When you register to attend an affiliate program or want to start an affiliate program you own the property, often on the options which are better to use a single program or program-Tier Tier-two. With single-Tier program, you get a commission for each sale you make. And to stop there. And when you run the affiliate program you own the property, you pay commission to your affiliate for every sale they make. And finished up there.
However, different from the single-Tier, affiliate program two-Tier, an affiliate allowed to recruit sub-affiliate as much as possible and get the commission as a percentage of sales generated by these sub-affiliate. For example, the affiliate gets a commission of 30% over sales of the product X and if a sub-affiliate the successful conduct of the sale of the affiliate is also entitled to a commission of 10%. This is very beneficial for an affiliate because he can recruit sub-affiliate as much as possible and get a commission without doing anything except the initial recruitment process.
Well, then, when you start trying to run an affiliate program you belong to yourself, whether you should run a single program or program-Tier Tier-two? Most of your certainty that the program Tier will two-raising costs. But what is that? Many affiliate program managers make the wrong decision on this matter.
Now let us with an example. You have and you are running an affiliate program, and a regular affiliate program you join. Mr Ordinary, the affiliate, have a website that has traffic mediocrity. He also has a monthly ezine with thousands of customers. Tn. Make regular posts that contain your affiliate link on its website and promoting your products through a subscription ezine too.
At first he succeeded in creating significant sales, soon was time when the market becomes saturated with your product and the sales start to decrease. He began to lose interest in the affiliate program you and your sales are small.
How the situation when you run the program two-Tier?
Rather than try to maintain payment fixed minimum commissions that, you will provide the motivation to affiliate you recruit other people to participate in your affiliate program. This will increase sales by affiliate the exponentially. So, what gives with the commission of additional sub-affiliate to an affiliate hurt or benefit? Well, as this is the situation when Tn. Ordinary join your affiliate program. When the market that management has reached saturation point, then he will begin to offer to join your affiliate program to its customers. And found that many customers who decide to join your affiliate program. This will motivate Tn. Usual to continue to promote your products and explore new affiliate to join your affiliate program.
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