Would you sign up as an affiliate and promote this?

by spicer
14 replies
I am gearing up to launch a new website and wanting to design an affiliate program to promote the site and want to provide an ideal affiliate program structure that would attract affiliates so that everyone wins.

If the program was launching a new site with no current sales history, but offered
20% lifetime commission for any direct referrals level
10% lifetime commission for any level 2 referrals
5% lifetime commission for any level 1 referrals

Sales range from a minimum of $75 with no real cap with the average customer spend expected to be several thousand per year.

Would this be a decent enough program?
Would I need to register with one of the larger affiliate networks in order to get affiliates or would we be able to run our own program?
What would it take to attract some of the larger well know affiliates?

Any input is greatly appreciated,

Thanks,

Jeff
#affiliate #promote #sign
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    • Profile picture of the author spicer
      Right I understand that there are affiliate networks we can set up our program under. My questions is would this be of interest to affiliates, would it provide enough to encourage them to sign up and promote the offer. Is the multi trier a turn off or would it be a plus? The goal is to establish a program that attracts affiliates given that we expect very high average sales volume as most customers should spend several thousands of dollars at a time with high repeat sales volume we are hoping that the lifetime commission and three tiers would entice affiliates to join, but thought we would ask the community here to get some feedback.
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      • Profile picture of the author Jarrod
        Originally Posted by spicer View Post

        The goal is to establish a program that attracts affiliates given that we expect very high average sales volume ...
        Right here is why I personally would not promote it as an affiliate.

        That is your goal. That is your hope. That is your expectation.

        If you want affiliates to promote it, put your expectations to the test and show them the results. Whether or not your expectations prove true will answer your question. If the offer converts, of course you can find some affiliates to help you promote it. If not, why would they waste their time and list on it?
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        • Profile picture of the author spicer
          I understand that the majority of affiliates want a slam dunk already tested easy no work offer to email to their list and that we will need to perform our own marketing to prove it converts and is viable. If the only requirement is that the offer converts regardless of the setup then I guess I have my answer. However, my questions is if the offer converts but the payout and setup in fact does matter would this be a decent setup or would the multi level aspect drive affiliates away, is a 20% commission on an average $2,000-5,000 sale acceptable? What is the ROI that affiliates are looking to achieve?
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          • Profile picture of the author Jarrod
            Originally Posted by spicer View Post

            is a 20% commission on an average $2,000-5,000 sale acceptable?
            50% is more the industry standard, TBH.
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            • Profile picture of the author Corina Wise
              There are so many factors to consider when attracting affiliates. I would love to know which niche you are targeting as affiliates in each niche have different expectations.

              Originally Posted by Jarrod View Post

              50% is more the industry standard, TBH.
              I agree with Jarrod that 50% is the industry standard.
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              • Profile picture of the author spicer
                That is great information. My patterns will be happy as it sounds like we will likely not be a good fit for affiliate marketing. They would rather spend the $50,000 to $70,000 a month in advertising and keep 100% of the profits. Where I would rather spend $15,000 a month on advertising but then split the profits with affiliates by paying out up 35%. I image we can still do a customer referral program, but just not target affiliates specifically, but 50% is going to be too high as this is not an information product and has major cost of goods involved. Thank you for the feedback and information.
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  • Profile picture of the author agmccall
    All this thread talks about is commission. OH Happy Days.....

    Who cares what the commission is, if your selling dog sh1t then you could give me 200% commission and I still would not promote it.

    What is the product???????????????????????????

    al
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  • Profile picture of the author aire
    I wouldn't waste a single second of my life promoting someone else's product!
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  • Profile picture of the author dejoliet31
    I would pass on the program. I would want to see how well the product addresses the specific problem it is targeted to impact, your sales page, whether or not you list build, and a host of other points. In addition, I would want to check out your general reputation online.

    At this point my investment would be too great to make it a positive on your affiliate proposal.
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  • Profile picture of the author elusian
    Hi

    Most affiliates are looking for at least a 50% commission, especially if it is a digital product. If it is a physical product you can get away with less.

    It also depends on the size of the affiliates list. If you are going for the heavy hitters they will definitely expect a higher commission.

    Sincerely,
    Caterina
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  • Profile picture of the author Alexa Smith
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    Originally Posted by spicer View Post

    Would you sign up as an affiliate and promote this?
    Nope.

    Not only because I don't even know what it is, as Al wisely mentioned above, but because you're planning to do your own affiliate scheme, by the sound of it? Absolutely no impoliteness intended, but almost no serious, pro-affiliate will even be willing to look at that. I mean it literally: they won't be aware of your existence, or the details of your scheme, because they won't be willing even to look.

    Why would we want to take the risk of being dependent on an unknown vendor for our payments, and income, when there are over 15,000 products with guaranteed, reliable, proven payment-history, and up to 75% commissions, available on ClickBank alone? That wouldn't make much sense, for us, would it?

    Originally Posted by spicer View Post

    I am gearing up to launch a new website and wanting to design an affiliate program to promote the site and want to provide an ideal affiliate program structure that would attract affiliates
    You'll maybe have no great difficulty attracting the 95% of affiliates who sell almost nothing. But why would the 5% of affiliates who make over 95% of the sales be willing to look? Sorry if I sound "harsh" (not my intention at all!) but I think your idea is so fundamentally flawed that a reality check may be helpful to you.

    Originally Posted by spicer View Post

    everyone wins.
    Nope. Because the best affiliates (the small group who bring nearly all the future sales and nearly all the money) just aren't interested in a home-made affiliate program unless they already know the vendor very well and hold him in very high regard.

    Originally Posted by spicer View Post

    If the program was launching a new site with no current sales history, but offered
    20% lifetime commission for any direct referrals level
    10% lifetime commission for any level 2 referrals
    5% lifetime commission for any level 1 referrals
    Also, whatever you do, don't try to use PayPal to pay anyone, if adopting that structure (or at the very least, not without clearing it with them in great detail, and in writing, beforehand). They have very strong (and rather unorthodox) views about anything they think might be labelled "network marketing" of any kind, and can be very quick indeed to close down the accounts of participants, if they don't like the look of what's going on.

    Originally Posted by spicer View Post

    Would I need to register with one of the larger affiliate networks in order to get affiliates
    In order to get (m)any professional, successful affiliates; yes.

    Be aware that there's a huge difference in monetary outcome between "trying to get as many affiliates as possible" and "trying to get as many sales as possible" because the mathematical relationship between sales numbers and affiliate numbers is characteristically a non-linear one.


    .
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  • Profile picture of the author James1212
    I think you should go for it and adjust as you go, sloppy success is better than no success.
    It will sell, sounds like you put some time into it.
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  • Profile picture of the author dcbako
    Still no word on the products? What niche? The commission percentage doesn't matter until we know "what" we would be promoting. Ebooks can pay much higher commission that a product with manufacturing costs.
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