Affiliate Profit
Affiliate Profit
Affiliate Profit
Using Clickbank payout stats to calculate the average refund rate of an affiliate program
In its marketplace, Clickbank publishes payout stats for affiliate programs. The $Earned/Sale factor gives us exactly what we need to calculate the average refund rate of a program.
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The $Earned/Sale is the average net amount earned per affiliate per referred sale. This number is mainly impacted by refunds and it reveals the real commission earned by affiliates. With this number, you can have an inner look at the real performance of affiliates programs.
The average refund rate of an affiliate program is:
(Commission - $Earned)/Commission = Average Refund Rate
What is the refund rate of popular affiliate programs at Clickbank?
As an example, we have looked at three affiliate programs selling paid surveys databases. We have found their refund rates very high! You will be surprised at discovering how much money affiliates can lose when promoting these programs:
- SurveyScout: 16.2% refund rate!
- Survey Platinum: 20.9% refund rate!
- My Consumer Survey: 35.2% refund rate!
To get into the details, on November 29th 2005 figures were as following:
SurveyScout
Affiliate Commission: $23.50
Average $Earned/Sale: $19.69
Refund Rate: (23.50 - 19.69) / 23.50 = 16.2%
Example: For 100 referred sales you should earn $2,350. In fact you will get only $1,969 because 16 customers out of 100 have requested their money back!
Survey Platinum
Affiliate Commission: $23.50
Average $Earned/Sale: $18.58
Refund Rate: (23.50 - 18.58) / 23.50 = 20.9%
Example: For 100 referred sales you should earn $2,350. In fact you will get only $1,858 because 21 customers out of 100 have requested their money back!
My Consumer Survey
Affiliate Commission: $40.84
Average $Earned/Sale: $26.43
Refund Rate: (40.84 - 26.43) / 40.84 = 35.2%
Example: For 100 referred sales you should earn $4,084. In fact you will get only $2,643 because 35 customers out of 100 have requested their money back!
Remark: My Consumer Survey has a poorly designed site and a high price for buyers. We estimate its conversion rate to be significantly lower than other paid surveys programs. Despite its high commission, affiliates will lose the most money with this program.
We learn three lessons about these paid surveys affiliate programs:
- A lot of customers are dissatisfied.
- Affiliates lose big money.
- The quality of these programs is very questionable.
What should you do to stop the bleeding?
You have no influence on the quality of the affiliate programs you promote. Your only real influence is on the quality of your recommendation!
Giving your top recommendation to a very professional affiliate program that delivers the utmost quality services to customers will keep your profit as high and as safe as possible.
In the field of paid surveys and mystery shopping jobs, the most professional program available today is MaximumPaidSurveys.com.
Maximum Paid Surveys is a premium database of paid surveys and mystery shopping jobs. It delivers a superior value to both registered users and affiliate partners due to its very high quality.
Value to customers It includes:
- Rich content
- Good looking website
- State-of-the-art organization
- Friendly functionality
- Affordable Price for most visitors
- Detailed documentation
- Bonuses strengthening the main offer
- Timely Customer Support
The New Level of Article Marketing Started 2010 http://www.TopArticleSubmission.com/
Value to affiliates It includes:
- High conversion rate
- High commission
- Low refund rate
- Commission paid on time
- Good affiliate support
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