Hi guys,
My name is Jon and I'm new to affiliate marketing.
My previous business partners are looking to partner/hire me to build out their Facebook campaigns for their existing offers.
They are primarily Adwords based but are looking to expand into Facebook and want me to be their guy to help drive more Facebook sales.
The compensation they offered would be 10% of the net revenue.
Their margins are about 30% so this means I would be getting a third of all sales...
Since I'm a noob to all this I'm wondering if this is a fair compensation structure or should I model it differently like by a concrete CPS/CPA or request for a higher percentage?
Also, should I create an agreement that establishes the exact percentage/payout that they are promising to pay me on results?
**** A little background ****
I was bought out by them as a partner year ago and I just don't want to be fucked again and have them use me to build out their campaigns so that they can take the data and replace me.
Just trying to be cautious before making any commitments.
The deal seems to be very enticing, I would just like to make sure I approach it right and have my ass covered.
Any advice would help!
Thank you
Jon
A third of net profits sounds like a pretty good deal to me actually... the question is, how well the products will convert with FB traffic and what volume you can sell there - but 30%+ of profits is a solid deal.
I would sort out a few things with them :
- what if you don't reach any profits, will they still pay you based on the revenue generated?
- definitely sign an agreement with them, aim for some period of time too, so they don't just end the deal after a month
- who's gonna pay for the ads - should be them of course
Mat.
Hey Mat,
Again, thanks for the advice! Those are great things to bring up.