Questions about partnership and profit splitting

7 replies
Hello everyone,

If you promote someone else's product on your website/blog/newsletters:

1) How do you decide the profit split ratio?

2) How do you know when your partner makes a sale through you?

3) How will you get your commission (channel, time frame, etc) - and how will you ensure this?

I already did some research but couldn't really find the answers I was looking for. An agreement is probably the best way to go, but I'm still not sure about the best practical approach. Thank you very much for any tips and insights.
#partnership #profit #questions #splitting
  • Profile picture of the author Jason Kanigan
    You sign up as an affiliate through an affiliate platform (like W+, or JVZoo) that your partner is registered with.

    Commissions are as agreed through that system. Sometimes, if the program provider knows and trusts you, the payouts are instant. If they don't, then there may be a delay...often 30 days to protect against scammers and unwarranted chargebacks.
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  • Profile picture of the author michealkolince01
    The JVZOO is one of the top level affiliate marketing site. One can make an account easily here. The site will count how many time the products sold by your referral. Thanks
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  • Profile picture of the author shakeer619
    The commissions are basically set by the sellers. and the money and all the other stuff is handle by the Affiliate marketing site.
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  • Profile picture of the author Rosa Bosma
    Thanks everyone!

    I was referring to a situation where the partner has a one-man business and is completely new to this way of marketing; not someone who is part of an affiliate program. S/he still has to decide everything, and I wasn't sure how much input I should have.
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    • Profile picture of the author AffiliateWaves
      Originally Posted by Rosa Bosma View Post

      Thanks everyone!

      I was referring to a situation where the partner has a one-man business and is completely new to this way of marketing; not someone who is part of an affiliate program. S/he still has to decide everything, and I wasn't sure how much input I should have.
      Ok i got it ,A has a product and B is promoting it via web properties .A has to decide all things and B rely on A's decision .In this case if you are looking for profit splitting ,you can use Google analytic ,they will show you which web property is bringing you traffic and you can show results to A .

      You must put your best as promotion is vital part of business and i am sure you will get good share
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  • Profile picture of the author morg2k2
    I think the best should be joining an affiliate network like JVZOO or Clicbank since they are very mature in their market. Then you also need to give a proof to your affiliates that you provide high quality content or else the top affiliates will not jump in your offer.
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  • Profile picture of the author dlane1987
    I split with JVZoo and Clickbank. Split should be agreed early on. If you think you bring more value than your partner then you should get more of a share and vise versa.
    It would be worth considering how much you intend to pay affiliates, JV Brokers and Payment Gateways, JV Brokers take about 10- 20 % Clickbank take 7.5 plus $1 so make sure you don't price yourself out of a profit.
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