Comments on: How To Calculate Affiliate Commission Rate http://www.amnavigator.com/blog/2009/11/01/how-to-calculate-affiliate-commission-rate/ Geno talks about affiliate marketing, leadership, etc Wed, 08 Feb 2012 00:14:20 +0000 hourly 1 By: Geno http://www.amnavigator.com/blog/2009/11/01/how-to-calculate-affiliate-commission-rate/comment-page-1/#comment-7208 Geno Thu, 15 Jul 2010 18:46:36 +0000 http://www.amnavigator.com/blog/?p=4253#comment-7208 <b>Shawn</b>, "zero profit lost to fraud" = very achievable reality <i>if</i> (i) you partner with the right affiliate network (if that's the platform you want to run your program on), and (ii) you <u>manage</u> your program (and not let it fly on its own). That's the whole idea about classic affiliate marketing: pay only for the qualifying action as defined by <i>you</i>. Yes, feel free to <a href="mailto:info@amnavigator.com" rel="nofollow">email me</a> with any further questions. Shawn, “zero profit lost to fraud” = very achievable reality if (i) you partner with the right affiliate network (if that’s the platform you want to run your program on), and (ii) you manage your program (and not let it fly on its own). That’s the whole idea about classic affiliate marketing: pay only for the qualifying action as defined by you.

Yes, feel free to email me with any further questions.

]]> By: Shawn Klemmer http://www.amnavigator.com/blog/2009/11/01/how-to-calculate-affiliate-commission-rate/comment-page-1/#comment-7207 Shawn Klemmer Thu, 15 Jul 2010 18:22:31 +0000 http://www.amnavigator.com/blog/?p=4253#comment-7207 Thanks Geno, The possibility of zero profit lost to fraud is encouraging. And surprising! And yes, I've found your Online Guide to Affiliate Marketing - it's become a fixture in one of my browser tabs. I have a few other questions - I reckon I'll contact you by email and see if it's possible to set up a bit of consulting with you. Thanks again, Shawn Thanks Geno,

The possibility of zero profit lost to fraud is encouraging. And surprising! And yes, I’ve found your Online Guide to Affiliate Marketing – it’s become a fixture in one of my browser tabs.

I have a few other questions – I reckon I’ll contact you by email and see if it’s possible to set up a bit of consulting with you.

Thanks again, Shawn

]]> By: Geno http://www.amnavigator.com/blog/2009/11/01/how-to-calculate-affiliate-commission-rate/comment-page-1/#comment-7180 Geno Tue, 13 Jul 2010 18:00:32 +0000 http://www.amnavigator.com/blog/?p=4253#comment-7180 <b>Shawn</b>, First of all, thank you for your kind words. I highly appreciate them. These are the kinds of comments that keep me going. Thank you for taking the time to say that my work has helped you. That's really good to hear. Secondly, if you're looking for an online "for dummies" guide to starting an affiliate program, I've compiled (and am constantly expanding) one here: <a href="http://www.amnavigator.com/blog/2010/01/31/online-guide-to-affiliate-marketing/" rel="nofollow"><em>Online Guide to Affiliate Marketing</em></a> (hope you will find it of help too). Now to your question: you may certainly factor in a % (I wouldn't know which to recommend), but I never do it. With <i>managed</i> programs there is actually no reason to factor in fraud. Every fraudulent transaction should be reversible [<a href="http://www.amnavigator.com/blog/2009/08/29/locking-periods-and-lock-dates-in-affiliate-marketing/" rel="nofollow">more here</a>], and when you find out that it is the affiliate who is involved in the fraud the affiliate should be banned from the program. This way you (a) get your money back, and (b) get rid of a non-kosher "partner". Finally, there's another post on calculating competitive commission that you may find of help, and you may find it <a href="http://www.amnavigator.com/blog/2010/02/17/how-to-read-affiliate-program-statistics-calculate-commission/" rel="nofollow"><b>here</b></a>. Shawn,

First of all, thank you for your kind words. I highly appreciate them. These are the kinds of comments that keep me going. Thank you for taking the time to say that my work has helped you. That’s really good to hear.

Secondly, if you’re looking for an online “for dummies” guide to starting an affiliate program, I’ve compiled (and am constantly expanding) one here: Online Guide to Affiliate Marketing (hope you will find it of help too).

Now to your question: you may certainly factor in a % (I wouldn’t know which to recommend), but I never do it. With managed programs there is actually no reason to factor in fraud. Every fraudulent transaction should be reversible [more here], and when you find out that it is the affiliate who is involved in the fraud the affiliate should be banned from the program. This way you (a) get your money back, and (b) get rid of a non-kosher “partner”.

Finally, there’s another post on calculating competitive commission that you may find of help, and you may find it here.

]]> By: Shawn Klemmer http://www.amnavigator.com/blog/2009/11/01/how-to-calculate-affiliate-commission-rate/comment-page-1/#comment-7179 Shawn Klemmer Tue, 13 Jul 2010 16:52:20 +0000 http://www.amnavigator.com/blog/?p=4253#comment-7179 Hi Geno, Thanks so much for these blog entries. While I've been piecing together information from ABestWeb forum posts and the like, I've daydreamed about finding a single resource that answered a number of my questions and offered some "for dummies" background and context for more complex concepts. Your blog fits the bill better than anything else I've come across online... I have one question about calculating affiliate rates - would appreciate it if you had the time to share your thoughts. The program I'm setting up now is focused on lead generation. It seems to me that fraud should be factored into the first calculation you list above - the "maximum that you can afford to pay," but I'm not sure how to quantify fraud. Your average convenience store, I'm told, plans for 5% of their profit to be lost to shoplifting. Based on your experience, is there a similar number one could apply for a lead-based affiliate program run with solid approval and affiliate monitoring policies? Thanks again, Shawn Hi Geno,

Thanks so much for these blog entries. While I’ve been piecing together information from ABestWeb forum posts and the like, I’ve daydreamed about finding a single resource that answered a number of my questions and offered some “for dummies” background and context for more complex concepts. Your blog fits the bill better than anything else I’ve come across online…

I have one question about calculating affiliate rates – would appreciate it if you had the time to share your thoughts. The program I’m setting up now is focused on lead generation. It seems to me that fraud should be factored into the first calculation you list above – the “maximum that you can afford to pay,” but I’m not sure how to quantify fraud. Your average convenience store, I’m told, plans for 5% of their profit to be lost to shoplifting. Based on your experience, is there a similar number one could apply for a lead-based affiliate program run with solid approval and affiliate monitoring policies?

Thanks again,

Shawn

]]>