Higher Commission Is Not Always Better

I have seen it a million times, especially from newer affiliates. They find two similar affiliate programs and immediately assume that the one that pays the highest commission is automatically the better affiliate program... not true! As an affiliate you need to look beyond the commission and evaluate the entire program. Yes, high commission are always nice to have but there are some things to look for that can make a high commission affiliate program practically worthless and a waste of your valuable time.

The first thing that you should look at is see how much the merchants are charging for their products. Merchants that pay a high commission is usually passing it off in the product prices. By boosting their prices up they make up for paying their affiliates high commissions by trying to get the customers to pay the bill. If the price is to high the customer will leave the merchants site and search for another merchant with lower prices. So you can promote the higher commission merchant to your hearts content. But if the prices are just to high for the customers you are simply wasting your time and effort on a dead cause.

Now, if you go with the merchant that pays a slightly less commission but has much lower prices then the customer is going to buy from them instead of the other merchant, therefore, giving you more conversions which will make you alot more money in the long run.

Chet Brzezinski has been in the affiliate marketing and affiliate management industry since 1997. He owns two affiliate marketing related sites. One that offers affiliate program management & consulting services and the other affiliate program reviews, tips and resources.

In The News:


RBID.com New Business Affiliate, Leverage Inc., Strategic Deal ...
MarketWatch - Oct 9, 2008
The deal outlines a revenue-sharing arrangement, where Leverage(R) will receive a portion of profits from Get Solo products sold to Leverage(R) members ...

Oil Export Project Continues to Deliver Revenue and Create Jobs in ...
MarketWatch - Oct 10, 2008
Stephane de Mahieu, general manager, Esso Exploration and Production Chad Inc., an ExxonMobil affiliate, discussed the project's contributions to the nation ...

Canada.com

YouTube’s new revenue model: affiliate links?
The Inquisitr, Australia - Oct 7, 2008
The model makes sense in terms of relevancy, but the angle is interesting, because it’sa traditional affiliate model, and it looks like Google hasn’t done ...
Google introduces YouTube click-to-buy CNET News
YouTube Makes Affiliate Play with Click-to-Buy Links ClickZ News
paidContent.org - YouTube Adds Affiliate Links To Its Videos ... Washington Post
Search Engine Land - Internet Search Engine Databaseall 471 news articles

EARNINGS WATCH Updates, advisories and surprises
MarketWatch - Oct 10, 2008
Brinker had said in August that it agreed to sell a majority interest in Romano's Macaroni Grill to an affiliate of Golden Gate Capital for $131.5 million. ...

Viacom Updates Full Year 2008 Business Outlook
MarketWatch - Oct 10, 2008
Viacom said affiliate and ancillary revenues grew at a double-digit rate in the third quarter. Viacom President and Chief Executive Officer Philippe Dauman ...
Viacom announces earnings warning Hollywood Reporter
all 66 news articles

Boston Globe

Viacom lowers 3Q earnings outlook
Variety, CA - Oct 10, 2008
Affiliate and ancillary revenues grew at a double-digit rate in the third quarter, the company noted. Execs will elaborate on the revised outlook Nov. ...
Slowing Ad Market Slams Sumner Redstone's Empire AdAge.com (subscription)
all 123 news articles

Virgin Games moves affiliate business into dgm
E-consultancy (press release), UK - Oct 10, 2008
Virgin Games’ CPA offer on dgm will be the ideal network complement to our award winning in-house revenue-share affiliate programme. ...

Ad Server Solutions Enterprise Versions Released
Newswire Today (press release), UK - Oct 8, 2008
Publishers will be able to create their own niche advertising networks and affiliate networks with revenue sharing agreements that meet both the network's ...

Fox Fails On Dodgers/Phillies In HD
TVPredictions.com (press release) - Oct 10, 2008
The reason for this is that Fox uses a splicer system whereby each affiliate can take the signal unaltered from Fox and send it out over the air without ...

Affiliate Tax Repeal on the Federal Level
AffiliateTip.com, NJ - Oct 9, 2008
If it were to pass, this would mean that states would be prohibited from taxing out of state merchants if the only revenue sharing connection are affiliates ...
affiliate revenue - Google News

Theres a Tween In Your Future - Are You Ready?

Within 15 minutes of coming through the door from school,... Read More

Promoting Affiliate Programs through Personal Recommendations

Publishing articles online is a highly effective way to increase... Read More

How to Succeed With Any Affiliate Program

In the early days before the internet was born, starting... Read More

The Secret To Exploding Your Affiliate Profits

Are you concentrating too much on manually promoting your affiliate... Read More

What are the Benefits of Affiliate Marketing?

Affiliate marketing is a cooperative effort between merchant and an... Read More

Choosing the Right Affiliate Program

Requesting information on an affiliate program is an open invitation... Read More

Affiliate Marketing - Conversions

What is a good converting site?Well they say a "good"... Read More

Make 100% Commission on Your Affiliate Sales!

If you've been involved in making money on the internet,... Read More

The Affiliate Model ? How To Make Money As An Affiliate

Affiliate programs are a very easy and effective way to... Read More

Your Own Affiliate Program

What better avenue to drive high quality and targeted traffic... Read More

How To Use Articles To Build Your Affiliate Program

Articles are the perfect promotional tool for your affiliates -... Read More

9 Steps to Success in Affiliate Marketing

1.Join an Affiliate Program: Join programs that interest you personally.... Read More

Affiliate Business : Ten Checklists for Your Success

While it can be quite easy to start an online... Read More

Affiliate Programs - How to Pick the Solid Ones

This is very important, because your reputation is on stake... Read More

Hey, Stop Stealing My Affiliate Commissions!

Don't get offended, I was not speaking directly to you.... Read More

How Affiliates Can Have Their Own Radio Show...

Before we start, I want to ask you one simple... Read More

How To Build Website - Seven Steps For Building Optimized Websites For Affiliate Programs

The web has developed in such a mass marketing arena,... Read More

How Joint Ventures Can Catapult You to Success

Substantial opportunities for increased sales and profits are missed by... Read More

How To Earn Residual Income The Lazy Way

I've got a confession to make... what I am about... Read More

Creating an Income Stream with Affiliate Programs

Affiliate programs (also called Referral Programs or Partnership Programs) are... Read More

Googles Secret Guidelines On Thin Affiliates

Journalist Henk van Ess has caused a flurry of excitement... Read More

Make Money Online With Affiliate Programs

If you have wanted to find a way to make... Read More

Understanding Affiliate Programs

Years ago before the internet was born, starting your own... Read More

Will the Online Quiz Make the Old Fashioned Printed Quiz Obsolete?

Q. Can you tell me the benefits of publishing an... Read More

5 Magical Steps For Creating A Profitably Potent Affiliate Program!

There are a few reasons why your affiliate program isn't... Read More