The Collapse of the Affiliate Marketing Model

[Sexyteaser]

The Commission Junction and the 2Much Media/NATS Complaints seem to be on track to collapsing the Affiliate Marketing Model which has become like a giant pyramid scheme. With several of the largest Affiliate Programs claiming double digit losses in revenue and/or market share the reasons are multifaceted and so many areas need to be addressed.

The re-filing of the 2Much Media (NATS) case may broaden the scope of the hit on the adult industry.

A copy of the Commission Junction Complaint can be found here http://www.cjclassaction.com/Carrier_Complaint_Final.pdf

A copy of the new 2 Much Media Complaint will be provided as soon as it becomes available.

[RawAlex]

I had a long post and removed it.

Safe to say the sales are going somewhere. Just like tube sites and torrent sites, programs need to wise up and figure out who is on their side and who isn't on their side.

Hint: standardized software, standardized link codes, and easily noted tracking are all super easy targets for third parties.

hint for programs: intentional leaks on your tours, deal with scumbag toolbar installers, or buying traffic from known scumware companies is a way to poison your affiliate marketing program and leave yourself open for legal action. If this case gains any traction, you guys better hope like fuck that nobody decides to come after your asses. You could all end up really, really poor at the end of all of this.

[Sexyteaser]

Let me just clarify that this is my personal opinion after reading and speaking with several people.

Mr. John Albright has personally contacted me to let me know he "has not threatened anyone." but I was told something different from someone who claims differently and a reliable source.

I guess I have just pissed off a whole slew of people this week but when it all comes down to it they say the "truth" will set you free.

Now only time will tell if these two legal battles will collapse and forever change the affiliate marketing model and just maybe I won't feel like using my voice to express my opinion was a death sentence. I would rather be tied to the solution than the problem. So, when you start seeing the replacement of Affiliate with Value Added Reseller or some other name to add distinction and distance from this we will know.

[gonzo]

I missed the threaten part?
Where was that brought up?

Oh I see an ICQ flashing from John now.

[Sexyteaser]

Originally Posted by gonzo

I missed the threaten part?
Where was that brought up?

Oh I see an ICQ flashing from John now.

I made a comment about it here http://www.oprano.com/msgboard/showt...highlight=nats

[Toby]

This business has always been a moving target. The only constant is that things are in a constant state of change.

I would agree that the current affiliate program model is ripe for some major shifts in the way programs do business. More streamlined, more efficient, more about quality traffic and less about traffic volume.

We've already seen pay per sale programs on free and trial joins all but vanish. There's been an ongoing consolidation of programs. DeeCash's recent acquisitions as a prime example. Along with that there have also been a number of programs quietly acquiring major traffic sources. Thumbzilla for example is now owned by Twistys.

I don't believe we will see the current affiliate model completely vanish, but it will certainly continue to evolve just as it has for the last 10+ years.

As for the litigation noted above, the only real effect will be to hasten along what would have occured in time anyway.

[Sexyteaser]

I just checked Pacer for some cases tonight and guess what I found....

3:06-cv-03988-JAP-JJH NR MEDIA, INC. et al v. TOO MUCH MEDIA, INC. et al
Joel A. Pisano, presiding
John J. Hughes, referral
Date filed: 08/22/2006
Date of last filing: 03/18/2008

Something new was filed today before the deadline...
I will get a copy and link for you all but its late so tomorrow.

[Sexyteaser]

Here is a snipit taken from the complaint...

1. Pursuant to Rule 23 of the F.R.C.P., to assert a class action against
Defendants for the following causes:
a. Violations of New Jersey’s Consumer Fraud Act, N.J.S.A. 56:8 et
seq.;
b. Negligent Misrepresentation;
c. Misappropriation and Conversion of Proprietary Confidential
Information;
d. Breach of Contract;
e. Intentional Interference with Existing Affiliate Contracts and
Memberships;
f. Intentional Interference with Prospective Business and Economic
Advantage;
g. Breach of Fiduciary Duty;
h. Violation of New Jersey’s Identify Theft Protection Act, N.J.S.A.
56:8-161 et seq.;
i. Indemnity and Contribution; and

j. Declaratory relief.

[Mediaguy]

Originally Posted by Shelleehale

The Commission Junction and the 2Much Media/NATS Complaints seem to be on track to collapsing the Affiliate Marketing Model which has become like a giant pyramid scheme. With several of the largest Affiliate Programs claiming double digit losses in revenue and/or market share the reasons are multifaceted and so many areas need to be addressed.

The re-filing of the 2Much Media (NATS) case may broaden the scope of the hit on the adult industry.

A copy of the Commission Junction Complaint can be found here http://www.cjclassaction.com/Carrier_Complaint_Final.pdf

A copy of the new 2 Much Media Complaint will be provided as soon as it becomes available.

Why hasn't anyone posted how moronic this post is?

The Commission Junction thing is OLD news and has nothing to do with adult and everything to do with unethical though not yet illegal practices perpetrated by a mainstream company.

It's Too Much Media, makers of NATS, and there's no relation to the older, less relevant Commission Junction case.

