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Originally Posted by After Shock Media
I agree with you and also disagree in some ways.
Technically the whole "partners" thing really needs to be ironed out better I think to help fix all of these issues. For instance the affiliate is not being a true partner as they do not cover half of everything aside from what we charge the member, possibly chargebacks, and processing - though that is a hot button topic as well.
It is a lopsided partnership at very least. Gets even more lopsided as the more tools and resources are used by the affiliate. Plus the affiliate really carries no real financial risk unless the sponsor goes under and they loose potential future rebills. (OK they have some risk but again lopsided).
So can anyone answer and explain a simple way to make it so that the affiliate gets his cut of every single members area upsell? Hell lets assume that a paysite has a VOD upsell, a sex store upsell, and 2 related paysites where they did content trades and upsell each other. All different companies.
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Not so. People always say the program spends this and the program spends that and the affiliate spends nothing.
Bullshit.
The most expensive commodity in this scenario is traffic. That's what affiliates have that affiliate program owners want.
Try buying traffic straight up on a per click or per sale or per impression basis, and odds are it's going to cost you alot more than the 50% of the revenue you're giving to affiliates, PLUS you have to pay out upfront and take the risk that you'll convert. With the affiliate program you only payout as the money comes in.
If you have a revshare program instead of a per click, per sale, or per whatever program, then what you're asking me to do is trust you. You don't have to make a big expenditure upfront, and in exchange I get a piece of the pie long term.
The money made from x-sells, upsells, exit consoles, mailers, etc is all calculated into the payout on a PPS program. If you want my traffic on a revshare basis, then you either need a way for me to share in those other revenue streams, or you don't use them.