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Originally Posted by Chop Smith
3. You could advertise a 60/40 split and hide the fact that you are going to pay based on gross less processing and in dollars be at about the same amount as a true 50/50 split.
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I've always looked at that as "penciling the deal" and I never like it when someone tries to do that to me. Anytime I have to check the TOS to be sure how I'll be paid, and find something like that, it turns me off to the program.
I agree with Chop that #1 is a better way, although I take a little different stance on incentive pay. We pay out 50% to 70% of gross, with the sliding percentage based on how many signups someone can generate. If some Mr. Big would like a higher payout on his account, I don't have any reservations about setting his account that way from the start. Of course, I don't have reservations about asking for more traffic and more orders later on, if I don't see that the account is performing like we all thought it would.
I'd like to treat all partners the same, and I try to when it comes to helping them. Usually the Mr Bigs don't need the same help and hand-holding that some of our smaller accounts do. Anytime we can help a smaller webmaster start earning at a higher percentage, I think that's a good thing.
One other thing to check on, SpeedyG, is whether the program will be charging you back for anything. We don't do that, but there are also some programs that will take money from you for things like chargebacks from surfers.
Like anything else, it's a case of webmaster beware.