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May 23rd, 2012, 01:44 PM #1CPA vs Revshare
I'm an affiliate manager and we plan to launch a program with a network very soon but haven't decided yet on the commission structure.
I've noticed that many merchants offer a one time CPA on new customers but nothing on their returning customers. Others go by a % of any sale for both new customers and existing customers.
What would the best setup be if we were to focus more on acquisition?
Thanks in advance,
May 23rd, 2012, 03:59 PM #2
Affiliates want to make reoccuring commissions and not just drive customers to your site for eCommerce programs. Depends on what you are selling. If its say home & garden products they will want a rev share. If you are selling a subscription then a CPA would make more sense. What are you selling?
May 23rd, 2012, 04:03 PM #3
Really depends on your product(s)/service(s).
Is it ONE product/service where there is a renewal or reorder, or do you have many products or categories of products like a retail store?
Take hosting for example, many hosting companies pay a high commission for acquisition of new customers. Very few pay lifetime residuals...
[EDIT: I see Chuck and I were posting at the same time]Salty kisses, Sandy toes, and a Pirate's heart...
May 23rd, 2012, 04:09 PM #4Take hosting for example, many hosting companies pay a high commission for acquisition of new customers. Very few pay lifetime residuals...
By Haltingpoint in forum Starting an Affiliate Program & Merchant Q&AReplies: 5Last Post: December 31st, 2009, 03:02 PM