The Importance of Relationships and Innovation in Performance Marketing

In the Affiliate Summit West 2025 panel discussion The Future of Native and Programmatic: Trends, Tech, and Transformation, industry leaders Joe Addona from Teads, Joe Higgins from Domain Active, Josh Mound from Quotevelocity, and Eric Schecter from GiddyUp shared valuable insights into the ever-evolving world of performance marketing, discussing the significance of relationships, traffic sources, creative strategies, and the role of AI in shaping the future of the industry.

Building Sustainable Partnerships

Joe Addona began the discussion by emphasizing the importance of strong relationships in this industry in driving sustainable scale. “If you are for example a typical affiliate marketer and you have a good relationship with your traffic source and you have a good relationship with the brand/offer owner — it makes everything ten times better,” he shared. 

Joe Higgins agreed, adding that in his vertical, search arbitrage, the real challenge lies in having a tangible relationship with the advertisers on the other side. He explained that many in the search space can get “spammy” with their ads, leading to non-compliance. The key to long-term success, according to Higgins, is shifting the mindset from a “smash and grab” mentality to a focus on adding value. “If you’re trying to add value into our ecosystem you are helping keep this world going” he said. Higgins stressed the need for constant communication with partners, transparency, and a clear focus on what one is trying to accomplish.

Josh reinforced this sentiment, highlighting that without providing value, short-term success would be fleeting. “You’re not really going to build a proper business without it,” he said.

Search Arbitrage and Quality Traffic

The conversation shifted toward search arbitrage, where Higgins explained the basic mechanics of the practice. He noted that search arbitrage involves multiple players – buying traffic from different traffic sources and driving it to search feeds to then drive that traffic to a list of end advertisers. However, the lack of a direct relationship with these advertisers often leads to issues with quality and compliance. “It’s about having the right intentions,” Higgins said. “If it’s a smash and grab job, you’re not adding value; but if you think about what you’re doing in a more holistic way, it changes everything.”

Eric added that while you can achieve quick success through deceitful methods, it will last very short. On the other side, building a sustainable business requires a focus on the backend metrics. Ensuring that the end advertisers in search arbitrage or brands in ecommerce are profitable and that customers are having a good experience is essential for long-term success. “You can crush it out of the gate, but it’s going to fizzle out quickly if you’re not focusing on those backend metrics.”

Navigating the Creative Landscape

The discussion also covered the challenges of creative strategies in performance marketing. Addona reflected on how, in the past, the industry was often plagued by “rip and run” tactics — where competitors would copy successful funnels and landing pages. While this was once a viable approach, he noted that in 2025, the most successful marketers are those who innovate and lead the market with their own creative ideas.

Josh elaborated on this by drawing a parallel to the sports world, comparing the competitive nature of performance marketing to the rivalry between Messi and Ronaldo. “If you’re always copying, you’re running in the shadows,” Josh said. “But if you’re the first to innovate, you’re setting the pace for everyone else.” He emphasized the importance of researching what works, but then improving upon it and making it your own.

Eric agreed, stressing that while the desire to quickly replicate others’ success is tempting, it rarely leads to long-term growth. He argued that the most successful campaigns often come from affiliates who are testing different creative angles and refining their approach over time. “It’s a decentralized approach where you’re in fact paying for results, not for testing,” Eric said. “And that creates a system where the best wins.”

The Power of AI and Automation in Scaling Campaigns

The panel also discussed the role of AI and automation in scaling campaigns. With new technologies available, testing has become faster and more efficient. “The ability to test at speed is what excites me about 2025,” Josh said. He compared the process of testing campaigns to running, where success is built incrementally by putting in the “reps.” With AI, testing can now be done at a rapid pace, allowing marketers to find winning formulas much quicker.

Eric echoed this sentiment, noting that AI tools have drastically improved the process of creating and testing creatives. “A year ago, we would have to spend tens of thousands of dollars on assets and hope they worked,” he said. “Now, we can create high-quality video and image assets on the fly and test them at scale.” He mentioned tools like Maker.ai and Pollo.ai, which help generate realistic images and videos, significantly reducing the time and cost of creative production.

In addition to improving creative production, AI also helps in optimizing the entire funnel—from ads to landing pages, follow-up emails, and more. Eric pointed out that AI’s ability to test various combinations of these elements has made the entire process more efficient, leading to quicker identification of winning formulas and sustained profitable scale.

The Importance of Being the First to Innovate

Addona agreed with the emphasis on first-mover advantage. He shared that in the world of native advertising, once a few major players dominate an offer at scale, it’s hard for others to compete. “You get to a saturation point, and that’s when the market is dead in the water,” he explained. The key, as he pointed out, is to be the first to innovate with a unique angle, creative, or funnel that hasn’t been done before. “I often get asked for a list of top affiliate landing pages. I always need to explain it’s not going to work well if you just copy what others are doing,” he said, encouraging marketers to find their own path and stand out from the competition.

Higgins also emphasized that being the first to innovate is what separates the successful marketers from the ones stuck copying others. “If you’re just a copycat, you’re never building your talent,” he said. “The real success comes when you’re the one being copied.”

The Future of Performance Marketing

As the conversation neared its end, Addona asked the panel to share their thoughts on what they are most excited about in the coming years. Josh highlighted the growing role of AI in testing and scaling campaigns, while Eric shared his excitement for the future of creative testing and optimization. “We’re in a really exciting time,” he said, noting that AI is helping marketers scale more efficiently than ever before.

Higgins added that while he was looking forward to the advancements in AI, he also had to focus on the compliance and quality challenges that come with search traffic. “Over the next six to 12 months, we have to get better at addressing compliance and quality issues,” he shared.

As the discussion wrapped up, Addona encouraged the audience to keep pushing forward, innovate, and leverage the tools at their disposal to stay ahead in the competitive world of performance marketing.