Paying Me Less is Benefiting Me?

by TimS 15 replies
I just received this email from one of the affiliate programs that I participate in... not sure how this works.

This is a notice to inform you that the commission payout to all publishers in the xxxxxxx Affiliate program will be lowered by $10.00 per sale.

xxxxxxx is choosing to lower the payout rate so that they can stay competitive within the affiliate channel. We apologize for any inconvenience this might cause; however, we hope these changes will help with your overall conversion rate.
How is lowering my commission going to help with my conversions?

Hmmmm
#main internet marketing discussion forum #benefit #lowering #payout
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  • Profile picture of the author Frank Bruno
    Are they keeping the price the same? Or did they adjust the price according to the payout?

    Anyways, if they lowered the price , the ideology behind it is that it's easier to sell a lower end product or service than it is a more expensive one.

    Now, there is a lot of variables to this of course.

    However if there is no price adjustment I don't see how that's going to benefit you versus your current payout.

    Frank Bruno
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    • Profile picture of the author mmurtha
      Yeah I agree with Frank Tim.

      It makes sense if they lower the price of the product. You will most likely get a better converssion. Who knows, you may make more this way in the end.

      I'd double check the price to make sue though.

      If they didn't lower it, I'd think about running a different affiliate product.

      Btw, I like the subject line.


      Mary
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  • Profile picture of the author Chris Lockwood
    I agree- if the price was lowered, it might make sense. But if so, they should have said that in their email to explain it better.

    At least they notified you. They could have cut the commission without doing that.
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    • Profile picture of the author Frank Bruno
      You changed your title on this thread, I don't think the vulgerness is necessary to get attention to this thread.

      That's just my take on it...

      Frank Bruno
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      • Profile picture of the author mmurtha
        Tim,

        It is funny they would do something like that, but at the same time, I'd be willing to bet many other product owners will try to do something similar to make up their loss in profit magins because of the economy if it's US based.

        Yeah, I don't blame you for moving.

        Good luck with it.


        Hey Frank,

        Did he have a different subject line?

        Just curious because I didn't notice.

        Either way, it shouldn't make a difference. Maybe it was for testing purposes or something.


        Mary
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        • Profile picture of the author Frank Bruno
          Originally Posted by mmurtha View Post

          Tim,

          It is funny they would do something like that, but at the same time, I'd be willing to bet many other product owners will try to do something similar to make up their loss in profit magins because of the economy if it's US based.

          Yeah, I don't blame you for moving.

          Good luck with it.


          Hey Frank,

          Did he have a different subject line?

          Just curious because I didn't notice.

          Either way, it shouldn't make a difference. Maybe it was for testing purposes or something.


          Mary

          At first the thread title was fine, then he changed it to where I would consider to be vulgar, now he has changed and fixed it.

          (Something about "pee down my back")

          Frank Bruno
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          • Profile picture of the author mmurtha
            Originally Posted by Frank Bruno View Post

            At first the thread title was fine, then he changed it to where I would consider to be vulgar, now he has changed and fixed it.

            (Something about "pee down my back")

            Frank Bruno
            Lol Frank,

            Now I'm with ya!

            I missed the switch entirely.

            Tim,

            I wouldn't worry about it too much. Just adjust for furure posts.

            He, can you let us know what they say if you write to the? I'd be interested on knowing their thinking behind that move.

            Good suggestion Chris.


            Mary
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  • Profile picture of the author TimS
    It doesn't appear that they lowered the price of the product. It's a discount on the first month and then into a regular monthly payment. It's available on other affiliate networks so I'll be moving. I just thought it was funny that they were telling me that paying me less would benefit me in some way.
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  • Profile picture of the author TimS
    I wasn't attempting to be vulgar, it was a quote from the outlaw Josey Wales that I actually toned down to be more family friendly. I'll change it back, I didn't meant to offend you.
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  • Profile picture of the author Tim Franklin
    Funny, that was the only reason I read this thread,

    I thought it had that "Do you feel Lucky" tint to it,

    Remember that old hound dog, that growled at him,,,)
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    • Profile picture of the author Ricter
      Originally Posted by Tim Franklin View Post

      Funny, that was the only reason I read this thread,

      I thought it had that "Do you feel Lucky" tint to it,

      Remember that old hound dog, that growled at him,,,)
      Same here.
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  • Profile picture of the author TimS
    Originally Posted by mmurtha View Post

    Did he have a different subject line?
    Yes, I changed the subject line about 2 seconds after I made the initial post. It was just an attempt at being clever, I certainly didn't mean to offend anyone with it. Personally, I thought it was somewhat amusing and it was a quote from one of my favorite movies, but I could see where some would find it offensive so I changed it again.
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  • Profile picture of the author Chris Lockwood
    I would write them and ask what your commission rate has to do with their conversion rate, since the correct answer to that is "none".

    Or in other words, ask them what you asked us here, and see what kind of BS answer you get, if any.

    Then you could write them and say something like "In order to increase your sales, I've started sending my traffic to your competitor." That would be just as logical as their statement.
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  • Profile picture of the author TimS
    It did seem to be an attention grabber...
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  • Profile picture of the author TimS
    I'll send them an email, they are a fortune 500 company so I don't really expect a response.

    My ex-wife is a manager at one of their stores, I wonder if that gives me any kind of an edge...
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