Keep Your Affiliates Happy by Providing Proper Payment

One of the complaints that I hear now and again from people leaving affiliate programs is that they feel they are not being paid properly for their efforts. I hear things like, 'The commission structure was really unclear and I was never sure what I was owed,' or, 'payment was supposed to be made regularly, but sometimes I didn't see a check for months.' More often than not, it's just a case of miscommunication or poor organization on the manager's part, but to the affiliate, it seems neglectful or even dishonest.

Affiliate Managers, you've got to remember the reason why these people are here! Why do people join affiliate programs in the first place? The same reason you started the program, to make money, plain and simple. As soon as they feel like that isn't happening, they're gone, and if they're gone, you're program is gone. If you are going to run a successful affiliate program, you've got to make sure that you are offering a clearly defined commission structure and a regular payment schedule. Without these things, you will lose affiliates faster than you can sign them up. Do you want to spend all your waking hours chasing down new affiliates? I didn't think so. Be a little more organized and hold onto the affiliates you have.

When setting up a commission structure, you first need to decide what you're going to pay for. Are you going to pay for click throughs, e-mail addresses, impressions, or just final sales? Of course affiliates would love to be paid for all those things, but this sort of a vague structure gets confusing, and isn't always profitable. It seems to me that it is always best to just pay for results, that is sales and qualified leads. If you offer a nice commission and a regular payment schedule, this should be fine, and your affiliates will not have any questions about what they're being paid for.

Next you must decide on your payment structure, that is whether to pay a percentage of sales, or a flat rate. Although it is the more complicated of the two systems, paying on a percentage rate seem to be more popular with affiliates. People like the idea of 'The more you sell the more you make.' If you have a wide range of items for sale and are making higher profits on your more expensive items, this is a great way of encouraging your affiliates to promote higher ticket sales. However, if you are selling a more limited selection, or if your profit is about the same on everything you sell, then go with a flat rate. It's just so much easier to use, and with a smaller product variety it just makes more sense.

Finally, designate a specific monthly payday and stick to it. Affiliates are basically your employees, and nothing makes people distrust they're employer more than a late paycheck. If on occasion you do have a problem meeting a payday, let people know as far in advance as possible.

Once you have decided on the structure of your payment program, write a very clear and short description of it and include it in your affiliate materials, then always abide by what you have promised. By keeping the mystery out of payday, you will find that your affiliates are much happier and more productive. Not only that, but you will find that you will have a lot more time on your hands to deal with more important things, like selling.

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Author Notes:

Keller Flynn contributes and publishes news editorial to http://AffiliateDirector.com. Keller Flynn knows about Super Affiliates and what it takes to find or help create them. Reach him at keller@affiliatedirector.com or 801-328-9006.