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Thread: (potentially?) controversial topic - Sponsors vs Affiliates

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  1. #1
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    Quote Originally Posted by Squirt View Post
    Getting affiliates to work harder, for less money, would be a difficult task.
    Exactly the point being made Squirt.

    Right now, affiliates arent working and getting paid more money.

    Why should an affiliate who only sends 1 sale a month get paid the same amount as an affiliate who sends 100 sales a month?

    It just doesnt make any sense LOL

    Regards,

    Lee


  2. #2
    marcjacob
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    They dont get paid the same, they get paid the same %. Theres a difference. They get what they put in, the more they work the more they make. I think that if you offered this sliding scale youd loose alot of affiliates and fail to attract new ones. The big boys probably dont want to pay $40 per sign up, they have to if they are going to remain competetive.

    That said we'd all prefer 40% with kick ass ratios and rentention than 60% programs that dont sell and dont retain.

    I think my sales are worth 50%. They wouldnt get my customers if i didnt send them and for that you have to pay. If the sponsors dont like that then get your own customers and dont run a program.


  3. #3
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    Quote Originally Posted by marcjacob View Post
    I think my sales are worth 50%. They wouldnt get my customers if i didnt send them and for that you have to pay. If the sponsors dont like that then get your own customers and dont run a program.
    You also wouldnt make any money.

    What would happen is EVERY single sponsor suddenly decided tomorrow that they will only pay out 25% per sale?

    You are saying that you will leave the industry and not promote them because your traffic is worth 50%.

    There is traffic that isnt worth even 25% of a sale, 404 traffic, CJ traffic, console traffic (after a point) even some TGP traffic.

    The point being made is this, if sponsors didnt cater to the affiliate that constantly wants more and more money by doing less and less work, we'd ALL be making more money.

    Consider this, lets say you make 10 sales a day and someone else makes 10 sales a day.

    You make your 10 sales from AEN sites, the other affiliate makes their 10 sales by simply linking to an RSS feed.

    Do you think it is 'fair' that you do more work and get paid the same as someone that does nothing but link to an RSS feed? I certainly dont, in my view, you should be getting paid more than the person linking to the RSS feed because YOU are actually working for your money.

    Regards,

    Lee


  4. #4
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    Quote Originally Posted by Lee View Post
    Do you think it is 'fair' that you do more work and get paid the same as someone that does nothing but link to an RSS feed?
    One of the basic mottos of business is to work smarter not harder.

    You're also contradicting yourself as a sliding scale payment method for affiliates doesn't address how hard they work, only the shear volume of sales, so someone working smarter can easily make more money then someone working harder. Also, as a sponsor, if you did all the work affiliates did, you would make 100% on a sale instead of 50%, but you work smarter by having others bring traffic to you and giving them 50% of the sale :moneybags:
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  5. #5
    marcjacob
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    Quote Originally Posted by Lee View Post
    You also wouldnt make any money.

    What would happen is EVERY single sponsor suddenly decided tomorrow that they will only pay out 25% per sale?

    You are saying that you will leave the industry and not promote them because your traffic is worth 50%.

    There is traffic that isnt worth even 25% of a sale, 404 traffic, CJ traffic, console traffic (after a point) even some TGP traffic.

    The point being made is this, if sponsors didnt cater to the affiliate that constantly wants more and more money by doing less and less work, we'd ALL be making more money.

    Consider this, lets say you make 10 sales a day and someone else makes 10 sales a day.

    You make your 10 sales from AEN sites, the other affiliate makes their 10 sales by simply linking to an RSS feed.

    Do you think it is 'fair' that you do more work and get paid the same as someone that does nothing but link to an RSS feed? I certainly dont, in my view, you should be getting paid more than the person linking to the RSS feed because YOU are actually working for your money.

    Regards,

    Lee
    I wouldnt quit the industry, id build a paysite and get what my traffic is worth. work solely for myself.

    I think its fair that the rss guy makes his money. Im learning now that i need to work alot smarter to get more done. If hes allready doing that than fair play.

    You seem to think your affiliates are lazy and overpaid? I work really hard as a sole affiliate webmaster. Some programs i do great at and some i just cant sell but i do work hard to get my money.


  6. #6
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    Quote Originally Posted by marcjacob View Post
    You seem to think your affiliates are lazy and overpaid?
    No, i think pretty much all affiliates are lazy and over-paid. Granted there are some exceptions to that.

    You only have to look around and see what affiliates are asking for these days to realize that they have become lazy, free content, free hosting, FHGs, hosted blogs, hosted TGPs, hosted free sites, hosted banners, console free tours, free submission service, $1 trials, free trials, cascading billing, instant payouts, epassporte payouts, the list goes on.

    There are even programs now where all you have to do is sign up to the program and they do ALL the work for you, they build you galleries or free sites and even submit them to the TGPs or link lists you ask them to LOL

    What happened to sending traffic to a sponsors tour, waiting 15-30 days and getting a check in the mail?

    Regards,

    Lee


  7. #7
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    Quote Originally Posted by Lee View Post
    No, i think pretty much all affiliates are lazy and over-paid. Granted there are some exceptions to that.

    You only have to look around and see what affiliates are asking for these days to realize that they have become lazy, free content, free hosting, FHGs, hosted blogs, hosted TGPs, hosted free sites, hosted banners, console free tours, free submission service, $1 trials, free trials, cascading billing, instant payouts, epassporte payouts, the list goes on.

