Online affiliate marketing agency Dgm has launched a new Melbourne office after winning a raft of new retail clients.
Large retailers including Big W, specialist online merchants including Kogan and The Iconic, and global giants Microsoft, Sony and Marks & Spencer are among more than 20 new clients to the Dgm affiliate network.
The agency has also made three new senior appointments, with the hire of Peter Hammond, Alexandra Lochead and Kertu Liina-Lehismae.
Hammond joins from Shopping.com where he was head of operations and account management, to become Dgm’s business development manager while Lochhead is joining from the client side at a UK fashion retailer and Kertu Liina-Lehismae joins from Rakuten-Linkshare in the UK.
John Matthews, Dgm general manager, said the network was now delivering more than $10m in ecommerce sales each month for its clients, and this figure is continuing to climb.
“We are seeing the momentum build for affiliate marketing in Australia as local online retailers learn about the unique benefits of the channel while international retailers are looking to grow their incremental sales through our specialist retail publisher base,” he said.
Despite the strong recent growth, Australian retailers have some catching up to do compared to their US and European counterparts, Matthews continued.
“In the US and UK, 100% of the country’s top 20 multi-channel retailers are operating an affiliate marketing program. Here in Australia only a handful of those businesses are using the channel at the moment. We are expecting much more growth in the next 12 months as more retailers and merchants embrace the cost per acquisition model that operates in the affiliate space.”
Matthews also said the Australian affiliate market, historically dominated by the big finance brands, is experiencing a structural shift.
“Growth in online retail spend coupled with greater focus from big brands on how they are using the internet as a sales mechanism means we are seeing big retailers embrace the affiliate channel and we expect to see this growth continue for years to come.”