Company establishing affiliate program - input?

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bgmarket

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Nov 26, 2007
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My company currently sells on eBay, Amazon, and our own website. We're relaunching our ecommerce website next month on the X-Cart platform, and I'm investigating whether an affiliate program is an appropriate addition to our paid search and CSE traffic. We only recently expanded our sales channels, so we have a tiny portion of the market, and it appears there is a lot of room to grow. There are similar products out there that are higher quality, but ours are mid-range and much less expensive. According to customer feedback, we provide the best value by far, and we are the sole distributor of the brands we sell.

My first question is about whether affiliates will find the program enticing, given the following conditions: 10% commission on the order subtotal (in other words, not including shipping), average order subtotal of $172, current conversion of 2.17% (expected to rise after redesign), current average of 23 website orders per day. Affiliates could track their commissions using the X-Cart Affiliate Mod interface, balances over $200 paid out via check every two weeks.

Would limiting the program to 3-4 affiliates help attract 'better' affiliates? Is there even such thing as a 'better' affiliate?

Thanks for your input.
 


Limiting affiliates would be absurd imo. You don't pay them unless they bring you sales, what is the point to limiting that?
 
Don't limit affiliates you won't know who the super affiliate will be until they start, also we have no idea if it'll be good without telling us what you sell. If you sell something that is in a niche that is very hard to monetize for hobby sites then it could be very good.
 
I agree with the other guys, we really need more information. If your competitors are paying out twice as much and converting twice as much then your offer will not attract many. Limiting your program to 3 or 4 won't help you grow it very much and you first 3 or 4 affiliates aren't often your top producers a year down the road. How does your proposed program stack against your competitors?
 
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