Forgotten Reasons Why We Do This
Interestingly no one has even really put their finger on the basics of our profession. Why do adult membership sites pay us 50% on sales? Whereas, why does Amazon only pays me a mere 7.5% on sales of the Almanac of American Politics?
Affiliates are compensated for their marketing effort. We are marketers, not franchisees, not tricksters manipulating the web.
Why do adult affiliate programs pay 50%, while mainstream programs pay much less? The reason is because their marketing costs and values are higher. Why is it higher? Because of the rules of supply and demand.
When Stephen King or John Grisham write a new book, they have about 10 million more marketing options than Corbin Fisher, Randy Blue or Falcon Studios.
They can appear on Oprah, Larry King or NPR. Matthew Lesko can sell his crazy books via middle of the night cable TV. Sony can put its products in the new James Bond movie.
Adult companies are far more restricted in their promotion options. Thus, the cost of their marketing is higher. (the rules of supply and demand) This is also why VISA can charge that magic $750 to adult companies.
In the adult world, costs are higher, but so are potential profits.
Keep that in mind when looking at Brian's two initial questions: "Is that really only worth 50% compared to the effort of an affiliate who may or may not have done anything more than just throw up a banner on their site and happened to send a surfer your way? should all be getting 50% or these huge PPS? "
and
"As a sponsor, do you look at every referred sale and think "There was no way I could have gotten that sale myself, and so eagerly pay out that 50% or huge PPS chunk"?"
One additional note: If you are unhappy with affiliates making unworthy money from pop-ups or exit consoles then PROHIBIT THEM. Make use of your terms and conditions. I've mentioned often how practically non-existent terms and conditions are in the adult affiliate world. Wall Street Journal's affiliate terms prohibit me from buying Google Ads in their name, promoting them in emails and in many other areas.
Steve