How does the affiliate tree work (tier commission)

Each affiliate in the software has his own downline, his own tree. You can have many different top affiliates who were not referred by anyone and directly signed up to your program. All of these would be building their own sub-affiliate tree. At the following example Marry is one of your top affiliates and this is her affiliate army:

Commission Settings

Let's say you have the following commissions set up in your campaign:

  • commission (1st tier): 20%
  • 2nd tier: 10%
  • 3rd tier: 5%
  • 4th tier: 3%
  • 5th tier: 2%

Example 1

When Timothy is a referrer of a $100 sale, then:

  • Timothy gets $20 (1st tier commission)
  • Richard gets $10 (2nd tier commission)
  • David gets $5 (3rd tier commisison)
  • Jane gets $3 (4th tier commission)
  • Marry gets $2 (5th tier commission)

You would pay $40 (20+10+5+3+2) in commissions to your affiliates for this sale.

Example 2

When Thomas is a referrer of a $50 sale, then:

  • Thomas gets $10 (20% of order total cost)
  • John gets $5 (10% of order total cost)
  • Marry gets $2.5 (5% of order total cost)

Since there are no more tiers in this particular sale you would pay $17.5 (10+5+2.5) in commissions to your affiliates for this sale.

If you should want to pay out the commissions from missing tiers to Thomas, so that he would get $12.5 in total [ $1.5 (3%) from tier 4 and $1 (2%) from tier 5 ], then you are interested in the Rest Commissions plugin.