Probable Affiliate Program Launch

Discussion in 'Affiliate Programs' started by theprimehost, Jul 10, 2006.

  1. #1
    Hello All,
    We're about to launch an affiliate program (most likely with Idevaffiliate). Given our low costs and high conversion ratio I'm thinking this will push that percentage even higher.

    Given our low costs I'm considering doing a flat $10 per sale. What are your thoughts and feedback?

    I know some hosts offer up to $100 per sale, but we're profitable and we'd like to keep it that way. Some of the "big guys" bleed red ink every month and to me I'd feel safer knowing I was hosted at a profitable firm.

    Best Regards,
    Darrell
     
    theprimehost, Jul 10, 2006 IP
  2. kevin7654

    kevin7654 Peon

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    #2
    Take this with a grain of salt, because I'm a complete novice, but to me I think offering something reasonable like $10 a month makes you look less sketchy than those companies offering insane amounts
     
    kevin7654, Jul 12, 2006 IP
  3. Shoemoney

    Shoemoney $

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    #3
    From the hosting companies I have done affiliates with it takes them on average 8-10 months to break even on a 100$ rip.

    But each new customer to them is worth 250$ so the money is definatly there.
     
    Shoemoney, Jul 12, 2006 IP
  4. herbalclicks

    herbalclicks Active Member

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    #4
    Ya, you are in a hard market, the big guys are gonna suck up all the affiliate sales becuase they are paying so much to draw the traffic. I woud put my efforts more into other marking until you can pay to compete.

    Paying $100 to make $250 is a great investment over two years but you MUST have the money to fuel it. Maybe an investor???
     
    herbalclicks, Jul 12, 2006 IP
  5. Rob_TID

    Rob_TID Guest

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    #5
    Being in such a competitive area it's tough.

    Can your afiliates realistically drive you a paying customer at less than $10 expense to themselves?
     
    Rob_TID, Jul 12, 2006 IP
  6. ares82

    ares82 Peon

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    #6
    The great thing about hosting is you get paid monthly, as does the affiliate. So if the affiliate spends $10 to get you a customer, he breaks even on the first month and every month after that they are making a profit.

    Thats why I love residual income affiliate programs.
     
    ares82, Jul 12, 2006 IP
  7. theprimehost

    theprimehost Active Member

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    #7
    We've launched our affiliate program...Currently it is flat fee based but I may end up going for a residual percentage based on our low prices.
     
    theprimehost, Jul 20, 2006 IP
  8. theprimehost

    theprimehost Active Member

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    #8
    Check my sig or do a "who is" look up on our domain and you'll see that we've been around since 2001 and are by no means "new" to the game of web hosting. ...Only new the game of affiliate marketing. While we can afford to offer $50 per signup I dont see that as guaranteed profitable as say a $10 flat fee.
     
    theprimehost, Jul 20, 2006 IP
  9. theprimehost

    theprimehost Active Member

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    #9
    Oh...I forgot to mention that unlike many hosting affiliate programs ours is offers two tiers. For some reason you dont see that very often with Web Hosting Affiliate plans...
     
    theprimehost, Jul 20, 2006 IP