Results 1 to 18 of 18
  1. #1
    Newbie
    Join Date
    May 1st, 2006
    Posts
    11
    Job options
    Hi again guys.

    A few weeks ago I was speaking to a friend who runs a large fishing tackle manufacturers and he told me that he has just launched an online store.
    I introduced him to the concept of affiliate marketing and he liked the idea.

    I mentioned that I would consider being the affiliate program manager for his program and he sounded interested.

    When it came time to discuss a salary etc.. I gave a very generous offer, he called me and said that because he is new to all of this he would prefer to instead do a % of affiliate sales based payment.

    I know he can afford the salary I asked for and I feel he is just trying to get something for as little risk as possible (Aren't we all?) But I now have to decide whether I am going to accept his offer or not.

    I would like to know if anyone else runs a program stricly on a % of affiliate sales?

    If so, were there any problems along the way? How long did it take before you started earning a decent amount per month?

    Any advice would be great.

    Deano

  2. #2
    ABW Ambassador
    Join Date
    January 18th, 2005
    Location
    Nunya, Business
    Posts
    23,684
    First, have you ever run an affiliate program before?

    And second, is he a real good friend? There are different opinions on this for and against, but sometimes business can mess up the friendship if things don't go right.

  3. #3
    Newbie
    Join Date
    May 1st, 2006
    Posts
    11
    I have been an affiliate for four years. I recently decided to look into switching sides (so to speak) and after doing some research and speaking to numerous affiliate managers it appears I have all the knowledge to run a successful program.

    However, all my experience is as an affiliate, so due to this factor I offered my services at well below the going rate. He is a very good friend but he is 100% results focused and is an old school business man and would therefore have no problem in sacking me if I didnt walk the walk.

  4. #4
    Internet Cowboy
    Join Date
    January 18th, 2005
    Posts
    4,662
    Quote Originally Posted by deano
    ...so due to this factor I offered my services at well below the going rate.
    Your mistake. You sold yourself short. When you hit someone with a high price, you make room for negotiation.

    More importantly, a high price will get the other side's thinking up. If he was thinking $x and you hit him with $xxxx, if he is serious his thinking just came up to at least $xx, possibly $xxx. When negotiating a business deal, never let friendship weigh in to it. Negotiate the deal as if it were with an annonymous party. Mutual fairness with always be achieved when a deal is struck between two annon. parties. Friends negotiating is tricky.

    As for a commission deal, why would you want to place a ceiling on your earnings? If you need the cash flow now, go back with a hybrid offer with a lower monthly commitment for him and a higher commission rate for you, maybe on a tiered structure.

    Don't consider whether or not he can afford the salary. That has no bearing on the issue and should not affect negotiations.

  5. #5
    AM Navigator Geno Prussakov's Avatar
    Join Date
    May 10th, 2005
    Location
    Washington D.C. Metro Area
    Posts
    11,798
    What UncleScooter said...

  6. #6
    Newbie
    Join Date
    May 1st, 2006
    Posts
    11
    Your mistake. You sold yourself short. When you hit someone with a high price, you make room for negotiation.
    I gave a quote that was below the going rate, but it was a LOT more than he expected to pay. He simply believed that we were going to do a % share and then when I mentioned my monthly salary he was not expecting it.

    I understand your point, but giving a high quote would have only made matters worse in this case as he was not expecting to pay a penny.

  7. #7
    AM Navigator Geno Prussakov's Avatar
    Join Date
    May 10th, 2005
    Location
    Washington D.C. Metro Area
    Posts
    11,798
    Quote Originally Posted by deano
    I gave a quote that was below the going rate, but it was a LOT more than he expected to pay. He simply believed that we were going to do a % share...
    Well... Doing it for a % share may work if you sign a long-term contract with him, having, say, 50% of all profits from affiliate sales...

    Geno

  8. #8
    Newbie
    Join Date
    May 1st, 2006
    Posts
    11
    I am considering the options.

    I was offered a job in marketing for around 38k (pounds) approx $60k per year. However! I live in Madrid (Spain) and currently work from home. It seems that being an affiliate program manager from home is not a very common practice, therefore my options are limited.

    Under normal circumstances I WOULDNT consider a % only payment.

  9. #9
    AM Navigator Geno Prussakov's Avatar
    Join Date
    May 10th, 2005
    Location
    Washington D.C. Metro Area
    Posts
    11,798
    Quote Originally Posted by deano
    I was offered a job in marketing for around 38k (pounds) approx $60k per year. However! I live in Madrid (Spain) and currently work from home.
    How is this tied to what you've desribed above? Is this something you are considering doing instead of or in addition to the program management?

    Quote Originally Posted by deano
    It seems that being an affiliate program manager from home is not a very common practice...
    What led you to a conclusion like this?

