I am re building my affiliate program for my week 3 challenge and I would love your input on commission structure. I am building a customgpt to help answer questions and to make the graphics/email swipes.
I am so excited as the YouTube video for this week will be about building an affiliate program. This is something that I am passionate about as I have previously run a very successful affiliate program that saw my eCommerce business hit 6 figures.
Now if you are new to the space, you may not have heard of 2nd tier commission. This is a commission from sales of an affiliate that you referred that made sales. So you sell $1000 and you refer me to be an affiliate and I make $1,000 in sales you get commission from your sales and from the sales of the affiliate that you referred every month.
To be clear - it is all commission from the sales of products and serivices. Pyramid schemes are when the person makes more money (commission or cash incentives) recruiting people than they do from the sales of products and the focus is on recruiters recruiting recruiters.
Would you rather:
A) Make 40% commission on all your sales & no 2nd tier commission
B) Make 30% commission on sales & 10% 2 tier commission (my usual)
C) Make 35% commission & 5% 2nd tier commission