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Kwanko Talks: focus on the e-commerce market in Brazil

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The constant evolution of consumer behaviour forces brands to be always attentive to the targets they want to reach, and for this, it is necessary for the marketing team to know exactly every step of your potential customers. Performance marketing has become the best alternative for companies, especially for those who rely on digital, when the focus is on a more precise and effective result.

“Performance marketing addresses the daily challenges of e-commerce players on how to increase site traffic, grow the database and attract qualified leads to feed their sales force, in addition to generating more direct sales on the site, with the acquisition of new customers”, explains Antony Araujo, board member and associate director of Kwanko, in an exclusive interview with E-Commerce Brazil.

According to him, it is a business model with result, without risk and with high profitability by focusing on the return on investment. “Customers define the goals and objectives, and we only get paid if we achieve them”, he says, explaining that this is how it works at Kwanko.

However, even with the data measurement tools and strategies in place, some challenges remain, such as the extinction of cookies next year and other user data privacy issues, which hinder some important KPIs for performance marketing.

When asked about this, Araújo says that Kwanko is constantly adapting to the new context and also mentions that the company is a forerunner in terms of best practices for privacy and consent management.

He also lists the main challenges for e-tailers in performance marketing. These include technical implementation – including monitoring, specific technical development, etc. These include technical implementation – including monitoring, specific technical development etc. – design – as not all clients use the services of a creative agency due to the high cost – and understanding the right marketing levers – which involves knowing which channels to invest in to get sales and where to start – as well as knowing how to analyse metrics to know where to invest.

“Kwanko responds to all these issues by providing its clients with a network of 180,000 international affiliates specialised in the distribution of e-commerce campaigns (content sites, comparison sites, aggregators, email marketing, etc.) but also a campaign management platform with all the tools to manage its online campaign (detailed statistics, complete reports, automated payment of affiliates, etc.)”, he explains.

In addition, an account manager ensures the optimisation of results, the implementation of tracking is facilitated by the support of the technical team, and the services of the Creative Studio allow the creation of campaign media (email, banners, landing page, etc.) with a view to performance.

Merger with verticalAds

In May this year, the multinational digital marketing company merged with verticalAds, an affiliate platform company based mainly in the German market. The partnership aims to take the lead in the European market.

“We have an ambitious plan to become the European leader in performance marketing in various sectors, with global expansion. In particular, the development plan foresees an acceleration in the Brazilian market, a market where Kwanko has already been present since 2010 (we have recorded a record growth of 60% in the last two years) and works with important national brands such as SKY, Claro, Grupo Boticário, Porto Seguro, Crunchyroll (Funimation) and MSC Cruises,” says Araújo.

The merger promises to offer customers a powerful network of 180,000 affiliates in Europe and Latin America.

He says verticalAds, founded in 2006, is an affiliate marketing platform that has developed proprietary tools in three verticals: finance, communication (telephony, media, energy) and retail. Kwanko, which is present in 7 countries, offers a geographical, organisational and commercial complementarity to the positioning of verticalAds, which is mainly established on the German market. “We find ourselves in a business project, focused on growth and value creation for our customers.”

Trends in the performance marketing industry

In terms of predictions for the future, Araújo says the performance marketing industry is expected to reach $8.2 billion later this year and makes some bets on the strengths of marketing:

  • Betting on influencer marketing: highlighting micro and nano influencers, who have a higher engagement rate than famous influencers.
  • The importance of personalised content: with the evolution of consumer behaviour, consumers now expect highly personalised content from every brand. Creativity is at the forefront of business models as competition increases and brands need to stand out.
  • Omnichannel strategy: consumers are constantly on the move. Brand across multiple channels to amplify your visibility. This does not mean that your brand has to be active on all channels, but you should be present on relevant levers to make your brand accessible beyond your website (cashbacks, promo code sites, content sites, etc.).

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