages site Homestead Technologies launches its MoneyMakers Program, an “instant affiliate” play that will let users profit from associations with e-tailers such as, Fogdog Sports and health and beauty site
Homestead’s technology allows members to create free homepages using a drag-and-drop interface, selecting from a variety of “Elements.” These are graphics that provide instant functionality for such things as search and polling, many of which are sponsored by advertisers. To use MoneyMakers, members sign up once then drag e-tailers’ logos onto their pages to begin collecting commissions for sales originating on their sites.
“We make it really easy to make money,” said Dana Rositano, director of consumer marketing for Menlo Park, Calif.-based Homestead. “They can aggregate their commissions across all merchants.” Working through affiliation networks BeFree, Marlborough, Mass., and LinkShare, New York, Homestead negotiates and coordinates with each merchant, aggregates members’ commissions and offers them a single report on all commissions, ranging from 5 to 30 percent.
Homestead vice president of marketing Michael Geller said affiliation programs are part of an important trend in online marketing “away from banner advertising and toward a pay-for-performance model. A lot of advertising partners we spoke to wanted more and more affiliates.”
Redwood City, Calif.-based sporting goods seller Fogdog Sports has been running affiliation programs for more than a year, attracting a variety of personal and smaller publishers. According to Michael Feldman, Fogdog’s director of partner marketing, a significant minority percentage of marketing efforts hinge on affiliation. “It’s a great way to acquire customers and to build our brand and get our name out there.”
To start, Homestead users will be offered a Fogdog search box. Next month, they’ll be able to access Fogdog’s new auto-merchandiser as a Homestead Element which will automatically push fresh product selections in specific categories to affiliate sites.
Said Feldman: “It’s a good evolution for the little guy–the personal Web page–to expand into e-commerce.”