MoreNiche Lead The Way - Affiliate Split Commissions

June 15, 2010 (PRLEAP.COM) Technology News
UK based Affiliate marketing company MoreNiche Ltd are set to turn the world of affiliate marketing on its head.

Affiliate marketing simply put is when owners of websites advertise and sell companies products for a range of commissions. Effective worldwide, Moreniche themselves have around 100,000 affiliates on their books selling a wide range of health and beauty products, weight loss and sexual health merchandise.

The industry has pretty much had a set rule in that it is the affiliate that refers the buyer from their own website to the merchant's website last, where the buyer physically makes a purchase that will receive the commission. This can be anything from 3% right up to 50% of the order value.

With their unique way of tracking visitors to merchant sites, MoreNiche have realised that buyers on many occasions go back to merchant sites many times before making a purchase, as they do this they may go through several different affiliate sites en-route to the purchase.

The industry has often argued that it is the affiliate delivering the last click that should win the commission, this is the standard, but others argue that it may well be the first affiliate that introduces the brand to the purchaser in the first place, but then miss out on the sale as the buyer goes back to buy via another website.

Tracking has shown that more than 15 affiliates can be involved in one purchase. So who gets the commission? Currently, the last one in the chain.

Managing Director of MoreNiche; Mr Andrew Slack has announced a ground breaking alternative to this rule. They intend to bring in a split commission system that will hopefully reward more people in the chain. The merchants themselves will be given the choice as to whether they want to pay commission to the first referrer, the last or a mixture of all involved.

The scheme will be rolling out initially using one merchant. Proactol sell one of the most effective weight loss products on the market, being forever forward thinking, Proactol are keen to reward affiliates that are involved in any part of the purchase of their product.

The commission rate for the affiliate who actually refers the buyer to the final point of sale will still get the most commission, but they will now be offering a flat rate of £3.50 / $5.00 to the affiliate who first introduced the buyer to their product.

Mr Slack himself feels that the first referrer is quite often just as important as the final affiliate in the sales chain, it is them who have brought the product to the buyers attention in the first place, and they then often go on to lose out when it comes to the buyer making the purchase via other websites that offer discount vouchers or coupons. MoreNiche intend to encourage other merchants to use this system in the future.

Watch the video announcement:

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