The first suit against TMM was libel, and was a simple-minded riposte to a terms of use violation case brought against another company by TMM.

The Affiliate Marketing Model is nothing but a pyramid scheme? HUH?

TooMuchMedia was broken into and this is somehow the end affiliate model? Is the banking industry threatened by the last hold up?

What's double-digit losses? Up to 99 bucks?

What's your source for these statistics?

TOO MUCH MEDIA isn't issuing a new complaint, the other company changed it's earlier libel suit... get off go away, get your meds straightened out you are infuriatingly misinformed, miseducated and inclined to blowing trumpets of alarm via your significant arse, lady. You've ceased being amusing and have twice now gone against reputable people who happen to be known and respected... get a job or a gigolo, you can afford it... learn about what you are writing, at least, everything is NOT simple, shallow and single-sided...

[Sexyteaser]

Originally Posted by Mediaguy

Why hasn't anyone posted how moronic this post is?

The Commission Junction thing is OLD news and has nothing to do with adult and everything to do with unethical though not yet illegal practices perpetrated by a mainstream company.

It's Too Much Media, makers of NATS, and there's no relation to the older, less relevant Commission Junction case.

The first suit against TMM was libel, and was a simple-minded riposte to a terms of use violation case brought against another company by TMM.

The Affiliate Marketing Model is nothing but a pyramid scheme? HUH?

TooMuchMedia was broken into and this is somehow the end affiliate model? Is the banking industry threatened by the last hold up?

What's double-digit losses? Up to 99 bucks?

What's your source for these statistics?

TOO MUCH MEDIA isn't issuing a new complaint, the other company changed it's earlier libel suit... get off go away, get your meds straightened out you are infuriatingly misinformed, miseducated and inclined to blowing trumpets of alarm via your significant arse, lady. You've ceased being amusing and have twice now gone against reputable people who happen to be known and respected... get a job or a gigolo, you can afford it... learn about what you are writing, at least, everything is NOT simple, shallow and single-sided...

Greg, As I previously stated in another post....

The first Law Suit filed in this case with TMM and NR was completely if not totally different than this one. So, you all thinking this is the same stuff all over again it isn't. NR has the sex.com Attorney Carreon http://www.sexdotcom.info/story/peop...es-carreon.htm and the lead attorney is just as notable - Not one's to take a case without merit unless of course you all believe NR has super deep pockets and more that TMM.

Before you start completely bashing me and thinking this is the same old shit do some homework. We have two of the largest affiliate programs in court, CJ and TMM there will definitely be a lot of press on this and sides taken. Also, as I previously said the government will get involved. So, beat me up for time will tell how right I was on this one.

Although both cases may be different the fact that they both manage affiliate programs and are in court and one already a class action and the other one asking to be recognized as one is significant enough to draw a lot of attention to how affiliate marketing works and the technologies being used in the current model legal, illegal, good and bad.

[Mediaguy]

Originally Posted by Shelleehale

Greg, As I previously stated in another post....

The first Law Suit filed in this case with TMM and NR was completely if not totally different than this one. So, you all thinking this is the same stuff all over again it isn't

You're wrong. Read the sources from which you copied - even the headline says "amend lawsuit".

You're not helping yourself by confusing issues and then industry-prophesizing based on skimpy knowledge and short-term exposure to the business.

Both these things happened before you were in the adult industry, or even exposed to online marketing, so you may not have the full background or history of the thing at the back of your mind.

But at least read the source before claiming you can't find both sides of the story - and find out the causes and circumstances behind the litigations.

Originally Posted by Shelleehale

is significant enough to draw a lot of attention to how affiliate marketing works and the technologies being used in the current model legal,

In Consumption Junction's case it certainly can serve to highlight unethical practices and hopeful will serve to get various wares made illegal the way spam has become illegal.

However this in no way points to the downfall or collapse of the affiliate marketing model, while in fact the CJNetworks case if won may help refurbish affiliate marketing and turn stuff like Zango into the legal equivalent of hot potatoes - certainly people who've lost money to these types will be happy.

[Sexyteaser]

You're wrong. Read the sources from which you copied - even the headline says "amend lawsuit".

It says to be exact..

SECOND AMENDED AND

SUPPLEMENTAL COMPLAINT

In Consumption Junction's case it certainly can serve to highlight unethical practices and hopeful will serve to get various wares made illegal the way spam has become illegal.

It is Commission Junction

PHP Code:

However this in no way points to the downfall or collapse of the affiliate marketing model, while in fact the CJNetworks case if won may help refurbish affiliate marketing and turn stuff like Zango into the legal equivalent of hot potatoes - certainly people who've lost money to these types will be happy. 


Greg, I bet just after the April hearing or sooner the press on this will all be saying the same thing. Give it a day or two they may just steal this headline from me.

[Sexyteaser]

Greg,

I have copies of all the documents in both these cases if you want them I can direct you to where they can be purchased and sent to you.

Our Senate and Congress are following the CJ case and the TMM addition will add fuel to the fire; especially if TMM is recognized as a class action.