View Poll Results: $10 once or $5 for life?

Voters
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  • $10.00 one time commission.

    3 6.98%
  • $5.00 at free trial signup then $5.00 recurring commission for the life of the customer (30 day subscription cycle).

    40 93.02%
Results 1 to 15 of 15
  1. #1
    Newbie
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    January 18th, 2005
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    We are in the process of developing a new program and wanted to get some feedback before we set the developers to work. We will be selling an anti-wrinkle facial cream. A free trial (customer only pays shipping) will be offered, with a recurring monthly subscription if they don't cancel during the free trial.

    We like the idea of offering our affiliate team ongoing commissions for the life of the customer. But before we took the programming development plunge we thought we would ask for some feedback.

    Options:
    1. $10.00 one time commission for customer signing up for the free trial.

    2. $5.00 commission for the free trial sign up. Then $5.00 each month the customer remains a subscriber. The free trial is 14 days, so you could actually earn the first $5.00 commission 14 days after you earned the $5.00 for the free trial.

    Our program will be hosted by Shareasale. We will be announcing it on ABW when it is ready. We are not fishing for any affiliates at this point, we are just trying to get the feedback to design our program.

  2. #2
    Affiliate Miester my2cents's Avatar
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    January 18th, 2005
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    I luv those reaccuring commissions....

    Joe
    ++++++++++++++++++++++++++++++++++++++++++
    that's my2cents, 'cuz I'm a legend in my own mind....

  3. #3
    Resident Genius and Staunch Capitalist Leader's Avatar
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    Hard to say without knowing how well it works. If it works great they'll be hooked forever, if it's not so hot (or if a cheaper cream will do the same thing) then the recurring would be $5 out the window

    But I went with Recurring anyway. Some people have an extraordinary love for their cosmetics and skin stuff...
    There is no knowledge that is not power. ~Hemingway

  4. #4
    ABW Ambassador Paul_Ward's Avatar
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    I went for $5 + recurring on your figures. Were I to do this though, I'd probably give $5 + $2 or even $1 a month as the choice. Maybe I shouldn't say this as an affiliate, but it seems unnecessarily generous.

    When I sold investment products, there were sometimes a choice of how to take the comission, it took about 5 or 6 years of recurring to get the same as the larger amount up front. But then investments aren't face creams.

  5. #5
    Resident Genius and Staunch Capitalist Leader's Avatar
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    I don't think it's "too generous" at all!
    There is no knowledge that is not power. ~Hemingway

  6. #6
    ABW Founder Haiko de Poel, Jr.'s Avatar
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    January 18th, 2005
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    Quote Originally Posted by suncosmo
    with a recurring monthly subscription if they don't cancel during the free trial.
    Suncosmo,

    Please note that useability for the end user to cancel is crucial for long term success of the program (end user and affiliate alike) ... who needs BBB, etc complaints?

    Additionally, such a stance of not obfuscating the cancellation process will also improve if not reduce to the rediculous any returns/charge backs you may possibly encounter.
    Continued Success,

    Haiko
    The secret of success is constancy of purpose ~ Disraeli

  7. #7
    mega crap martyogelvie's Avatar
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    January 18th, 2005
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    Is this a trick question because to me the obvious answer is $5.00 per life.

    True scenerio. I was once working with a recruiter for a JOB and the job offer was sold to me with a $5k raise after 6 months, the recruiter was trying to sell me on a $5k bonus after 6 months, I wanted the raise, she told me to go for the bonus.. ? I told her she was BAD AT MATH...

  8. #8
    Newbie
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    Quote Originally Posted by Haiko de Poel, Jr.
    Suncosmo,

    Please note that useability for the end user to cancel is crucial for long term success of the program (end user and affiliate alike) ... who needs BBB, etc complaints?

    Additionally, such a stance of not obfuscating the cancellation process will also improve if not reduce to the rediculous any returns/charge backs you may possibly encounter.
    Haiko-
    Amen! You are absolutely right. We are building a long term business and a trusted relationship with our customers. We are not in the business of trying to trick anyone out of their money by making it hard to cancel! Life is way to short for the headaches that follow trying to play that game.

