How Does Multi-tire Affiliates Marketing Programs Works?
To discuss Multi-Tire Affiliate Marketing Programs we are going to take an example of web hosting affiliate programs
. However, many web host avoid using Multi-Tire Affiliate Marketing Programs due to some complication regarding to tracking system. However, some web host rely on 2-Tire Affiliate Programs. Anyway back to the topic let us discuss the Multi-Tire Affiliate Marketing Programs Structure.
Jeremy informs his friend Paul about this Web Hosting Affiliate Program. Paul has a related website to this affiliate program and like to join this affiliate program to make some extra money from his website. Jeremy provides his affiliate link to Paul to join web hosting affiliate program. This link is produced by Web Host when Jeremy logs into his account. This link describes his unique Affiliate ID so Jeremy will get credit for referring Paul.
Paul follows Jeremy's link and sign up web hosting affiliate program. Paul now earns Tier 1 commission on sales made directly form his website. Jeremy earns Tier 1 commission on all sales from his site and also earns Tier 2 commission on sales from Paul's website.
Now Suppose Sandra comes along and sign up the affiliate program after being referred by Paul. Now Paul will earn Tier 2 commission on all of Sandra's sales, and Jeremy will earn Tier 3 commission on Sandra's sales as well.
The Multi-Tier affiliates marketing strategy is a great way of motivating your existing affiliates to introduce new affiliates to your network. This is just an example to shows only 3 Tiers while web hosts are capable of running an affiliate marketing program with up to 5 Tires.
The actual concept behind this is, as an affiliate yourself, you have the power to sign up other affiliates under you. It is an ideal solution to earn money from your affiliates network. Also it should become a good sign for Web Hosting Company, because web host will get more affiliates. The affiliates have the power to earn money from the work of the affiliates they refer.