Hi, I am just starting up an affiliate program, so am interested to see if you guys think these are reasonable figures. The last time I started an affiliate program was when CJ was free to join, so I am a bit out of touch . Sales at the low end are between $1.50 and $3, but there will be multiple sales over the lifetime of the customer. So we intend to offer the following: $0.25 per signup, i.e. creation and activation of an account on the site (i am not sure I want to do this yet). 15% of revenue from each referred customer for the lifetime of the customer. Also I am wondering if it is worthwhile setting up 2nd tier payouts? We have this setup now at shareasale, but I want to make sure that the offer looks attractive to affiliates before I take it live. The site is at http://tinyurl.com/37rdga in case that helps. Thanks in advance for all and any advice. Robh EDIT: Sorry I should have added before that conversion rates from visit to sign up are around 10%.
I think 15% is low. I mean, you get the customers just because of me. 50% of the profit would be ok. The more you pay the more positive attitude you will get from the affiliates. I they feel that you are fair they will stay.
That is 15% of revenue, expenses run way over 50%, so you are nearly looking at 50% of profit anyway. Whilst the payouts may be small they are recurring and they will add up over time.