Charging on a commission basis - anyone do this?

Hi Sam

I haven't done this, simply because I didn't have an effective way of tracking the leads, but I would imagine that most business owners would be open to working on a set commission rate if it means they generate more business and don't have to pay up front for SEO services.

One thing i did do was promote similar services to mine, on my own website.

I offer web design and seo services to local businesses, and a client of mine worked in print graphics, shop signage, neon signs etc, so by putting up a few pages promoting his services I was also to manage the incoming calls and leads and claim my commission

Keith

Apollo-Articles,
While a bold model, it becomes seriously flawed the next time Google has another Panda update. I'm over-simplifying, of course, but you're putting in the work and you should be compensated for your time. You are basically at their mercy to report the proper ROI for your SEO efforts. Many folks are going to see the website and pick up a phone to call. How to track them accurately?

Thanks for excellent replies, it seems it is a model that can work it just depends whether your risk adverse enough to try it and willing to focus on long term profits rather than short term up front payments.

Thanks Warriors,

Sam

I do this for select clients for offline customers. I know your question was for web sales, but I thought maybe some of my offline experience may also aply to what you are trying to do. For services, there is a high level of trust required since you are being paid based on an offline action in most cases (e.g. a sale was closed).
Here are some tips:
1) get long contracts so that you have time to do the seo and gain the traction of the leads coming in
2) figure out a tracking system with your client so that you know the status of your leads. This can be as simple as a shared spreadsheet to a crm account
3) for all off site lead generation activities use tracking phone numbers.
4) if changing the number on their site to a trackable number is not possible, try to figure out a happy medium you are comfortable with. For example get them in a habit of asking on each call how they found them so that you can get credit,not an ideal situation and really would not recommend this strategy.
5) there are laws where you can't be paid a commission for some industries without a license so make sure to check in your state/city etc.
6) focus on a lot of off site lead sources, easy to track
7) make sure you get paid on all leads that are in the pipeline even if the contract ends for new leads

These are a few that come to mind right off the bat. I can't reiterate the high level of trust needed for this type of arrangement so do your due diligence before taking on a client in this way if you are going to be paid in ways beyond just getting paid for length of a call, by number of appointments or email leads sent, especially if you can't track it all.

Thanks for the replies.

Does anyone know of a UK version of Kall8 which I can use to track phone calls?

Thanks,

Sam

SEO for a clients site is also building that clients "brand", I wouldn't do it for free on the hopes that the web traffic is converted.

If I was to work out a lead generation model, I would do it with my own properties, so if the client said "pound sand we are done", you can just go to his competitor.

I am in the middle of talks with a potential client right now and we are having this same exact conversation. He is not keen on paying for ranking his site, as much as he is more interested in leads for his business. Well, I am not keen on ranking a site for free.. when I sell SEO, I am also selling the point that it is branding their business, not just "building back links".

Ryan