Need some help selling your product?
Well, you can choose from affiliates and resellers.
Read on to learn the difference and what to cover in your agreements.
Affiliates are typically involved in the pre-sale stage while resellers usually have a more holistic role from pre-sale to after sales support.
Affiliates get paid based on a performance based arrangement while resellers typically purchase your product and keep the profit margin on the products sold.
If affiliates drive visitors to your website, you might pay them per click (PPC).
And, if the visitors purchase your product, you may further reward the affiliate with extra commission.
So here are the key ways you can work with affiliates:
Here’s what’s usually covered in an affiliate agreement:
A reseller purchases your software/product to resell it to others and make a profit margin.
Unlike the affiliates which are usually more involved in the pre-sales interaction i.e. driving traffic to your website, resellers may also speak to your end-users, resolve their queries, answer phone calls, take care of invoicing and offer after sales support.
Here’s what’s usually covered in a reseller agreement:
If you’re unsure which to use, ask yourself if you would like to a) reward your sellers for pre-sale marketing efforts (driving clicks to your website) or b) have your resellers purchase your product, and re-sell and keep profits.
Finally, if you are still in doubt, it helps to get some advice.
Got any questions or comments? Leave them below.
I wish you every success in your ventures!
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