    There are even programs now where all you have to do is sign up to the program and they do ALL the work for you, they build you galleries or free sites and even submit them to the TGPs or link lists you ask them to LOL
    It's unfortunate that some of those programs get caught up in that rat race because at the end of the day they're diluting the value of their product and paying a premium for every sale in labor and devlopment. Just like some of those sites that feel they have to put a movie out every week or twice a week, or more, to stay in business, or be successful, they dilute their product as well. Imagine if Speilburg came out with a new movie, or more, every week... or Universal released a new movie twice a week, year round LOL
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  8. #8
    marcjacob
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    Quote Originally Posted by Lee View Post
    No, i think pretty much all affiliates are lazy and over-paid. Granted there are some exceptions to that.

    You only have to look around and see what affiliates are asking for these days to realize that they have become lazy, free content, free hosting, FHGs, hosted blogs, hosted TGPs, hosted free sites, hosted banners, console free tours, free submission service, $1 trials, free trials, cascading billing, instant payouts, epassporte payouts, the list goes on.

    There are even programs now where all you have to do is sign up to the program and they do ALL the work for you, they build you galleries or free sites and even submit them to the TGPs or link lists you ask them to LOL

    What happened to sending traffic to a sponsors tour, waiting 15-30 days and getting a check in the mail?

    Regards,

    Lee
    if there bringing in sales why shouldnt they ask more of you? if other programs have hosted this and that and different payout methods, surely you need to, if your going to attract good webmasters.

    as an affiliate, im going to go with a program that offers me the tools i need to do well.


  9. #9
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    Quote Originally Posted by marcjacob View Post
    if there bringing in sales why shouldnt they ask more of you? if other programs have hosted this and that and different payout methods, surely you need to, if your going to attract good webmasters.

    as an affiliate, im going to go with a program that offers me the tools i need to do well.
    An affiliate that will be successful is one with access to traffic that converts and is supplied promo content by a sponsor that has a product people want. Anything else is icing and not mandatory for an affiliate to make sales.

    An affiliate that demands everything under the sun just to make a sale is just as bad as the sponsor who wants to pay affiliates on a sliding scale IMO

    Man I'm glad I've never had problems with affiliates so far *knock on wood*
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  10. #10
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    double post :bunny:
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  11. #11
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    Quote Originally Posted by marcjacob View Post
    if other programs have hosted this and that and different payout methods, surely you need to, if your going to attract good webmasters.
    Marc,

    Thats just it, just because some other sponsor offers hosted this and that, and $125 PPS for a $2.95 trial, that doesnt mean everyone else has to.

    Infact, there are several very large programs that are going to be closing to public affiliate signups in the next few weeks and going strictly invite only.

    Every other affiliate program isnt invite only, so why do they have to be that way? Id venture a guess its because they know that 5% of their affiliates make up 95% of the sales.

    That 95% of affiliates that are making up 5% of their sales are actually costing them money as a program.

    Regards,

    Lee


  12. #12
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    Quote Originally Posted by Lee View Post
    Exactly the point being made Squirt.

    Right now, affiliates arent working and getting paid more money.

    Why should an affiliate who only sends 1 sale a month get paid the same amount as an affiliate who sends 100 sales a month?

    It just doesnt make any sense LOL

    Regards,

    Lee

    As a sponsor, every sale has the same value. Affiliates bringing in 1 sale a month will get paid less then one bringing in 100 sales a month, regardless of the sliding scale.

    The last thing we need is affiliates desperate to make a sales quota to get a small percentage increase in revenue, while working harder for less money.

    ------------ EDIT ----------
    looks like Marcjacob echod some of the same thoughts as I was writing my response
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  13. #13
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    Quote Originally Posted by Squirt View Post
    As a sponsor, every sale has the same value.
    You are right, $29.95 is $29.95 whoever makes the sale but, we arent talking about monetary values, we're talking about the value of an affiliate.

    Id much rather have 100 affiliates sending traffic to the tours through text links than 100 affiliates sending traffic to the tours via FHGs any day.

    There is also a reason that some sponsors pay less for 'console free' tours, the reason is that not all traffic is of the same value.

    Regards,

    Lee


  14. #14
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    Quote Originally Posted by Lee View Post
    You are right, $29.95 is $29.95 whoever makes the sale but, we arent talking about monetary values, we're talking about the value of an affiliate.
    You are talking about monetary values when discussing cutting commissions based on volume. First you said that an affiliate bringing in more sales should get paid more, then you said the affiliate that works hardest should get paid more... neither of these has to do with the value of the affiliate, only how much money you are paying them :evilgrin:
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  15. #15
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    Quote Originally Posted by Squirt View Post
    You are talking about monetary values when discussing cutting commissions based on volume. First you said that an affiliate bringing in more sales should get paid more, then you said the affiliate that works hardest should get paid more... neither of these has to do with the value of the affiliate, only how much money you are paying them :evilgrin:
    Squirt,

    Both of those subjects (affiliates worth vs. payout worth) are intrinsically combined, you cant talk about one without at least considering (in part) the other.

    You cant say Affiliate A is worth $XX and Affiliate B is worth $X without considering how much each are being paid on an individual basis, based on their sales volume.

    Just because Affiliate A is being paid $XX per sale and Affiliate B is being paid $X for each sale they send, that doesnt mean that Affiliate A is costing you more as a program. It just means they are being paid more as an affiliate.

    Regards,

    Lee


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