Two-Tier Affiliate Programs are Advantageous over One-Tier Affiliate Programs
A two-tier program, affiliates are allowed to recruit an army of sub-affiliates that would make a sale and earning commissions.
Two-Tier Affiliate Programs recruit sub-affiliates and are paid a small percentage of the sales these sub-affiliates generate. The process is simple to be explained and understand. For instance where the affiliates would earn 30% commission for selling a product himself if he join an affiliate program or start an affiliate program with a single tier affiliate program, there he would earn 30% commission for selling that product himself and in addition to it he will earn 10% commission as well when one of the sub-affiliates makes a sale. This is very profitable for the affiliate as he can recruit an army of sub-affiliates, all earning commissions for him without any effort on his part except for the initial recruiting process.
Now it is your turn and your decision whether you would be joining an affiliate program or start an affiliate program of your own with two-tier affiliate program. You will only earn a commission on any sales you make with a single tier program and if you are running your own affiliate program, you pay your affiliates a commission for any sales they refer but with a two-tier program, affiliates are allowed to recruit an army of sub-affiliates that would make a sale and earning commissions for you which is more profitable over single tier programs without any effort on your part except for the initial recruiting process.
Many people turn away from opting two-tier affiliate program thinking that it would cost them more but it is not true. For instance if you are an owner of an affiliate program with an average affiliate and Mr. X is one of them having a web site that receives average traffic and also has an ezine with thousands of subscribers published monthly. By posting your affiliate links to his web site, he starts the work of promoting your products to his ezine list. Initially he starts with a perk but later his sales begin to drop when the market gets impregnated with your products. This situation further affects your commissions that are directly proportional to your sales. But this is not encountered with a two-tier affiliate program. Instead you can incite your existing affiliates to recruit other people to your affiliate program who will advocate the increase sales of your products.
There is not only an increase in the income with increased sales but there are chances to construct a large customer base to which you can sell your products. Therefore with two tier affiliate programs you are rewarded with increase sale and increase income, potential customers, life time loyalty of the customers and an army of reliable sub-affiliates.
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