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Understanding Commissions : How do you Earn them?

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Here's a simple overview of how commissions work:

You find a product to promote and get your personal Link.

You promote the product online.

A customer clicks on your link, goes to the vendor's website, and ends up purchasing the product.

Merchant processes the sale and gives you credit for promoting the sale.

Your Affiliate Network account would show the sale in your account.

Your commission is immediately reflected in your account with Affiliate Network.

How Commissions Are Calculated and Reported

There are different ways on How Commissions are Calculated.

You can be paid in any of the following ways

CPC : Cost per click, generally how Google Adsense pays

CPM : Cost per 1000 banner Impressions.

CPA : Cost per Acquisitions. How an Acquisition is defined in individual to every Merchant

CPL : Cost per Lead, Many sites have a sign up page. If a user signs up, you get paid

CPS : Cost per Sale, Earnings based on Total sales made by you.

Percentage : Some Networks also share Percentage of Customer Spending.

There can be other ways also, but most of them fill in the above category in some way or the other

Most networks have a minimum threshold, but there is no limit to your maximum earnings.

How do I get Paid.

The check will be sent to you at the address you have mentioned to them at the time of Registration. You can also receiving your earnings in PayPal, or your Bank account also. High volume payments are also sent wire if you require

Be aware if there is Fraud in the way you promote products, your commissions can also be deducted and your account cancelled. Always be aware of Merchant policies and Network policies when promoting them.

At times even these two are different. For Example, Some Merchants do not allow your offers to be promoted on Email, but allow banner promotion. This is more specific to a Merchant but may not apply to other offers in the same network.

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