Higher Commission Is Not Always Better

I have seen it a million times, especially from newer affiliates. They find two similar affiliate programs and immediately assume that the one that pays the highest commission is automatically the better affiliate program... not true! As an affiliate you need to look beyond the commission and evaluate the entire program. Yes, high commission are always nice to have but there are some things to look for that can make a high commission affiliate program practically worthless and a waste of your valuable time.

The first thing that you should look at is see how much the merchants are charging for their products. Merchants that pay a high commission is usually passing it off in the product prices. By boosting their prices up they make up for paying their affiliates high commissions by trying to get the customers to pay the bill. If the price is to high the customer will leave the merchants site and search for another merchant with lower prices. So you can promote the higher commission merchant to your hearts content. But if the prices are just to high for the customers you are simply wasting your time and effort on a dead cause.

Now, if you go with the merchant that pays a slightly less commission but has much lower prices then the customer is going to buy from them instead of the other merchant, therefore, giving you more conversions which will make you alot more money in the long run.

Chet Brzezinski has been in the affiliate marketing and affiliate management industry since 1997. He owns two affiliate marketing related sites. One that offers services and the other .

In The News:


LiveWorld Reports 56% Revenue Growth and Profitable 1st Quarter
MarketWatch (press release)
Total revenues were $2.6 million for the first quarter of 2012 as compared to the $1.7 million in total revenues reported for the first quarter of 2011. The Company reported net income for the first quarter of 2012 of $272000, or 11% of total revenues.

and more »

Argo Systems Opens London Office
MarketWatch (press release)
Argo Systems' Medea software is the Pay TV industry's only end-to-end affiliate revenue management system. Medea delivers greater efficiency, visibility and control of the distribution lifecycle. Industry leading software since 1995, Argo Systems has ...

and more »

TechCrunch

Refer.ly Lets Regular Folks Earn Affiliate Revenue For Recommending Products ...
TechCrunch
Will a few dollars in affiliate revenue motivate people enough to use Refer.ly? Don't we just share products with friends and family because we genuinely love to help other people out? Morrill said she doesn't expect Refer.ly users to make a living off ...
Danielle Morrill leaves Twilio to start Y Combinator-backed ReferlyGeekWire

all 2 news articles »

Advertising, affiliate revs lift Scripps: Revenue rose 11% to $535 million
Chicago Tribune
Scripps Networks Interactive, parent of Food Network, HGTV and The Travel Channel, said strong advertising and affiliate revenue boosted profit last quarter despite hefty programming costs. Net profit rose to $115 million from $101 million.
Ad & Affiliate Revenues Boost Scripps ResultsWorld Screen
Scripps Networks 1Q Net Up 14% On Stronger Ad RevenueWall Street Journal
Scripps Networks Interactive reports first quarter financial resultsMarketWatch (press release)
Zacks.com -NASDAQ
all 52 news articles »

Roomlinx Reports Results for Quarter Ended March 31, 2012
MarketWatch (press release)
Roomlinx's revenues for the three months ended March 31, 2012 was $1537541 compared to $1423172 for the same period in 2011. This represents an 8% increase year over year. Direct costs for the three months ended March 31, 2012 were $1220378 compared to ...


Naughty Revenue Offers Tip Sheet Blog
XBIZ
By Rhett Pardon, XBIZ.com SAN DIEGO — Naughty Revenue, the affiliate program for flagship site Naughty America, has launched a new blog, "The Naughty Revenue Insider." The blog will offer tricks of the trade, tactics and strategies, news, ...


Businessandleadership.com

UTV Media revenues up 2pc in first four months
Businessandleadership.com
UTV Media has reported a 2pc increase in revenues for the first four months of 2012 compared with last year, the company said today in an interim management statement. Excluding the impact of negative foreign exchange movements, the group said the ...


Wall Street Journal

AMC Networks Earnings Call Insights: Affiliate Revenue Growth, Ratings
Wall St. Cheat Sheet
Two questions first on the affiliate revenue growth, 8% in the first quarter, two things there. Number one, it is an acceleration from your full year rate from last year. Does that acceleration represent some – or is that primarily due to some of the ...
AMC Reports Higher First-Quarter EarningsBroadcasting & Cable
AMC Networks quarterly profit jumps 45%MarketWatch
AMC sees 40% jump in Q1 profit: Execs say Dish threats are retaliation for ...Chicago Tribune
MediaPost Communications -Multichannel News
all 42 news articles »

WPTV

Thousands of nonprofits misreport fundraising costs
ScrippsNews
Forty-one percent of all 37987 charities and other nonprofit groups that collected at least $1 million according to their most recent report to the Internal Revenue Service made what experts agree is a ridiculous claim: They raised significant amounts ...
Local charities following tax reporting rulesRecord-Searchlight
States nonprofit groups that reported no spending on fundraisingTimes Record News

all 22 news articles »

ABC News

Yemen President Attends Parade, Vows Defiance After Suicide Bomb
San Francisco Chronicle
He vowed yesterday to continue the fight against al-Qaeda, whose Yemeni affiliate claimed responsibility for the bombing in an e- mailed statement, saying its target was Defense Minister Mohammed Naser Ahmed. The minister and Chief of Staff Ahmed ...
Yemen bombing missed defence ministeriPolitics.ca (subscription)

all 2,318 news articles »
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