    I really appreciate all the feedback - you have confirmed what we thought and we are currently working on getting our program set up.

    Thanks again for the feedback!

  9. #9
    ABW Ambassador phillyburbs's Avatar
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    Smile
    Quote Originally Posted by Leader
    Hard to say without knowing how well it works. If it works great they'll be hooked forever, if it's not so hot (or if a cheaper cream will do the same thing) then the recurring would be $5 out the window

    But I went with Recurring anyway. Some people have an extraordinary love for their cosmetics and skin stuff...
    Agreed.

    Quote Originally Posted by Leader
    I don't think it's "too generous" at all!
    Is there really such a thing as "too generous" when it comes to comissions?

  10. #10
    Member iktorn's Avatar
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    Commision for life is something that could get you many affiliates.
    Of course it has to go together with paying on time and other important issues.

  11. #11
    Full Member Deb's Avatar
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    January 19th, 2005
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    Or, you could think of it this way:

    There was a little boy named Johnny who used to hang out at the local corner market. The owner didn't know what Johnny's problem was, but the boys would constantly tease him.

    They would always comment that he was two bricks shy of a load or two pickles short of a barrel. To prove it, sometimes they would offer Johnny his choice between a nickel (5 cents) and a dime (10 cents) and Johnny would always take the nickel (they said) because it was bigger.

    One day after Johnny grabbed the nickel, the store owner took him aside and said "Johnny, those boys are making fun of you. They think you don't know the dime is worth more than the nickel. Are you grabbing the nickel because it's bigger, or what?"

    With a big grin on his face, Johnny slowly turned toward the store owner. "Well," he answered, "If I took the dime, they'd stop doing it, and so far I've saved $20!"




  12. #12
    Eternal Optimist Look4's Avatar
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    Quote Originally Posted by Paul Ward
    I went for $5 + recurring on your figures. Were I to do this though, I'd probably give $5 + $2 or even $1 a month as the choice. Maybe I shouldn't say this as an affiliate, but it seems unnecessarily generous.
    Although it may sound odd, I agree with Paul on the above.
    I would much rather partner with a merchant who is going to be around for the long run than one that I build up a great site for and then disappears because their profits are strong enough.

    My best merchant is on that gave me the option of 50% of first sale or 10% of recurring sales. The key was: How long do I expect the average buyer to stay with the product?

    If the product is not inherently recurring (like buying auto parts), then the one-time is the better route. If the product / service is crappy and the use is likley to cancel after a couple months, then the one time is the better route. If the merchant is likley to close their doors because they aren't making enough money to stay in business, then the one-time is the better route. And to the point at the beginning of this message, if the competition offers a similar product at a lower price (i.e. the buyer will just to the other product), then the one-time is the better route.

    But give me a dependable merchant with a good product, I would rathe give up some commission points to help them stay under the competition's price and go for the long term model.

    The best thing about long term with a good merchant is that even when Google takes a dump on my, even when my host accidently mucks up a DNS setting and I'm offline for a week, even when I get too busy to freshing my page and traffic slows down - the recuring revenue keeps things going until I get things fixed. And of course it grows and grows.

    That 50% vs 10% merchant has been a real winned for me. The average customer stays with them for 7+ months, and I'm now pulling in a steady $200-$250 a day even though traffic rollercoasters. Slow and steady is the way for me!

    Look4

  13. #13
    ABW Ambassador
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    The nature of a site's web traffic also matters. If a site has solid base of returning users, the take from one time only offers drops dramatically with time.

  14. #14
    Newbie
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    January 18th, 2005
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    Thanks for the great feedback to those that posted and those that voted. We are nearing launch date for our program. ABW will be the first place we announce - stay tuned.

  15. #15
    Newbie
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    January 18th, 2005
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    We are now live at ShareaSale
    Our program is now live, you can read about it in this thread.

    Burke Jones
    Sunflower Cosmetics
    http://www.youngsmoothskin.com

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