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  1. #1
    The affiliate formerly known as ojmoo
    Join Date
    January 18th, 2005
    Posts
    1,466
    Why I hate performance incentives
    In the middle of March sometimes, one of my merchants changed with commission structure from a flat 6% to 6% with a 2% incentive if I earn over $1500. But there was a problem, it seems that this merchant has 2 brands (websites) and each one had the same terms. It seems the second brand is really ust a subset of the products of the first with a different name.

    OK, so in March I sell $3001 (about $1800 from one brand and $1200 from the other) worth of stuff and wait for my incentive. A month goes by no incentive.

    In April, I sold $1666 worth of stuff ($1266 from one brand and $400 from the other). I wait again, not its May and no incentives. So I send an email saiding OK $4667+ in 2 months, but no incentives.

    Today I received a reply, March ins't mentioned at all. April they said, well $1200 from one and $400 from the other, so no incentive since neither reached $1500. I am livid, firstly, had I known I simply would have justy promoted the larger brand since I can't find an item in the smaller brand that isn't in the larger brand anyway) Second, I think an accounting trick to aviod paying an incentive shows a lack of integrity on the merchant. I sold over $1500 worth of stuff and I should get paid.

    I am withholding the name of the merchant until I hear their reply to my email, but what are your thoughts on the matter. With me, I seem to have more bad will regarding performance incentives than good will.
    Expert who says Moo

    a.k.a. OJMOO

    Cow Dance


  2. #2
    http and a telephoto
    Join Date
    January 18th, 2005
    Location
    NYC
    Posts
    17,708
    If they are tracking through the same program with the same cookie (not separate merchant programs) then all sales with that merchant should be counted. Unless they specify in there TOS that the commissions are tracked separately.

    Incentives are fine, but need to be applied and clarified as to how they are earned.
    Deborah Carney
    TeamLoxly.com BookGoodies.com ABCsPlus.com

  3. #3
    ABW Ambassador PatrickAllmond's Avatar
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    September 20th, 2005
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    OKC
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    1,219
    I concur. We've considered breaking out some of our areas and doing some sub promoting. But an affiliate is an affiliate, and we are one merchant. I'd pay you if it was us in this situation.

    Get im... are they on ABW?
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  4. #4
    OPM and Moderator Chuck Hamrick's Avatar
    Join Date
    April 5th, 2005
    Location
    Park City Utah
    Posts
    16,646
    Contact the AM by calling first! My #2 fitness was selling high dollar fitness equipment on Amazon (for brands we don't carry). Commission percentage was based on the number of sales per month. He did several dozen sales with average order values of over $1000 but because he didn't hit the number to go to the next tier he was getting 6%. He talked to them and they realized he was selling over $100k a month and gave him 8%.

    Its worth pushing the point and if they don't respect the volume of sales you know what to do.

  5. #5
    The affiliate formerly known as ojmoo
    Join Date
    January 18th, 2005
    Posts
    1,466
    Smile FYI - What happened
    After my email, I was phoned by the acct rep at cj. What was agreed to was that my commission was changed to 8% without a performance incentive and then what I requested a signing bonus of $90 which was 2% of the $4500 in sales and received it a few days later.

    It was handled nicely and professionaly and I will continue to promote this merchant indefinitely :-)

    My stand on still hating performance incentives continues though. For my sites it doesn't make sense. I list/order my products for the benefit of my visitors, not for my benefit.
    Expert who says Moo

    a.k.a. OJMOO

    Cow Dance


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