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Commission Structure on Salestomer.com

Salestomer.com offers an innovative commission system which not only pays Salestomers a cash commission on a sale, but also allows them to earn commission by simply sharing and communicating the various offers to their own network of contacts. That’s right - Make money by simply telling people that you found a deal.

 

How does this work?

Salestomer.com has sophisticated tracking system, where every Salestomer is assigned a unique tracking code within the system. This allows the system to identify and track the Salestomer’s sales and participation efforts. A salestomer may receive two types of commission: a sales commision and a participation commission

 

Sales Commission

A 5% cash sales commission is paid to the Salestomer based on referral sales. You get paid whenever your friends click on your referral link and purchase the product you endorsed. 

 

Participation Commission

Salestomer.com offers a participation commission plan that pays a "salary" to Salestomers who actively promote a product. Under the participation commission plan, each Salestomer who shares a product in their social networks will received a portion of the total participation commission offered by the business. Each Salestomer is assigned a unique tracking code to track their sales success and efforts in participation. This means that as a Salestomer, not only will you receive compensation for referral sales but also for your online efforts in promoting the featured products/services.

 

The participation commission encourages active sharing of a product or service. The size of the participation commission will depend on the recency of your sharing. The more recently a Salestomer shares the product online, the larger the portion of the commission the Salestomer will receive. 

 

Example:

 

Product X is offered on Salestomer.com with the price of $50. The seller offers a 5% sales commission to the salestomer who make the referrral sales, and a 5% participation commission to be shared by all other salestomers who share the product. 

 

Three Salestomers, A, B and C all are familiar with Product X and want to promote the deal to their friends and family.  Each person promotes to their various groups utilizing Facebook and Twitter.

 

Salestomer C’s contact actually purchases the product and Salestomer C will earn the 5% sales commission.

 

Even though Salestomer A and B have not sold this product, they will both earn a portion of this sale in the form of the participation commission, just by their efforts in sharing the product with social media. The 5% participation commission will be divided between Salestomer A and Salestomer B, based upon the recency of their sharing. The Salestomer system tracks social media shares and will update and rank the Salestomer’s efforts in real time. 

 

In this case, Salestomer B shared the product on their social media networks more recently than Salestomer A and will receive a larger piece of the commission.

 

Salestomer A = 

Shared the product on their social networks at 9:00 AM

--->Receives their portion of participation commission: cash commission of $1.67**

 

Salestomer B = 

Shared the product on their social networks at 11:00 am

---> Receives their portion of participation commission: cash commission of $3.33**

 

Salestomer C 

Shared the product on their social network at 11:30 am; and Salestomer C’s contact buys the product at 11:45 AM.

----> Salestomer C earns 5% sales commision, in this case a cash commission of $5 (5% of $50)

 

 

** The calculation of the participation commission is based on the recency of the social media sharing.

 

The formula for dividing the participation commission is as follows: 

(Salestomer’s Individual Ranking) / (Total of all participating Salestomer’s Rankings)

 

The system will keep a ranking of all the Salestomer’s who shared a product. In this case, Salestomer B shared the product more recently than A; therefore, Salestomer B will ranked as the 2nd, and Salestomer A as the 1st.

 

B's share is calculated with the following formula:

(B's ranking ) / (A's ranking + B's ranking) = 2/(1+2)= 2/3. 

Therefore, Salestomer B receives ⅔ of the $5 commission, a total of $3.33.

 

Using the same formula, A's share of the participation commision is claculated as (A's ranking ) / (A's ranking + B's ranking) = 1/(1+2)= 1/3.

Therefore, Salestomer A receives ⅓ of the $5 participation commission, a total of $1.67.

 


Published:Aug 31, 2011

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