Comments on: Why we’re shutting down our affiliate program

By: Peter

Peter — Thu, 08 Mar 2012 05:05:42 +0000

Got a great template and lots of support from your site. Thank you and agree with your reasoning. Same applies in other areas, talked to a guy who boasts he gets 2-3 fab meals a week in the best restaurants as his wife does write ups on them. Good luck to him but the articles she writes aint worth the paper they are written on as far as I am concerned.

By: Drew Strojny

Drew Strojny — Wed, 07 Mar 2012 18:43:41 +0000

Thanks for the detailed follow up Jason, I appreciate it. We could have probably fixed two of the issues (fraud and spam) with better management of the program. I agree with you (and M.K.) on that point. But, even if we did, we’re still left with the fake endorsement problem. No matter how you slice it, being paid to endorse a product is a conflict of interest 99% of the time, and it rarely benefits the consumer.

By: Jason Lancaster

Jason Lancaster — Wed, 07 Mar 2012 18:31:06 +0000

I agree with M.K. – the solution to solving many of the problems you’ve listed isn’t to can the program. It’s better management.

I have first-hand knowledge of running a fairly large affiliate management team (I was the manager at what is now Affiliate.com for a short time) and I understand that it can be a tremendous burden. Still, I think that there were some other solutions on the table.

Making the affiliate program invite only, for example, would have solved or massively reduced the spam application problems. Instead of reviewing apps, Jennifer could have looked for websites the ethically reviewed themes and invited them to join…it’s a little harder, but it helps maintain quality.

There’s also the fact that most affiliate program revenue is generated by about 10% of the affiliates, while the other 90% do nothing (or worse, cause trouble). It’s not unheard of to fire affiliates who don’t produce, or at the very least put them on probation.

I know it’s easy for me to Monday-morning quarterback, and I know that I’m late to this party, but I’d hate to see you give up on an excellent sales tool. I’d like to see you guys be successful for a long, long time. ;-)

By: Drew Strojny

Drew Strojny — Thu, 23 Feb 2012 00:35:24 +0000

Susan: We didn’t do any verification process, but we did consider keeping a small circle of affiliates (as most of the revenue was from that small circle anyhow). In the end, even if we solved the spam and fraud issues, the fake endorsement part of the equation just doesn’t sit right.

By: Drew Strojny

Drew Strojny — Wed, 22 Feb 2012 21:48:55 +0000

Great point Michael, I hadn’t even thought of it that way :)

By: Michael

Michael — Wed, 22 Feb 2012 14:14:06 +0000

As a website developer I get incensed every time I contemplate the purchase of an individual premium theme or package of themes only to learn that “affiliates” make roughly 50% commissions. So I”m paying, let’s say, $300 for a theme package while in the back of my head I realize that if I buy the same package through an affiliate, I still pay $300 but the developer of that theme package receives $150.

So just sell me the package for $150. I feel like I’m throwing my money away by buying through an affiliate relationship. And there is no value added either.

I absolutely detest affiliate programs, yet as you point out in the case of StudioPress anyway, tremendous sales can be generated as a result of an affiliate program. But that sure doesn’t benefit me. So while it may be a dilemma, I do prefer your views on affiliate programs. Your abolition of it is a respectable decision.

By: Drew Strojny

Drew Strojny — Sun, 19 Feb 2012 16:02:46 +0000

Immi: Thanks so much, that’s great to hear :)

Dan: Thanks for the support!

By: Immanuel Henne

Immanuel Henne — Sun, 19 Feb 2012 14:47:54 +0000

Hi Drew, I think what matters in business is trust. I always counted the most I think but now with the Internet trust plays a new role. The virtual world allows to hide behind … it makes “things” (or people) less personal and partially leads to less accountability. I don’t think that that’s always the case but my point is more that there is a higher risk in the virtual world as there is in the face to face world. What I always liked at your company is that I truly felt that sense of trust. Your posts and your video (I haven one some months ago) made be feel connected. What you are saying and how you do explain your business and do your business makes me believe in your company and in your good work. Thank you very much for that. Btw. I love your Themes the most of all in the internet. I look forward to more.
Yours, immi (Immanuel Henne)

By: Dan Reese

Dan Reese — Thu, 09 Feb 2012 02:32:14 +0000

While I’m a little disappointed, I understand your reasons. But what I wanted to say is thanks for paying out the fraction of money owed. I think that shows some class.

Thanks and good luck.

By: Susan

Susan — Wed, 08 Feb 2012 23:35:18 +0000

Sad, to see such a move, being an affiliate. I’ve been an affiliate manager myself and understand the concerns with spam or leads that cost you money, when the customer is not real, etc. Did your team try a verification process, collect EINs or SSNs and such to validate your circle of affiliates? Or perhaps only allow a small circle of affiliates to operate (perhaps the ones that bring you the most traffic)?