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Home Case Studies Home Depot: Driving Affiliate Revenue Growth with a Flat Budget By Gen3 Marketing Posted on Jun 30, 2021
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Home Depot Hero Image

Challenge

Home Depot came to Gen3 with a simple, yet difficult, challenge — Develop a program that could support revenue growth with 0% budget growth YoY.

Home Depot Challenge One Image
Home Depot Challenge Two Image

Action

Gen3 developed a 4-pronged approach to cost-savings:

1. Restructured the baseline, moving to a tiered commission strategy by publisher type, while customizing individual publisher commission based on their value proposition.

2. Moved to a SaaS fee network, migrating from CJ (% of sales/commission) to impact (fixed yearly fee).

3. Creatively leveraged CPA in multiple ways:

  • Secured high-impact placements by reinvesting commission cost savings.
  • Successfully negotiated high impact CPA-based exposures with a top loyalty publisher.
  • Leveraged short-term, attractive cashback on seasonally relevant categories.
  • Integrated SKU-based tracking to support category cashback.

4. Removed the #2 revenue-driving publisher (coupon browser extension) from the program.

  • Coupons are never available for customers
  • Sales were being misattributed.
  • Commissions were being wasted.

Results

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68%
Increase in revenue YoY.
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69%
Reduction in costs YoY.
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45%
ROAS increase YoY.
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0%
Increase in publisher commission costs.

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