Dan Bunyan, Manager at PwC, commented on the success of price comparison websites: “OPM generated around four billion clicks in 2013, the equivalent of 10 million per day or 120 per second, about 5% of which resulted in a transaction. This high conversion rate and the high return on investment explains the significant increase in advertisers (to 4,000) and publishers (to 12,000) now using OPM.
“It isn’t just the big publishers, or ‘super-affiliates’, who generate revenue through OPM. It’s opened up a new and growing industry among the ‘long tail’ where Individuals and small publishers with specialist knowledge of a particular area can produce websites and then automatically generate advertising revenue.”
OPM caters for consumers’ who want to find the best deals available. Around half of British adults say that they have used a price comparison website in the last six months. “Characterised by deals, incentives and product reviews, OPM has ushered in a new era of savvy and careful consumerism,” says Director of Research & Strategy at the Internet Advertising Bureau, Tim Elkington.
Tim explains: “Consumers can save money in a variety of convenient ways and get access to content online free of charge. Advertisers get new customers – nearly 6 in 10 people become repeat customers of a company they only discovered through a deal or incentive site – and, at a return of 14:1, it’s extremely cost-effective. It also generates extra revenue for the publishers in the middle, large or small, via referral fees.”
Olivier Claude, Marketing Controller Affiliate & Email at BskyB, also commented on the success of OPM: “Between 2010 and 2012, affiliate channel sales volumes grew by 33% and customer quality has improved. At the same time, affiliate share of online volumes have grown steadily. Should Performance Marketing maintain positive volume growth and positive ROI, we should expect an increased investment in the channel.”
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