LendingTree Affiliate Program

Word is out that the LendingTree affiliate program has been resurrected.

LendingTree Affiliate Program To be Shut Down

LendingTree Affiliate Program participants got the below email today announcing (for most) an end of the CJ Affiate program. Although the email states that the program's cancellation may be temporary it speaks volumes about the current status of the mortgage lead marketplace: Strong consumer demand matched with tepid lender appetite.

Dear Publishers,
Due to the recent Federal Reserve rate reduction
announcements, the mortgage market has dramatically changed and a surge in the
volume of mortgage requests have caused LendingTree to reach its capacity.
As a result of this change, the LendingTree affiliate program will continue to
exist as an “invitation only” program. This means we will be contacting specific
affiliates to remain in the program. Unless you are personally contacted,
your LendingTree account will expire on February 13, 2008.
We hope to welcome you back into the program in the coming months once market conditions improve. Thank you for working diligently to promote the LendingTree brand and I hope you will consider LendingTree again.

Meanwhile, as of today LeadMarketWatch shows LendingTree having one of the worst conversion rates. For certain, at a 5.69% average 30 day application rate, LendingTree network lenders can't be making much money. Blame affiliates? Outpacing LendingTree are short-form affiliate fueled vendors such as LeadPoint, LowerMyBills and Quinstreet. Blame market conditions? LeadMarketWatch data shows only the individual conversion rates on leads sold to lenders, and in a refinance fueled market conversion rates should be shooting upwards, not drifting down. Something is wrong at LendingTree. One can hope that with Lebda back keeping shop, there is a plan behind all of this.

LendingTree Changes Mortgage Lead Prices paid to Affiliates

For a while now, LendingTree has been the best value for any marketer able to generate purchase mortgage lead traffic. As of yesterday, that's changed, with the below email sent out to active Commission Junction affiliates(links disabled) informing them that leads will now be classified into 4 different groups with very different payout rates. Most significantly, there is no explanation of exactly what the business rules are which LendingTree will use to classify leads into one of the 4 groups.

Affiliate Group Pricing Announcement

Action Needed!

The LendingTree affiliate program is introducing new CPA pricing that will allow affiliates to earn higher commissions. To start taking advantage of this new opportunity log into your CJ.com account today and accept the offer in your “pending offers” tab.

* If you do not accept the new terms within 7 days you will be automatically removed from the LendingTree program.* CLICK HERE NOW TO ACCEPT THE OFFER

The new pricing is as follows:

Refinance	Home Equity	Home Equity Purchase
Group 4: $80.00	Group 4: $75.00	Group 4: $70.00
Group 3: $60.00	Group 3: $35.00	Group 3: $35.00
Group 2: $35.00	Group 2: $15.00	Group 2: $5.00
Group 1: $20.00	Group 1: $8.00	Group 1: $1.00

Below is further information regarding the new pricing. If you have additional questions don’t hesitate to email us at affiliates(at)lendingtree.com.

Frequently Asked Questions:

1. Is this pricing available for a limited time or is it permanent?

This is not a promotion. This pricing is now the new default pricing for the LendingTree affiliate program.

2. How are the groups defined? How can I adapt my marketing efforts to the higher groups?

The groups relate to how generally desirable the consumers are to mortgage lenders. The more desirable consumers are more likely to be in group 4. We suggest that you keep informed on the current industry trends and market conditions to be able to understand the various factors of consumer desirability.
Suggested web sites:
http://news.google.com/news?q=mortgage+news

http://www.mortgagebankers.org/NewsandMedia/IndustryNews

Once you have accepted the offer you will see your volume by group and the corresponding CPA. At that time you can determine if you need to make any campaign optimization changes to maximize your earnings.

To track your marketing efforts we suggest using SID tracking. SID is a field available when pulling a link from CJ. Paid search affiliates have found this tool to be extremely useful when determining ROI by keywords. For complete instructions on using SID, click here for details.

3. What if I don’t accept the new pending offer in my CJ account?

If you do not accept the new offer, your LendingTree affiliation will expire on the date shown in your account. When your affiliation expires with LendingTree, your links will continue to work, but you will not receive credit for any sales that result after the expiration date. Remove any LendingTree links from your pages before the expiration date to avoid losing credit for sales sent after your affiliation has expired. This only applies to your LendingTree program affiliation and doesn’t affect other merchant programs in your CJ account.

To avoid interruption to your LendingTree affiliation, accept the new terms before the expiration date.

Thank you for participating in the LendingTree affiliate program. We look forward to continued growth and your earnings success.

Any thoughts? I would be interested to hear from any active LendingTree affiliate about the relative impact of these changes to your overall earnings.