As an affiliate marketer, accurate and timely payments are everything. It can mean the difference between earning a decent living and not being able to pay your bills at the end of the month. In a recent study conducted by global payment provider Tiplati, results showed that this is a common concern among affiliate marketers. Here are the three key findings from their survey.
Payment Issues Can Ruin an Affiliate Relationship
Nearly 41% of affiliates have stopped working with an affiliate network because of a payment issue. This is a big deal, and should serve as a wakeup call to the networks that consistently have issues delivering payments to affiliates. Interestingly, of the affiliates who had not yet ended a relationship because of payment issues, 65% say they would if there were continuous payment problems.
Timeliness and Payment Variety Matters
99.9% of affiliates stated that being paid on time is important and 93% of affiliates say they appreciate a broad choice of payment methods. Being paid on time is crucial for affiliate marketers, as is the ability to receive payments in a variety of methods. Networks that solely rely on one payment platform not only run the risk of losing affiliates, but also risk their entire business model, as they’re essentially “putting all of their eggs in one basket”. Not a good option for the network or the affiliate.
In addition to timeliness and flexible payment options, affiliates also want to be able to verify payments online, (99%) as well as be notified when their payments arrive (98%)
Different Payment Experiences for U.S Based and Global Affiliates
34.8% of non-U.S. affiliates have had a situation where they did not receive payment compared to 13% of U.S. affiliates. U.S. based affiliates prefer PayPal and ACH, but global affiliates prefer PayPal and wire transfers (and show a greater willingness to pay for transfer fees). Echeck /International ACH was the third most popular payment method for global affiliates.
The survey showed that US based affiliates had very different payment experiences than their global counterparts. The overall experience of global affiliates was considered negative (20%) compared to US affiliates who felt the same way (9%).
The Twist View
With so many of our affiliates relying solely on their affiliate commissions from our MoreNiche network to support themselves and their families, this is a topic close to our hearts. Twist360 Operations Director Kirstie Eager commented: “We work very hard to ensure we are a reliable affiliate network, particularly when it comes to paying affiliates. We believe that affiliates should come first, and we do our best to ensure our merchants keep their accounts well funded with commissions, even implementing penalties if they don’t. We also guarantee affiliate payments, so if a merchant leaves the network without paying us, we will always pay our affiliates, even if that comes from our own pockets.”
Measures like these are something we believe all affiliate networks should be doing as a matter of course. But sadly, as the results of this survey prove, this is not always the case.
The study, which took place in June and July of 2015, included 250 affiliates with earnings that range from $14K per year to over $200K yearly. Click here to read the full report.