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6 Block Super Affiliate Formula - Sells Affiliate Products like CRAZY...
What if I showed you a clear roadmap to affiliate riches in 6 simple steps ? Would YOU be interested ? If you are ready to put in some efforts and determination, your success is guaranteed with this system. Follow these 6 simple steps to...
Are Affiliate Marketing Mentors Necessary?
by Fred Farah Affiliate Marketing is the on-line equivalent of the off-line 'commissioned salesman", and has been around from the time the first ebusiness was created. It's among the most popular money-making methods used by online...
Is a 2-Tier Program Affiliate or MLM?
What is an affiliate program? An affiliate program pays a sales-based commission to participants when they attract paying customers to the business. Such a program is free to participate in as an affiliate. If you bring in sales, you will receive...
To Buy or Not to Buy? A Money-Making Tip for Affiliates
A few days ago, a member of one of my affiliate program downlines contacted me with this email: 'I've been promoting this product for nearly 5 months now and I haven't sold anything. I've tried everything you can think of! I'm about ready to...
Why You Should Promote Residual Affiliate Programs
Are you a webmaster in need of additional income? Or are you planning to set up an online business but you still don't have any product to sell? If so, affiliate marketing may be the best solution for your problems. With affiliate marketing, you...
 
What is a Tier in Affiliate Marketing?

The word "tier" shows up a lot in the affiliate marketing industry. In a general sense a tier is a step or level, but what does this mean in the context of affiliate marketing. The answer is: it depends.

Downline Levels
The most common meaning of tier is a carry-over from the compensation plans of network marketing companies that were in place before the Internet boom. When you introduce a new entrepreneur to the program, he is placed on your second tier. If that new entrepreneur then introduced his sister to the program, she would be placed on your third tier.

If the sister brought in a paying customer, she would receive a first tier commission. Her brother would receive a second tier commission, while you received a third tier commission (if the compensation plan included a third tier). In practice, an affiliate program can offer commissions on any number of tiers, although the vast majority of online affiliate programs only pay commissions on one or two tiers of activity.

Sales Volume
You would get a different picture of the word tier from Amazon's compensation plan, where it refers to your sales volume. (The following numbers don't reflect Amazon's actual compensation plan, but they serve as an example.) On the first $500 worth of merchandise you sell, you receive a 10% commission. Up to $500 is the first tier. The second tier is for sales up to $1500. If you manage to sell


between $500 and $1500, you will earn 11% commission. Each tier is an additional range of monthly sales in which you earn a higher commission (or receive other forms of compensation).

The Problem
The confusion arises when affiliate programs emphasize that they run a 2-tier compensation plan in their affiliate recruiting efforts. In most cases, this refers to the downline levels definition, and participants can expect to receive compensation based on the performance of affiliates they introduce to the program.

Occasionally, a program makes this claim when referring to sales volume tiers. This isn't inaccurate, but it is misleading. The managers of these programs are almost never intentionally trying to mislead. More often, they have thoughtfully crafted a compensation plan that rewards affiliates who perform well, and they want to announce that feature to all potential affiliates.

Who's Right?
You could make an argument for either definition of tier. If you're trying to communicate with other people in the affiliate industry, though, you need to give strong consideration to which meaning is generally accepted by most people. That is the downline levels definition.

About the Author

Clay Mabbitt writes articles about online income opportunities. He is the founder of a community of Internet entrepreneurs sharing knowledge and experience at http://www.affiliatescreen.com

 

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Launched in 1996, Associates is Amazon.com's affiliate marketing program. ... As one of the first online affiliate marketing programs, Associates has a ...
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The world's first and largest online casino. Voted Best Online Casino 2003 by Gambling Online Magazine.
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Pay per click affiliate program.
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Now you can be part of the excitement by joining the iTunes Affiliate Program.* ... Apply to the Apple Store Affiliate Program, with a wide selection of ...
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AffiliateFuture
There are no set-up fees for becoming an affiliate with AffiliateFuture. ... Affiliates please login below. If you are a merchant click here. ...
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Affiliate network offering tracking and management solutions for maintaining an affiliate program.
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webmasters affiliate programs
Webmasters earn money with today's most effective online advertising technology, contextual advertising at a cost effective metric of CPC, PPC, CPM or CPV.
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UK Affiliate Marketing Forum - a4uforum.co.uk
UK Affiliate marketing industry forum from affiliates4u featuring news, discussion, and affiliate program resources.
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Affiliate programs directory - Associate Programs.com
A searchable directory of rated affiliate programs.
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Affiliate Summit 2007 West - Affiliate Marketing in Las Vegas ...
Affiliate Summit 2007 West at Bally's Las Vegas, January 21-23, 2007. Keynote Speaker will be Michael Sanchez, CEO and Co-founder of ClubMom.com.
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