    Geno

  10. #10
    Newbie
    Join Date
    May 1st, 2006
    Posts
    11
    What led you to a conclusion like this?
    I have asked numerous affiliate managers and many, many job agencies and they all say that working from home is extremely rare.

    Hopefully you will prove them wrong though

  11. #11
    AM Navigator Geno Prussakov's Avatar
    Join Date
    May 10th, 2005
    Location
    Washington D.C. Metro Area
    Posts
    11,798
    It is NOT "extremely rare". Not at all. Teleworking (which often is done from home offices) is common in this business, Deano.

  12. #12
    Newbie
    Join Date
    May 1st, 2006
    Posts
    11
    It is NOT "extremely rare". Not at all. Teleworking (which often is done from home offices) is common in this business, Deano.
    That is the best news I could have hoped for. Strange that so many others disagree though. I will keep asking around and I thank you all for your advice.

  13. #13
    Newbie
    Join Date
    May 1st, 2006
    Posts
    11
    It is NOT "extremely rare". Not at all. Teleworking (which often is done from home offices) is common in this business, Deano.
    I have just done a search on abestweb for the term "Teleworking" out of the 511k+ posts on this forum it was mentioned twice. Both times it was YOU who mentioned it.

    I would have expected to hear the term used a lot more if it is NOT extremely rare.

  14. #14
    Moderator MichaelColey's Avatar
    Join Date
    January 18th, 2005
    Location
    Mansfield, TX
    Posts
    16,232
    The term Teleworking isn't common, but working from home is. I have a feeling most AM's just don't mention it. But many do.

    Working on a flat commission is done, but it's not very common. Most experienced AMs or OPMs are able to command both a salary plus a percent of sales.

    If you do decide to do this, I would highly recommend that you attend Andy's affiliate manager certification seminar in August. There's a ton of stuff that isn't obvious from the affiliate end of things.
    Michael Coley
    Amazing-Bargains.com
     Affiliate Tips | Merchant Best Practices | Affiliate Friendly? | Couponing | CPA Networks? | ABW Tips | Activating Affiliates
    "Education is the most powerful weapon which you can use to change the world." Nelson Mandela

  15. #15
    AM Navigator Geno Prussakov's Avatar
    Join Date
    May 10th, 2005
    Location
    Washington D.C. Metro Area
    Posts
    11,798
    Quote Originally Posted by MichaelColey
    If you do decide to do this, I would highly recommend that you attend Andy's affiliate manager certification seminar in August. There's a ton of stuff that isn't obvious from the affiliate end of things.
    Good-good advice from Michael. Sounds like you could use such a training.

    Geno

  16. #16
    AM Navigator Geno Prussakov's Avatar
    Join Date
    May 10th, 2005
    Location
    Washington D.C. Metro Area
    Posts
    11,798
    Quote Originally Posted by deano
    I have just done a search on abestweb for the term "Teleworking" out of the 511k+ posts on this forum it was mentioned twice. Both times it was YOU who mentioned it.

    I would have expected to hear the term used a lot more if it is NOT extremely rare.
    If you can access this part of the forum - http://forum.abestweb.com/forumdisplay.php?f=209 - have a look through the conditions of job offers. Some would agree for you to work remotely (read: from your home office, or from an office located in a totally different place from the head office).

    Geno

  17. #17
    ABW Ambassador
    Join Date
    January 18th, 2005
    Location
    Los Angeles
    Posts
    4,053
    The term telecommuting is what's more commonly used.

    I think your friend doesn't have an idea that setting up anything from scratch is where a huge amount of work is involved. For you, it would involve a tremendous amount of time worked for no pay - there's no percentage possible on what it takes to set things up, before any affiliates are recruited and sales made.

    How much time and work went into him setting his business up altogether, getting all the details worked out and implemented, before seeing any income or profit out of it?

  18. #18
    Newbie
    Join Date
    May 1st, 2006
    Posts
    11
    Thanks for the advice guys n gals.

    I am looking forward to making the leap from successful affiliate to successful affiliate manager. I know the process will have it's ups and downs, but I am ready for the battle and I thank you all for any advice along the way.

    Adios.

    Dean.

  19. Newsletter Signup

+ Reply to Thread

Similar Threads

  1. Best options for me?
    By andyb8079 in forum Newbie Affiliate FAQs & Helpful Articles
    Replies: 1
    Last Post: October 29th, 2011, 07:00 PM
  2. TiVo options
    By markwelch in forum Virtual Family and Off-Topic
    Replies: 7
    Last Post: June 17th, 2010, 03:02 PM
  3. What Should We Do..? Other Options?
    By AddHandler in forum Midnight Cafe'
    Replies: 14
    Last Post: April 17th, 2005, 10:51 AM

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •