How to Structure an Affiliate Program with a SaaS Model

2 replies
We are looking at starting an affiliate program for our company and are looking at ways to structure this.

Because we are a SaaS model company we rely on recurring revenue to build over time where as most affiliate programs pay out in one sum and not over time.

I would be interested to know if anyone has payed out all of the first month, half the first month, or some for every recurring month the client stays on.

Any advice/thoughts are welcome!

Regards,
Kyle
WaterMyBlog
#affiliate #model #program #saas #structure
  • Profile picture of the author Andy Fletcher
    Plenty of recurring payment programs come with an affiliate program that pays out every month the lead stays a member. There are also plenty that pay out a large upfront lumpsum and then nothing after that.

    For a great example of the large upfront sum, check out Hostgator who pay $50 and up for each new account, even with low month fees in the region of < $10.

    For a great example of recurring payment, check out Aweber, who pay 30% (I think) every month the member stays active.

    Both are very successful models.

    Cheers,

    Andy
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  • Profile picture of the author kfugere
    Thanks Andy,

    I will certainly check those out. I suppose it is easiest to start with the lump sum and move into the recurring method for the rockstars.

    Kyle
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