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I'm a little confused now that TechCrunch has a story up. It seemed from the discussion here that you were only making money from your affiliates, but you also
by joshdotsmith 16y ago
I'm a little confused now that TechCrunch has a story up. It seemed from the discussion here that you were only making money from your affiliates, but you also charge upon conversion?
"Reward Level charges $5 per conversion, but if the company offering the reward is also a publisher with Reward Level’s widget installed, they only have to pay $2.50 per conversion."
Is this accurate?
If so, I might find it hard to justify paying $5 per conversion, especially for a .2-30% conversion rate increase. This means I'd be paying for every conversion, essentially spending what I'd normally spend and then $5 for each and every signup on top of that? No thanks. While this might make sense for some, it probably wouldn't make sense for those following the freemium model. Sounded great when it was "too good to be true," though.
- ktsmith 16y agoThe conversion rate increase appears to speak to the publisher, ie the company with the landing page being incentivized and not the company offering the reward. According to the tech crunch article the company offering the reward pays the $5 and the publisher gets the widget and offers the reward to their potential users for free.
- joshdotsmith 16y agoIt's a little unclear to me. The problem is with "the company offering the reward" language. I took that to mean the company that presents the reward for the signups, but you're saying it's the company actually offering the deal, e.g. Amazon. That makes more sense. So that company not only offers their reward but also pays $5 to Reward Level?
- ktsmith 16y agoThat's the way I interpreted it. It looks like RewardLevel is set up as a broker. They get publishers to install widgets on the sign up forms, that data is then passed to advertisers (the reward offerer) and RewardLevel makes a commission on the conversions at the advertisers end. I would also guess that while the advertiser may be giving out a reward to each sign up on the publisher site (discount, voucher, coupon, gift etc) they may not be paying $5 to RewardLevel each time. There's probably separate language that defines what a conversion is for the advertiser such as a signup or enrollment in service with the company providing the incentive in addition to the initial sign up on the publishers landing page. We'll have to see if Noah speaks to how advertisers sign up as it's been asked a couple of times.