Network Salary Question

Discussion in 'Networks Discussion' started by AffInsider, Jul 15, 2012.

  1. AffInsider

    AffInsider VIP

    Joined:
    Apr 23, 2011
    Messages:
    30
    Likes Received:
    0
    Trophy Points:
    0
    What is the going rate for a decent account manager or affiliate manager?

    I am assuming base pay plus commish but wanted to see if anyone had a better idea what the actual numbers are.

    Thanks and have a great day!
     
  2. DaMadHatter

    DaMadHatter Active Member

    Joined:
    Mar 1, 2011
    Messages:
    720
    Likes Received:
    51
    Trophy Points:
    28
    Location:
    In the Void
    Depends on a lot of factors. Including the size of the company.

    However, traditionally you are somewhere around $2000-3000.00 monthly base pay, with rest made up on revenue share or performance incentives.

    :22:
     
  3. DKPMO

    DKPMO VIP

    Joined:
    Mar 31, 2011
    Messages:
    1,452
    Likes Received:
    68
    Trophy Points:
    48
    Location:
    Elaborate Underground Base
    How would you normally structure the revshare / incentive comp plan? Percentages, goals, new business vs. existing accounts, etc
     
  4. mrbojangles

    mrbojangles VIP

    Joined:
    Jul 18, 2011
    Messages:
    6
    Likes Received:
    3
    Trophy Points:
    3
    For Aff Managers..someone with some insight on the business and has resources to bring to the table, will usually start between $40 to $60k Base. Commission and Bonus structures vary... sometimes it's a percentage of the net revenue that your publishers bring in..sometimes it's something else like a Tiered Bonus plan for existing accounts. Making 90-100k per year total is not impossible. Let the network know that you get the big picture...(you have a basic idea on how shit works.) Also, you either know publishers or you want to bring in new business and you're not afraid to pick up the phone to call them and figure out what their needs are. Anyway.. I think I covered more than your original question.lol.. but I hope it shed some light on things. Cheers!
     
  5. DaMadHatter

    DaMadHatter Active Member

    Joined:
    Mar 1, 2011
    Messages:
    720
    Likes Received:
    51
    Trophy Points:
    28
    Location:
    In the Void
    Historically, what I have found it that typically varies by affiliate program.

    I know of some where you are paid $2k/month as your base, and then you get anywhere from 10-25% of your affiliates and new business you bring in. Others may get a higher base, and lower percentage with your comps being one time lump payments set on the goals for the month/year/quarter. Whether revenue, new sign ups, or alike.

    That is what I have seen in over a decade working online anyway. I am sure there are some out there, typically larger programs, that would be able to afford and retain their staff better. However, it's been discussed many times, on many forums, and at different conferences. Above is typically what you are looking for as an affiliate rep ball park.

    With an affiliate manager, you could assume higher base, and incentives.
     
  6. reddorado

    reddorado VIP

    Joined:
    Jan 24, 2012
    Messages:
    86
    Likes Received:
    33
    Trophy Points:
    0
    I have seen some of the best affiliate managers in the industry bringing home $150-$200k. But agree with the general consensus that ~$60k is base for a senior affiliate manager, ~$40k base for a junior affiliate manager. A senior affiliate manager is expected to known the industry well *and* bring a book of business with them (at least have a rolodex of affiliate contacts that they can reach out to). Those rates are for competitive markets (NY, LA, SF). If you are in a smaller market, expect total comp to be reduced by up to 20% (Salary.com has good guides).

    Variable pay is usually structured as a % of revenue (or gross profit) for the book of business being managed by the affiliate manager. Sometimes there is a quota necessary before any variable pay is earned (i.e. if the book of business doesn't generate at least X you get no commission). Sometimes the % accelerates or decelerates based on achievement of targets.

    In terms of what % of revenue is reasonable - totally depends on the network. You'll need to ask/figure out what the average book of business is for an affiliate manager and calculate expected commissions. Some affiliate managers are managing $50k/mo, some are managing over $1mm/mo. That usually has more to do with the network than anything else.

    A common practice is for a new senior affiliate manager to negotiate guaranteed commissions for their first N months. The idea is that it takes (let's say) 3 months to build your book of business to where it needs to be, so you have commissions guaranteed for that period.
     
  7. DaMadHatter

    DaMadHatter Active Member

    Joined:
    Mar 1, 2011
    Messages:
    720
    Likes Received:
    51
    Trophy Points:
    28
    Location:
    In the Void
    Excellent post. + REP
     
  8. DKPMO

    DKPMO VIP

    Joined:
    Mar 31, 2011
    Messages:
    1,452
    Likes Received:
    68
    Trophy Points:
    48
    Location:
    Elaborate Underground Base
    A big question mark is whether to tie compensation to % of revenue or gross profit. This ties with another question of how much latitude to give the AM in handing out payout bumps / bonuses to pubs.

    At the end of the day encouraging AM to drive volume at a loss (or small profit) is a recipe for disaster.

    I am curious how you've seen this addressed in the comp plans you are familiar with.
     
  9. reddorado

    reddorado VIP

    Joined:
    Jan 24, 2012
    Messages:
    86
    Likes Received:
    33
    Trophy Points:
    0
    You're exactly right. I've more often seen thoughtful comp plans tied to gross profit rather than revenue. That creates the best alignment between the network and the affiliate manager. Gross profit meaning network revenue minus the revshare to the affiliate, minus and advertiser chargebacks, pub bonuses/incentives, etc.

    If you're a network, you want your AMs providing input on which pubs need incentives or increased payouts in order to drive volume, watching for quality and compliance issues, etc. Aligning with revenue rather than gross profit can lead the AM to always lobby for pub incentives and ignore quality concerns, etc.
     

Share This Page