Our JRPass affiliate marketing case study is a prime example of how companies can stay level-headed and strategic amidst major drawbacks such as price hikes.
Our collaboration with the company has proven that a decline in sales doesn’t have to be permanent and long-term. With the right channels and affiliates, you can be on top of your game again without sacrificing quality service.
Let’s examine how this leading Japanese railway company thrived and continued to lead the industry despite facing revenue issues as a result of pricing changes.
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JRPass at a Glance
The JR Pass (Japan Rail Pass) is a travel pass for foreign tourists visiting Japan. It gives you unlimited access to train networks operated by the JR Group, allowing flexibility when traveling across regions.
It has various duration validity options, including a 7, 14, or 21-day pass. Its main selling points are the cost-saving opportunities and convenience of purchasing just one pass instead of buying separate ones when jumping from one region to another.
JRPass’s Affiliate Marketing Success
The JR Pass’s popularity among tourists is one of the primary reasons why the company’s affiliate program is attractive to affiliates. It also stands out for the following perks:
- Among the top-paying travel affiliate programs
- Access to real-time conversions and analytics through the affiliate platform
- Fast payments via Transferwise
Japan’s global popularity for tourism also adds to the appeal as you get the opportunity to tap into the international market.
2023’s Price Hike and Impact on Affiliate Sales
Around July 2023, the JR Group announced an average sale price hike of their passes by up to 69% for their 7 and 14-day passes and 65% for the 21-day pass. This came as a huge blow to affiliates, as higher prices were likely to discourage purchases, which meant lower commission income.
- JR Pass: From 2% down to 1%
- Regional Pass: From 5% down to 3%
These changes resulted in a decline in affiliate sales and program engagement.
4 Key Strategies for Strengthening the JRPass Affiliate Program
After examining the data and meeting with our team, we identified these strategies to address the issue.
1. Transparent Communication
When the price hike was announced on July 26, 2023, we recognized the need to communicate the change to the affiliates. This came alongside the adjustments to their commissions.
While there was no hiding from the negative impact of both changes, we also made sure any active affiliate partner knew these key factors:
- An 80% rise in Japan tourism was forecast by 2024.
- The JR Pass remains the most popular rail pass for foreign travelers.
- It is still the most cost-effective pass for long-distance travels.
By emphasizing these facts, we showed our confidence in JRPass’s ability to pull buyers amidst the drawbacks in price.
2. Regional Pass Promotion
Knowing the changes in commission, we shifted our focus to promoting regional passes as a more appealing alternative.
Aside from the higher income potential, regional passes can be easier to promote or sell because of their variety. We emphasized promoting the following as part of an affiliate marketer’s content marketing strategy:
- Regional passes that cover one area (ex: Hokkaido Rail Pass)
- Regional passes that only cover a part of a region (ex: JR Kansai Pass)
- Regional passes that are valid in linked areas (ex: JR Osaka-Tokyo Hokuriku Arch Pass)
Focusing on the JR Pass’s travel convenience by region allows for more diverse content across social media audiences planning to visit different places.
3. Relationship Building
Our team at Vivian Agency believes in the value of collaboration, and we ensured that JRPass affiliates became a part of the company’s success strategy.
We encouraged content-sharing, guest posting, and cross-promotion opportunities to help widen our partners’ reach.
4. Gathering Feedback
We implemented regular check-ins with affiliates to get feedback, address issues, and identify opportunities for improvement. This became an efficient method for evaluating common strengths we could build on to encourage more conversions.
Our Measures of Success
To evaluate the efficiency of our strategies, we started focusing on these key performance indicators:
- Affiliate Sign-Up Rate: We track the rate at which new affiliates join the program to assess the attractiveness of JRPass services.
- Affiliate Sales Growth: Monitoring affiliate-driven sales to help assess the success of our support strategies.
- Number of Active Affiliates: We consider the number of affiliates actively promoting the JRPass service, reflecting the program’s long-term viability.
- Conversion Rates: Monitoring how much affiliate-driven organic traffic turns into sales, showcasing the quality of affiliate partners’ audience and our marketing tactics.
Key Results From These Strategies: Success of the JRPass Affiliate Marketing Journey
Implementing strategic affiliate marketing approaches brought positive results for JRPass amidst the initial drawback.
These outcomes highlight the effectiveness of the strategies in driving recovery and sustained growth:
Sales Recovery
Following a period of sales decline and uncertainty, JRPass saw a rebound in sales thanks to a combination of high-quality service, excellent customer support, and its affiliate program.
Affiliates were pivotal in reaching a global audience and driving demand, especially with the price increase. Our strategic collaboration ensured travelers were well-informed about the JR Pass’s value, restoring confidence and boosting purchases.
Continuous Growth
The affiliate strategies not only facilitated recovery but also set the stage for ongoing growth. The streamlined communication and regular updates on promotions and changes kept affiliates engaged and motivated to maintain high performance.
Affiliate Trust and Engagement
Transparent communication and strong support systems fostered trust and loyalty among affiliates. JRPass established itself as a reliable partner by providing timely updates, clear guidelines, and competitive commission structures.
This commitment to affiliate success enhanced engagement, ensuring that affiliates remained active and enthusiastic about promoting the service.
JRPAss Affiliate Marketing Case Study: Lessons Learned & Key Takeaways
The JR Pass’s price hike had its cons, but with effective collaboration between affiliates, the content team, and the company, it thrived and has continued to be a solid brand of reference for foreign travelers.
Here are the key lessons and takeaways from this affiliate marketing case study you can apply to your business:
1. Adaptability is crucial to recovery
A well-coordinated affiliate strategy can drive sales recovery even with a higher price point. Adapting quickly to marketing conditions and leveraging affiliates to communicate value effectively can help gain customer trust and demand.
2. Nurturing affiliate relationships is essential for long-term collaboration
Building strong, transparent relationships with affiliates fosters trust. JRPass’s commitment to clear communication established a great environment for an engaged affiliate network that actively puts out valuable content to promote the product.
3. Make a list of the best-selling points of your affiliate product
Having alternative perks apart from your brand’s main feature helps craft more content your marketing team and affiliates can promote in case of a setback.
Wrapping Up
JRPass’s affiliate marketing success proves the power of strategic partnerships in navigating through challenges and driving growth.
Whether you’re a startup or an established business, you can draw inspiration from this affiliate marketing case study and take a thing or two from JRPass’s journey in building a resilient and thriving affiliate program.
Looking for more success stories? Check out some of our partner brands that succeeded in affiliate marketing.
Alternatively, write to us or book a call and let our experts here at Vivian help you build your program!
