Our Merchants
Last updated
Last updated
OODLZ is looking to build a diversified network of more than 1,500 Merchant Partners, per operating Country, providing Users with access to a range of online and in-store Cashback offers.
Relationships with Merchant Partners are generally in two forms:
• Direct relationships: OODLZ is looking to manage direct relationships with its larger Merchant Partners. Direct relationships allow for a more transparent relationship and a clearer understanding of Merchant Partner objectives and targets. Increased communication allows Merchant Partners to frequently share marketing plans and efficiently optimise campaigns in real time.
• Affiliate relationships: Merchant Partners are often onboarded via Affiliate networks. Many retailers have Affiliate programs in place, which has allowed OODLZ to efficiently integrate with Merchant Partners at scale, where the expense to OODLZ of individually procuring and managing a direct relationship has not been historically feasible given limited funding.
Merchant Partners often work with Affiliate networks as it allows for a streamlined process with account management support. Even when the Merchant Partner is part of an Affiliate relationship, OODLZ may still maintain a relationship with the Merchant Partner and ensure that OODLZ and the Merchant Partner are able to drive mutually optimal outcomes.
OODLZ is of the view that the proportion of revenue contributed from Affiliate relationships will decline in the future as OODLZ invests in its sales force which, over time, will mean that it is less reliant on Affiliates to deliver relationships with new high-value Merchant Partners. However, the number of Merchant Partners with which OODLZ holds Affiliate relationships may increase relative to direct relationships as OODLZ continues to scale in the most cost-effective manner, particularly with smaller potential Merchant Partners.
In addition to delivering sales and strategic outcomes through the means described above, under the OODLZ business model, Merchant Partners do not bear the risk and uncertainty of return on advertising spend associated with traditional marketing approaches.
As OODLZ’ Commissions are completely performance-based, Merchant Partners only incur a cost once a sale is delivered via the OODLZ’ channel, ensuring zero wastage and greater efficiency of marketing investment.
The image below illustrates that as an example, Australian e-commerce companies generate $0.70 of sales for every $1.00 of online media spend. In comparison, OODLZ’ Merchant Partners have the potential to generate more than $15 of sales per $1.00 of spend (assuming OODLZ’ average Commission rate of 5.4%). It should be noted that these results are not necessarily representative of those achieved for all Merchant Partners, but are consistent with OODLZ’ view that OODLZ’ performance-based proposition can deliver attractive returns on advertising, in both absolute terms and relative to alternative channels.
E-commerce merchants retrun on every $1 of ad-spend by channel
OOLDZ is at the starting blocks of growing our Merchant Partner network. Our aim is to on-board 100 new Merchant Partners per week for the next 12 months until a base line of approximately 1500 - 2000 Merchant Partners per operating Country is secured.
There are no ongoing costs associated with remaining on the OODLZ platform. Merchant Partners may transition between an always on offer, actively increased offers or having no current offers via the Affiliate Network they work with.
