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Originally Posted by SilentKnight
Lately we've been toying with the idea of starting an affiliate program for our various Kastle Archives sites.
We'll likely go with the typical 50/50 revshare split.
But after crunching a few numbers, subtracting our various expenses (hosting, Verotel fees, etc.) and whatnot, it came down to only a 15% net profit for ourselves.
So for example, on every $100 in affiliate sales, we'd only see $15 of that.
Is this typical?
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I don't what numbers you could crunch before actually getting affiliates in -
Look at the biz now and you know what profit you are making - Paying an affiliate 50% doesn't mean 50% for you, for sure - But it should be much more that 15%
Every partner sale is a bonus - But if you want to stay a smallish company (I don't mean that to belittle you - ) You can grow very nicely with a programme and by looking after your partners, see them earn cash as well as you -
If, you still do your own marketing and budgeting, you will see your sales grow and your partner sales grow, and you will also see ways of ensuring that growth at the right costs -