Definition:

A two-tier affiliate program refers to an affiliate program composition that permits affiliates to generate commissions on their conversions. It also includes commission earned from the exchange associated with the webmaster.

Information:

A two-tier affiliate program is also known as a multi-tier program (two or more levels), comprising the first level of commission like a regular affiliate program. The dissimilarity that exists is the added tier(s). Hence, advertisers can also generate commission on sales produced by individuals they introduced the program to. Seldom compensation rates can also be composed in a shorter means like tier1/tier2 (ex. 10%/5%).

It is significant to comprehend one of the quality prints to conclude if the estimation of the second-tier is a direct rate (% of the revenue earned by “B”) or a percentage of a percentage (% of the earnings produced by “B”).

Affiliate programs do not have a definite quantity of tiers, though there are some possible restrictions. As more tiers unite together, the program draws webmasters who want to earn revenue from the crafts of other individuals; instead of working themselves.

Related Terms:

affiliate marketing, affiliate network, payment threshold, return days.

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