Chasing the highest commission without getting burned

Fifty percent of a twenty-nine dollar monthly subscription is fourteen dollars a month. Ten percent of a twelve thousand dollar annual contract is one thousand two hundred dollars. The smaller percentage is the bigger commission by a wide margin.

Multiply the rate by a realistic deal value before you feel anything about the number. If the product sells for under fifty dollars a month, even a huge percentage is a volume game you may not be able to play yet.

Check the minimum payout against the commission per deal. A 200 dollar floor on a 14 dollar commission means fourteen closed deals before you see a cent, and that is before refunds.

Then read the clawback window. A generous rate with an open-ended clawback is a loan, not a commission. Anything longer than the customer's typical use period should be discounted hard in your planning.

High rates usually mean one of three things. The vendor is early and paying for distribution, which is a good deal if you can educate the market. The category is saturated and the vendor is buying attention. Or the product has retention problems and commission is the cheapest way to replace churn.

You can tell the difference by asking two questions: what does a typical customer pay after six months, and what share of your audience would still be using it in a year. Partners who ask both before applying avoid most bad programs.

Rank programs by commission per hundred dollars of deal value, then by how quickly that money clears, then by how easy the buyer is to reach. That ordering keeps you honest when a big number is staring at you.

The insights page does this ranking from live directory data. Use it as a shortlist, then apply the three tests yourself, because a score cannot read the clawback clause for you.

• Rate multiplied by realistic deal value, always.
• Payout floor divided by commission per deal, to see the wait.
• Clawback length compared with the customer's use period.