Affiliate Program
The Affiliate
Marketing Program
For complete details and
instructions on using the affiliate program read the
full affiliate program help page.
The affiliate program gives
you an easy to use interface and programming to run a small
affiliate based marketing program for your products or services.
Affiliate marketing is a process where people send you customers
and you pay them a commission for any sales that result.
If you plan to run a
successful program, you will need to go beyond the tools provided
and add in details and pages describing the program, terms of use
and marketing materials. The more visible your program is, the
more it will produce for you. A well built site with detailed
information pages and resources for the program is necessary to
generate good affiliate and sales.
The main program allows
independent affiliates to signup and access linking codes,
banners and monitor referrals and sales.
This program operates the same
way most other affiliate programs work by setting a cookie in the
users browser and matching that referral with any purchase. This
same technology is used by large retailers like amazon.com,
walmart.com and other well known brands offering affiliate
programs. Cookie tracking is the standard in the affiliate
marketing industry and is the only suitable method for
establishing commission tracking.
When a potential customer
clicks in from an affiliate's website, if the linking code is
used that customer is credited to the affiliate. If the customer
makes a purchase before the cookie expires the sale will be
credited to the affiliate.
You can set the cookie
expiration between 1 day and 1 year. It is important to use a
reasonable referral time to allow visitors purchases to be
credited to the affiliates. If the send a person to your website
and the person buys a product 2 weeks later, they want the credit
for the sale. The longer the referral duration the more
attractive your program is to affiliate marketers.
Our program goes one step
further by allowing non internet based sales by adding a text box
to the checkout page for the affiliate ID. If the affiliate can
promise a discount for using the code, the user will surely enter
the code to get the discount and the affiliate will get credited
with the sale.
Once concept of affiliate
marketing is that you may lose money on sales if you pay a 20%
commission. However, you gain a new customer and potential
residual sales for life.
The affiliate knows that the
customer may go directly to your website for the next purchase,
so by paying commissions for an extended period makes your
program more exciting for the affiliate marketer. However, it
also makes it more costly for you and you have to balance
commission with the length that you will pay them.
The biggest issue will be how
much to pay. The industry runs from about 3% to 20% with the
majority of merchants paying between 6% and 10%. Depending on
your product cost and the resulting commission you should make
the commission attractive. If you sell candles for $1 and pay 5%,
not many people will be interested in making a nickle on a sale.
But if you sell furniture and the average sale is $100, then a $5
commission is very attractive.
The more you pay, the more
likely you will get good referrals from good websites. The less
you pay, the less likely people will even signup at all.
The sales are compiled by the
month and can be reviewed by the affiliate as well as the
merchant. A detailed list of payouts is available in plain text
or delimited format for importing to accounting programs like
quickbooks.
It is extremely important that
you pay your commissions on time and with checks that don't
bounce. You can set your own policy and designate minimum payouts
and payout dates so you are not always sending people $1 checks.
But you must stay on top of the commissions or your affiliates
will say very bad things about you and it wont be long before
your affiliate program is a complete disaster.
There is obviously a great
deal of work to do to manage payouts and post payments and
reversed sales. But the ability to have outside websites
promoting your products is priceless. A well run affiliate
program can be the difference between no sales and a successful
active website.
For complete details and
instructions on using the affiliate program read the
full affiliate program help page.
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