Revolutionizing Affiliate Earnings: A Strategic Shift to Performance-Driven Commission Structure

$7,500
Top affiliate’s earnings growing from $2500.
$150
Earnings per order growing from $50.
44.7%
Month-over-Month affiliate commissions.
CHALLENGE
THE GEN3 APPROACH
Our team took a collaborative approach to overhaul the existing commission framework. We transitioned from bespoke commissions to a click attribution-based model. This new structure considered two factors: the type of package purchased (Silver, Gold, Platinum) and the affiliate’s position in the sales funnel (low, mid, high). The revised commissions were as follows:
By package: Silver – $25, Gold – $50, Platinum – $75.
By clickstream position: Last touch – $25, Middle touch – $50, First touch – $75.
THE RESULTS
- Affiliates, who previously earned a flat rate of $50 per order, could now earn up to $150 per order, incentivizing them to promote higher-tier packages.
- A top affiliate’s earnings skyrocketed from $2,500 to approximately $7,500 monthly under the new model.
- Month-over-Month affiliate commissions soared by 44.7%.
- For advertisers, this new model provided a clearer insight into each affiliate’s value, distinguishing those driving higher-tier package sales and identifying funnel-specific performance.
More case studies
Streaming Service Cuts Customer Acquisition Cost by 23% With Strategic Affiliate Model Optimization
Streaming service cuts customer acquisition cost by 23% with strategic affiliate model optimization.23%CAC Reduction+10%Trial-to-Paid Conversion Increase+1,500%Subscription GrowthThe ChallengeA US-based streaming service engaged Gen3 to solve a...
How a Luxury Brand Drew +530 New Customers Through Affiliate Marketing Without Discounts
How a luxury brand drew +530 new customers through affiliate marketing without discounts.+530New Customers+620Total Orders3.92ROAS (Return on Ad Spend)The ChallengeA luxury beauty brand challenged Gen3 to prove that affiliate marketing for luxury...
Menswear Brand Cuts Affiliate Costs by 18% While Increasing ROAS by +22% Through Data-Driven Optimization
Menswear brand cuts affiliate costs by 18% while increasing ROAS by +22% through data-driven optimization.+22% ROAS (Return on Ad Spend)18%Commission Cost Reduction+25%Revenue GrowthThe ChallengeA modern menswear brand approached Gen3 Marketing to...