Stinky Commission Rates
Reviewing some January numbers with a merchant today.
Sales: $1,560
Total Amount Sales: 15
Clicks: 1,397
My Earnings/Commission: $80 and change
Funny story: I received a note from the affiliate manager asking if I tried ppc to get more sales.
Well. Tell me. Where’s the incentive? Because I don’t see it.
PPC Scenario: I pay for ppc. Google makes money, the merchant makes money, and I break even (best case scenario). Now. Where do I sign up? 
Empress:
January 31st, 2006 at 3:37 pm
I’ve got the same beef… The numbers aren’t as huge - but I’ve made $350 for my affiliate program and I’ve been paid $25. It is hard to think that its fair - but I picked a “reputable” affiliate program and their payout is the craps. *sigh*. I know I should really be looking at affiliate programs that pay at least 10%-20% of sales - then it seems a bit more worth it.
chrissie:
January 31st, 2006 at 5:54 pm
I have the same situation here and it really stinks. Last month my figures were sales - $877.97 my commission - $70.24 It could be worse but it could also be much better. I know I have to do some researching and changing but it’s always a headache lol.
James Omdahl:
February 1st, 2006 at 12:17 pm
A question for you all - what type of affiliate programs are these? Are they retail product sales? Making 8% of sales seems like a pretty raw deal.
Thanks!
Terry:
February 1st, 2006 at 2:54 pm
Yes James it’s retail products I’m talking about. It’s not just the commission rates that come into play though. Is the company a good, recognizable brand? Good conversion rates? Basically easy to sell? If I’ve got some space to fill - I’ll try them. Five % commission is the lowest I’ll even think about. Heck I’ve seen some rates as low as 3%!!!
It’s no use filling pages with items that have a better commission and don’t sell as well (say poor merchant conversions or big toll free phone numbers plastered all over). But good grief I aint paying for ppc when the money aint there :lol:.
So yeah some merchants can get away with lower commission rates. But they’re not going to find affiliates shelling out for a big ppc blitz.
Terry:
February 1st, 2006 at 4:41 pm
James Omdahl:
February 1st, 2006 at 5:08 pm
Alright, I am not going to try to sell you here, but have you ever though of lead generation in the finance vertical? I think it might be much easier if you have PPC and SEO talent, and advertisers pay from 25% to 45% of revenues. Also, the consumer just has to give info, not money. It could be a more fulfilling route for you. Just a thought…